- Trading conditions remain mixed
- Future shares down by a third year-to-date
- Adjusted operating profits expected at £254.1 million
Shares in Future Publishing (FUTR) were up over 23% to 879.5p in morning trading as the publishing firm said its adjusted operating profit for the year is ‘expected to be in line with board expectations’ (at company compiled consensus) of £254.1 million.
Future made this announcement in a short trading update ahead of its results for the year ending 30 September 2023 scheduled for 7 December.
Future which includes brands such as TechRadar, PC Gamer, Marie Claire and Android Central said its ‘audience numbers had stabilised during the second half’ and it has had ‘positive month-on-month momentum in the final quarter.’
Today’s share price is in sharp contrast to its year-to-date performance – falling by around a third , as the company struggled with a tough macroeconomic picture and global advertising downturn.
A big consumer warning from Future sees its shares fall by 3%
Analyst Roddy Davidson at Shore Capital was upbeat about Future’s outlook, he said in a research note: ‘We remain of the view that Future is well placed to deliver attractive growth thanks to a range of positive fundamentals.
‘These include: a clear strategic focus on/technological investment in leveraging content to drive ecommerce and digital advertising across an extensive portfolio of business to consumer brands ( B2C) brands; the breadth and authority of its specialist content; its impressive reach and ability to deliver high intent/highly qualified and very commercially attractive audiences; strong cash generation.’
EBIQUITY SHARES FALL 8% DESPITE POSITIVE FIRST HALF
The media marketing consultancy Ebiquity (EBQ:AIM) reported a positive set of first half results for the six months ending 30 June 2023.
The company saw adjusted pre-tax profits rise by 8% to £5 million for the six months ending 30 June 2023 compared to £4.7 million in the same year ago period.
Revenue was up 11% to £40.6 million compared to £36.7 million in the same six months a year-ago.
Roddy Davidson said in a research note: ‘Notwithstanding macro pressure on advertising markets, we do not anticipate making significant changes to our full year estimates but will review our forecasts for later years to assess whether these reflect what could be a more challenging revenue outlook.
‘We also see opportunities for the company to harness AI technology to mine its extensive proprietary dataset in a controlled manner, enhancing its analytical work.
‘More broadly, we believe that the challenges and uncertainty created by AI adoption across an already complex media landscape will also increase the need for brands to take external advice.’
Investors however didn't react positively to this first-half trading statement.
Ebiquity shares fell over 8% to 42p in morning trading perhaps reflecting investor caution in a tough macroeconomic climate.
