Ebiquity Plc  

12 March 2024

Trading Update

Ebiquity plc ("Ebiquity" or the "Group"), a world leader in media investment analysis, announces a trading update for the financial year ended 31 December 2023 ahead of its full year results which are expected to be announced in the second half of April 2024.

For the year ended 31 December 2023 Group revenue is expected to have grown by 7% to £80.2 million (2022: £75.1 million).

Adjusted EBIT is expected to have increased by 31.0% to £12.0 million (2022: £9.2 million), reflecting the impact of cost management and a slightly higher margin business mix.  The expected resulting adjusted EBIT margin, at 15.0%, is an improvement of 2.8 percentage points from 12.2% in 2022, reflecting the operating efficiencies we have delivered as part of our transformation programme, cost management, as well as a continuing growth in our higher margin Digital Media Solutions business. 

Net debt as at 31 December 2023 was £11.9 million (including cash balances of £10.0 million) with undrawn facilities of £7.1 million. 

2024 has started satisfactorily.  While clients have continued to seek our services as they endeavour to navigate the current media market challenges and maximise returns from their investments, supported by our specialist expertise and global service offering, we expect the quantum of client spend to remain slightly more subdued until more consumer confidence returns.  Notwithstanding this, we expect to continue to make further profitable progress this year supported by our transformation programme, continued cost management and our growing Digital Media Solutions business.

Nick Waters, CEO, commented:

"The Group continues to perform well against market and macroeconomic headwinds.  Significant investment has been made in our transformation during the year and it is encouraging to see the benefits of this starting to take effect in improved operational efficiency.  This, and the positive impact on our business mix of an increasing contribution from the higher margin Digital Media Solutions business, has led to significantly improved profitability.   

We expect to make further profitable progress in 2024."

Note 1: Adjusted EBIT is defined as EBIT excluding share-based payments, amortisation of purchased intangibles and non-recurring items.

Market abuse regulation

This announcement contains inside information for the purposes of Article 7 of Regulation (EU) No 596/2014 as it forms part of UK domestic law by virtue of the European Union (Withdrawal) Act 2018 ("MAR").

Enquiries:

Ebiquity                                                                                                                                   Via Camarco

Nick Waters, CEO                                                                                                                            

Julia Hubbard, CFO                                                                                                                         

Camarco

Ben Woodford                                                                                                                        +44 (0)7990 653 341

Geoffrey Pelham-Lane                                                                                                          +44 (0)7733 124 226

Panmure Gordon (Financial Adviser, NOMAD & Broker)                                               +44 (0)20 7886 2500

Dominic Morley / Dougie McLeod (Corporate Advisory)

Mark Murphy / Sam Elder (Corporate Broking)