REG - Aeorema Comms Plc - Trading Update and Investor Presentation

Aeorema CommunicationsAnnouncement

29/07/2024 07:00

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RNS Number : 1085Y  Aeorema Communications Plc  29 July 2024

Aeorema Communications plc / Index: AIM / Epic: AEO / Sector: Media

29 July 2024

Aeorema Communications plc

("Aeorema", the "Company" or the "Group")

 

Trading Update and Investor Presentation

 

Revenue & profit in line with expectations

 

Aeorema Communications plc (AIM: AEO), a leading strategic communications
group, is pleased to announce an update on trading for the year ended 30 June
2024 ("FY2024") following a strong second half of the year.

 

Highlights

●    FY2024 revenue and profit in line with expectations:

o  Revenue expected to be no less than £20 million* (2023 audited: £20.2
million).

o  Profit before tax expected to be no less than £400,000* (2023 audited:
£1 million).

●    Cash balance at year end of £3.1 million (2023: £2.4 million).

●    Maintaining dividend policy, subject to audit.

●    Programme to significantly reduce and rebalance costs progressing
well and continuing through FY2025.

●    Early indications that FY2025 will see profitability improve.

 

* Subject to audit

 

The Company continues to grow its exceptional reputation and has again been
recognised by industry peers in North America and the UK as a leading agency,
demonstrated by several international award wins during the year. Prior to the
year-end, Aeorema had its biggest presence to date at the Cannes Lions
International Festival of Creativity 2024. This included partnering with
Stagwell (NASDAQ: STGW) and TEAM for the second year running to create 'Sport
Beach', one of the largest brand activations at the event.

 

Aeorema expects to report, subject to audit, revenues of no less than £20
million for FY2024 (FY2023: £20.2 million), profit before tax subject to
audit of no less than £400,000 (FY2023: £1 million) and a cash balance at
year end of £3.1 million (FY2023: £2.4 million).

 

The Group is confident that the next financial year will be another successful
year for revenues with early indications suggesting profits will improve. This
is supported by an ongoing programme to significantly reduce and rebalance
costs, which is progressing well.

 

Steve Quah, CEO, and Jamie Blackwell, Group Financial Controller, will be
providing a live investor update on 1 August 2024 at 10.00am BST. Investors
can register to join the event via the following link:
https://www.investormeetcompany.com/aeorema-communications-plc/register-investor
(https://www.investormeetcompany.com/aeorema-communications-plc/register-investor)

 

The presentation is open to all existing and potential shareholders. Questions
can be submitted pre-event via your Investor Meet Company dashboard up until
9.00am BST on 31 July 2024, or at any time during the live presentation.

 

Steve Quah, CEO of Aeorema Communications plc, commented:

"We are confident of delivering a full year profit before tax of not less than
£400,000 following a near record second half to the financial year, which saw
profits in the region of £650,000. This is based on us reporting revenue for
the full year of no less than £20 million, subject to audit.

 

"During the first half of the financial year we focussed on investing in our
team, both in the US and UK, which impacted our profit margin. We have
subsequently begun to adjust our business model to better balance costs
between the first and second halves of our financial year, whilst also
implementing a programme of cost reduction. These processes are progressing
well.

 

"With a healthy pipeline of client projects from a resilient blue-chip client
base, including approximately £2 million of contracted revenues relating to
projects delayed in FY2024, we are encouraged by the underlying strength of
our business. Our focus remains steadfast on delivering creative brilliance
for our clients on a global scale and we believe we are well positioned to
deliver sustained growth, profitability and value to our shareholders over the
long term."

 

**ENDS**

 

For further information visit www.aeorema.com (http://www.aeorema.com) or
contact:

 

 Andrew Harvey                                                                  Aeorema Communications plc                                     Tel: +44 (0) 20 7291 0444 
                                                                                                                                                
 John Depasquale / Liz Kirchner / Lauren Wright                                 Allenby Capital Limited (Nominated Adviser & Broker)           Tel: +44 (0)20 3328 5656 

 (Corporate Finance) 

 Kelly Gardiner / Joscelin Pinnington (Sales & Corporate Broking)  
                                                                                                                                                

 Paul Dulieu / Isabel de Salis                                                  St Brides Partners Ltd                                         aeorema@stbridespartners.co.uk 

                                                                                (Financial PR) 

Notes to Editors

Aeorema Communications plc, (AIM: AEO) is a leading strategic communications
group with offices in London, New York and Amsterdam. The Group provides
bespoke event services, comprising live, virtual, and hybrid experiences to an
established international blue-chip client base spanning a broad range of
sectors, including finance, professional services, advertising, IT, gaming,
fashion, fintech, and beverages. The Group also provides high level
consultancy services to help clients maximise and deliver on their long-term
communication strategies over multiple event and film touchpoints.

 

Aeorema delivers these services via its fully owned companies Cheerful
Twentyfirst and Cheerful Twentyfirst, Inc. (the North American arm of Cheerful
Twentyfirst) (cheerfultwentyfirst.com), two live events agencies with film
capabilities that specialise in devising and delivering corporate
communication solutions. The Group also operates Eventful Limited
(www.eventful.co.uk), which provides consultative, high-touch services
including assisting clients with venue sourcing, event management and
incentive travel. With almost 60 years of combined operating experience and
extensive award wins, Aeorema is a recognised industry thought leader.

 

Central to all that the Group does is its Corporate Social Responsibility
charter, which is focussed on ensuring sustainable, inclusive and ethical
business operations. To this end, the Group is a pioneer in delivering
innovative strategies and services, including a client carbon measurement
programme to establish a formal structure and approach around reducing
emissions and offsetting both its own and its clients' carbon footprint.

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