REG - M&C Saatchi PLC - Full Year Results
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RNS Number : 0917B M&C Saatchi PLC 20 April 2026
M&C SAATCHI PLC
(the "Company", "M&C Saatchi" or the "Group")
Preliminary results for the year ended 31 December 2025
Challenging market affects second half performance in 2025
Targeting LFL net revenue and operating profit growth in 2026, in line with
consensus
Group focused on setting foundations to unlock intrinsic value
Financial Summary
Like-for-like (LFL) (1) results Statutory results
2025 2024 2025 2024
£m £m % change £m £m % change
Net revenue(2) 204.7 220.9 (7.3%) 210.0 231.4 (9.2%)
Operating profit(3) 24.9 33.7 (26.1%) 10.2 22.5 (54.7%)
Operating profit margin 12.2% 15.3% -310bps 4.8% 9.7% -490bps
PBT 19.4 29.2 (33.6%) 4.6 18.1 (74.6%)
Net cash(2, 4) 13.3 11.8 (12.7%)
EPS (basic) pence(5) 9.4p 17.0p (44.7%) (1.9)p 9.6p (119.8%)
Dividends (pence per share) - 1.95p
(1) We discuss our results on a like-for-like (LFL) basis throughout, unless
otherwise stated, to provide a more comparable and better basis for
understanding our current and future performance, reflecting the Directors'
view of the underlying profitability of the business units. Statutory
performance remains the primary IFRS measure, however. LFL results exclude
items that are not part of routine expenses, including one-off and exceptional
items, which form Headline results. In addition, LFL results translate 2024
figures to 2025 foreign exchange (FX) rates and excludes results of
subsidiaries which management had or intends to exit in the current and prior
year, and those of newly acquired subsidiaries in the current year. LFL
adjustments are summarised in the Financial review and Note 1 to the financial
statements. All figures are subject to rounding.
(2) Refer to Notes for the definition of net revenue and net cash.
( 3) Headline operating profit of £26.1 million in 2025, which excludes a
constant currency adjustment and includes results from acquired and exited
agencies.
(4)LFL net cash excludes £0.2 million of restricted cash (2024: £3.5
million).
(5) Basic and diluted earnings per share are calculated by dividing the
appropriate earnings metrics by the weighted average number of shares of the
Company in issue during the year. Please see Note 1 to the financial
statements for a detailed view on adjustments in calculating EPS.
Dame Heather Rabbatts, Executive Chair, said:
"It is my privilege to lead this world-famous company after assuming the role
of Executive Chair in early April. Our 2025 financial performance was impacted
by the tough market context and the Board is clear on the action that the
business needs to take; our focus will be to simplify the businesses, to
refine our go-to-market offer and to unlock the intrinsic value of the
Company."
"Whilst we expect continued market uncertainty, we are confident in targeting
net revenue growth and operating profit growth in 2026, in line with current
market expectations. With a unique market position, a deep understanding of
our clients' business, broad expertise across both government and commercial
sectors and specialised data-driven systems, the Board believes that the
Company is well-positioned to create value for shareholders."
Financial and operational headlines
· Net revenue, operating profit and net cash in line with November 2025
guidance.
· Shareholder returns: The Board believes that greater value can be
created for shareholders by increasing the share buyback programme rather than
through the payment of a dividend. Accordingly, the Board intends to
reallocate the amount that would otherwise have been proposed as a final
dividend for the year ended 31 December 2025 to an enhanced share buyback
programme 1 (#_ftn1) .
· Net revenue performance: LFL net revenue declined 7.3%, primarily due
to the unprecedented US Government shutdown in Q4, the US Tariff fallout in Q2
and Q3 as well as a tough macroeconomic environment.
· Operating margins: LFL operating profit fell 26.1%, down 3.1pps to a
12.2% margin, reflecting the annualisation of prior-year investments, the
macro-driven revenue decline and the impact of the US Government shutdown on
high-margin Issues.
· Statutory financials: Total net revenue was £210.0 million, down
9.2%, with an operating profit of £10.2 million (2024: £22.5 million),
driven by the closure of the Australian media buying business in September
2025 and one-off items including restructuring costs.
· Resilient balance sheet: Net cash increased to £13.3 million (up
from £11.8 million in 2024), after two strategic acquisitions and supported
by a strong 94% operating cash conversion (2024: 85%).
· Data and AI development: Increased utilisation of data and artificial
intelligence, supporting our client work and creativity across all
Specialisms, underpinned by our Cultural Power proposition.
· Acquisitions: The Group made its first two strategic acquisitions in
seven years with Dune 23 and The Women's Sports Group.
· Client retention: Our client retention is strong at 94% 2 (#_ftn2) ,
supported by the Group's connected approach to solving client needs.
2026 Outlook
First quarter trading has been in line with our expectations despite the
challenging comparator from last year and continued tough macro conditions.
