Aegis sees profits slide
Posted by admin | Posted in online marketing | Posted on 06-04-2011
Tags: Aegis, marketing, operating profit
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In a recent statement, marketing group Aegis said it is expected to meet market consensus for full-year underlying profit as it accelerates cost cuts in a more difficult than expected environment.
Aegis said first-half revenue fell 10.8 per cent organically to £636.7million ($1.04billion) but it beat the average forecast of £622.7million in a poll of analysts.
From Dailymail.co.uk:
‘Market conditions are expected to remain difficult, and we are not forecasting on the basis of any upturn in the second half, although both Aegis Media and Synovate will face easier second half comparatives,’ Aegis said in the statement.
First-half underlying operating profit fell 29 per cent at constant currencies to £51.1million.
WPP, the world’s biggest advertising agency by revenues, reported this week that first-half like-for-like sales fell 8.3 per cent, while French rival Publicis posted a second-quarter drop of 8.6 per cent.
Aegis trades at 11.8 times 2009 earnings, according to Reuters Estimates, slightly above the UK agency sector average of 10.3 times.
The company, made up of marketing division Aegis Media and market-research division Synovate, was able to maintain its interim dividend of 0.96 pence.



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