LONDON (ShareCast) - (Sharecast News) - M&C Saatchi reported a strong financial performance for the year ended 31 December in an update on Friday, with growth in net revenue, operating margin, and profit reflecting a successful year of transformation.

The AIM-traded firm said its like-for-like net revenue increased by about 3.5%, with total reported net revenue reaching around £243m, in line with market expectations.

It said the second half of the year maintained the momentum seen in the first half, driven by its diverse portfolio and robust growth in its issues, media, and UAE divisions.

Efficiency programmes across the group contributed to improved profitability while allowing for reinvestment into group capabilities and talent.

The said it company ended the year with a solid balance sheet, reporting net cash of £16m and access to an additional £36m in available facilities.

That, the board said, positioned M&C Saatchi to capitalise on strategic opportunities in line with its capital allocation policy.

Additionally, it said ongoing settlement of put options and a heightened focus on cash management were expected to provide significant cash inflows in 2025 and beyond.

"We are encouraged by the second half 2024 results, driven by our global network and specialist capabilities within our new agile, regional-first operating model," said chief executive officer Zaid Al-Qassab.

"This, combined with the execution of our ongoing group-wide transformation, is positively impacting the business.

"Whilst we remain mindful of ongoing macro volatility, we are confident we are putting the foundations in place to achieve our ambition of long-term profitable growth and delivering strong sustainable returns for shareholders."

The company said it would announce a publication date for its 2024 results "in due course".

At 0841 GMT, shares in M&C Saatchi were up 6.84% at 189.1p.

Reporting by Josh White for Sharecast.com.

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