For 2026, the Company targets net revenue growth, in line with market
estimates, driven by positive momentum from the Issues and Media Specialisms
and supported by regional growth in the US and Europe. Macroeconomic
challenges remain, while the conflict in the Middle East is likely to
significantly impact our sport and entertainment and consumer-facing business.
The Group is targeting operating profit and operating margin
improvement, in line with market estimates, with anticipated ongoing
volatility being managed through our largely variable cost base. We expect our
cash-generative and capital-light business to continue to generate an
operating cash conversion rate of over 80%, in line with our mid-term target.
M&C Saatchi 2025 full year results presentation
Dame Heather Rabbatts, Executive Chair, and Simon Fuller, Chief Financial
Officer, will host an in-person presentation, which can also be joined online,
for analysts and investors at 9.00am BST on 20 April 2026 at 36 Golden Square,
London W1F 9EE
(https://www.bing.com/ck/a?!&&p=1f50cdf5de3e04aeJmltdHM9MTcyNTQ5NDQwMCZpZ3VpZD0xOGZiNzk4NS1lMDAzLTZlNGItMTg0Yy02ZGJhZTEyOTZmYTgmaW5zaWQ9NTQ4OQ&ptn=3&ver=2&hsh=3&fclid=18fb7985-e003-6e4b-184c-6dbae1296fa8&u=a1L21hcHM_Jm1lcGk9MTA5fn5Ub3BPZlBhZ2V-QWRkcmVzc19MaW5rJnR5PTE4JnE9TSUyNkMlMjBTYWF0Y2hpJTIwVGFsayZzcz15cGlkLllOMTAyOXg5NTgzMjU5NDc2MzYyMjI1OTIxJnBwb2lzPTUxLjUxMTk3NDMzNDcxNjhfLTAuMTM3NjQ4MDAxMzEzMjA5NTNfTSUyNkMlMjBTYWF0Y2hpJTIwVGFsa19ZTjEwMjl4OTU4MzI1OTQ3NjM2MjIyNTkyMX4mY3A9NTEuNTExOTc0fi0wLjEzNzY0OCZ2PTImc1Y9MSZGT1JNPU1QU1JQTA&ntb=1)
. To register, please email Headland Consultancy at
MCSaatchi@headlandconsultancy.com (mailto:MCSaatchi@headlandconsultancy.com)
.
A replay will be also available on the Company's website following the event
at https://mcsaatchiplc.com/ (https://mcsaatchiplc.com/)
Further information
M&C Saatchi +44 (0)20-7543-4500
Dame Heather Rabbatts, Executive Chair
Simon Fuller, Chief Financial Officer
Tom Fahey, Head of Investor Relations
Headland Consultancy +44 (0)20-3805-4822
Rob Walker, Charlie Twigg, James Waters
Panmure Liberum - Nominated adviser and joint broker +44 (0)20-3100-2000
Edward Mansfield, Will King, Gaya Bhatt
Deutsche Numis - Joint broker +44 (0)20-7260-1000
Nick Westlake, Iqra Amin
Group performance
Financial performance
The Group operated in a very challenging market in 2025 with weak consumer
sentiment, particularly in Australia. This, combined with US trade policy
changes, caused many clients to delay or reduce their marketing spend, with
some project-based work postponed entirely. The Group suffered from the US
Government shutdown in the fourth quarter, which impacted the high-margin
Issues Specialism; government revenues were lost while staffing had to be
maintained due to uncertainty of the timing on the restart of funding and
work.
As a result of these conditions, the Group generated £204.7 million of
like-for-like net revenue in 2025, down 7.3% on last year. Like-for-like
EBITDA contracted by 22.6% to £31.5 million (2024: £40.7 million) and
like-for-like operating profit was £24.9 million, down 26.1%.
Like-for-like operating profit margin was 12.2% (2024: 15.3%), with the
reduction driven by first-half weighted investments in senior talent,
capabilities and structures, exacerbated by second-half revenue shortfall and
the quarter four US Government shutdown. Like-for-like profit before tax was
£19.4 million, down 33.6%. Separately disclosed one-off items were largely
restructuring costs in Australia and costs under our transformation plan.
Like-for-like profit after tax attributable to shareholders was £11.3 million
(2024: £20.7 million). Like-for-like basic earnings per share were down 44.7%
to 9.4p (2024: 17.0p). Our operating cash conversion was strong at 94%,
exceeding our long-term target of 80%, which allows for some variability over
the cycle. The Group delivered net cash of £13.3 million (2024: £11.8
million) after £0.5 million of put option payments. Working capital
registered an outflow of £4.2 million (2024: £3.6 million outflow). Within
the working capital outflow, there was inflow of £4.9 million from operations
(2024: £3.6 million outflow) which was offset by payment of prior year (2024)
accrued bonus of £9.1 million. Underlying working capital saw an improvement
over last year driven by improved cash management.
