Media (5550)

12,120.25
   
  • 52 Week High: 12,201.55
  • 52 Week Low: 9,398.36

M&C Saatchi says annual profit to beat forecasts

By Sean Farrell

Date: Tuesday 21 Sep 2021

LONDON (ShareCast) - (Sharecast News) - M&C Saatchi said annual profit would easily beat expectations after the advertising group won new business in a strong first half.


Headline pretax profit rose 420% to £10.5m in the six months to the end of June from a year earlier as revenue increased 14.7% to £171.2m. M&C Saatchi swung to a reported pretax profit of £4.8m from a loss of £5.6bn.

The company said its clients' belief in marketing to fuel growth had revived after a slump early in the Covid-19 crisis. Client retention was strong and existing clients such as Reckitt, GlaxoSmithKline and the UK government awarded the company new contracts. Uber, Google and other technology contracts joined the client list in the first half.

"Full-year profit before tax and earnings [are] expected to be substantially ahead of consensus," M&C Saatchi said. Shares of the company, formed by Maurice and Charles Saatchi in 1995, rose 5.7% to 154.27p at 10:55 BST. The shares have gained almost 80% in 2021.

The company was hit by an accounting scandal in 2019 that threatened its reputation with corporate clients. It then had to chart the Covid-19 crisis, which prompted companies to slash advertising spending to conserve cash.

Email this article to a friend

or share it with one of these popular networks:


Note 1: Prices and trades are provided by Digital Look Corporate Solutions and are end of day values only.

 

Price Data

Price 12,120.25
Closing Price Change 47.51
% Change 0.39 %
27-Mar-24 Close 12,120.25

Top Risers

Price Change
SFOR 46.00p +11.0%
NEXN 208.40p +5.4%
BOOM 241.00p +3.7%
WPP 751.80p +1.6%
FOUR 6,410.00p +1.1%
PEBB 67.67p +1.0%
YOU 1,062.61p +0.7%
FUTR 627.00p +0.6%
REL 3,446.00p +0.6%
PSON 1,040.00p +0.5%

Top Fallers

Price Change
BANK 1.03p -13.9%
LVCG 0.77p -4.2%
SAA 175.00p -3.3%
ZIN 76.43p -1.4%
CAU 39.00p -1.3%
NFG 914.00p -0.7%
DATA 185.00p -0.5%
EYE 53.50p -0.0%
ITV 73.40p -0.0%
ALT 30.00p -0.0%

Top of Page