JCDecaux's Q4 is encouraging signal for underlying business, shares jump

Jcdecaux SE

06/03/2025 08:29

** Shares in advertising firm JCDecaux JCDX.PA surge about 15%, paring earlier gains of as much as 19.8%, as FY results show what J.P.Morgan calls a "strong execution on the cost side"

** JCDecaux's Q4 revenue rises 3.6% organically y/y to 1.18 billion euros, while its FY oper margin jumps by 80 bps to 19.4%

** The advertiser also resumes dividend payment, setting it at 0.55 euros per share for last year

** JPM says Q4 revenue beat consensus by 1% while the margin is 2% ahead

** Midcap Partners says Q4 results constitute an encouraging signal for the underlying business considering there were no major sport events in the period

** "We believe higher spending in Germany will drive an improving ad environment in Europe with JCD likely also a key beneficiary," JPM adds

** The stock, which up until Wednesday's close lost about 5% YTD, is heading for its best day since mid-November 2020

** The shares lost almost 17% in value over 2024

 (Reporting by Piotr Lipinski)

 ((piotr.lipinski@tr.com))