Statutory results
Statutory results reflect all activities of the business including one-off
items, non-recurring events and other regulatory elements. The Group closed
its Australian media buying business in September 2025, which contributed to
the statutory net revenue decline of 9.2%, on top of the weaker performance of
the Australian business and the US Government shutdown. Operating profit was
£10.2 million (2024: £22.5 million) with an operating margin of 4.8% (2024:
9.7%) and reflects the revenue decline and all pre-tax separately disclosed
items of £9.1 million in 2025 (2024: £7.2 million), largely attributable to
restructuring costs.
Operating review and Specialisms like-for-like performance
LFL Net revenue LFL Operating profit
£m 2025 2024 Change 2025 2024 Change
Non-Advertising Specialisms 136.2 145.7 (6.5%) 23.3 37.7 (38.2%)
Advertising 68.5 75.2 (8.9%) 7.7 8.4 (8.3%)
Group Central costs - - - (6.1) (12.4) 50.8%
Total like-for-like 204.7 220.9 (7.3%) 24.9 33.7 (26.1%)
Non-Advertising Specialisms declined 6.5% in like-for-like net revenue to
£136.2 million and contributed 67% of Group net revenue, while Advertising
delivered £68.5 million (down 8.9%).
Our higher-margin Non-Advertising Specialisms experienced a 38.2% decrease in
operating profit, with an operating margin of 17.1% (-8.8pps) reflecting a
decline in revenue, particularly the high-margin Issues Specialism.
Advertising's operating profit declined by 8.3%; however, the operating margin
remained consistent at 11.3%, reflecting active management of the cost base
and resizing of the business in Australia.
Group central operating costs decreased from £12.4 million in 2024 to £6.1
million in 2025, reflecting the absence of an LTIP charge in 2025, increased
recharges from Group to the regions and specialisms for services directly
provided on their behalf and the annualisation of cost saving initiatives in
2024.
Advertising
· 33% of like-for-like Group net revenue (2024: 34%)
· Like-for-like net revenue of £68.5 million, down 8.9% (2024: £75.2
million)
The decline is largely driven by Australia where macro conditions were very
challenging, resulting in significant revenue shortfall due to client caution
around campaign spend, particularly among consumer-facing businesses. These
declines more than offset continued growth in the US and Europe, which
continue to show progress. Excluding Australia, Advertising would have
declined by only 1%. The outlook for 2026 remains challenging, with continued
macro volatility and subdued market conditions offsetting stronger demand in
Europe and the US.
Issues
· 27% of like-for-like Group net revenue (2024: 26%)
· Like-for-like net revenue of £54.3 million, down 4.1% (2024: £56.6
million)
The US Government shutdown in Q4 had a material impact on the Issues
Specialism, leading to an overall decline in the year. The Group continues to
invest in Issues, enhancing our non-UK footprint, our data security
capabilities and talent. We continue to develop our expertise in this unique
and highly specialised field which has strong barriers to entry. Despite
ongoing geopolitical uncertainty, with a broadened client list and an expected
full 12 months of US Government spend this Specialism will return to growth in
2026.
Passions & PR 3 (#_ftn3)
· 16% of like-for-like Group net revenue (2024: 16%)
· Like-for-like net revenue of £32.0 million, down 11.4% (2024: £36.1
million)
Net revenue declined due to the tough market context, reduced client spend and
a client loss. Sport and entertainment (S&E) remains a high-potential
growth opportunity, powered by our data-systems, particularly in the US.
Following our acquisitions in 2025 of Dune 23 and The Women's Sports Group,
which add to our capabilities in the S&E area, the Company remains
confident in the medium-term growth outlook. Although the outlook for 2026 is
more encouraging, PR continues to be affected by our exposure to the softer UK
market while S&E will be affected by the conflict in the Middle East.
Consulting 4 (#_ftn4)
· 12% of like-for-like Group net revenue (2024: 14%)
· Like-for-like net revenue of £24.7 million, down 18.8% (2024: £30.4
million)
This Specialism was materially impacted by macro challenges leading to project
deferrals, particularly in Australia, and following US Government policy
changes, which led to a double-digit revenue decline. Sector challenges are
expected to continue in 2026 given the wider economic pressures resulting in
delays to project start dates and deferral of client spend.
Media
· 12% of like-for-like Group net revenue (2024: 10%)
· Like-for-like net revenue of £25.2 million, up 11.5% (2024: £22.6
million)
Media registered strong growth through a combination of client wins and
retained work, largely driven by the UK and APAC markets. Performance media,
digital expertise and digital app-related projects remain in high demand,
particularly with clients looking to generate increased return on investment
measurement on campaigns. This Specialism continues to strengthen its digital
expertise and utilises both data and artificial intelligence to solve client
problems and deliver measurable returns. The Group expects that Media will
continue to grow in 2026, supported by recent wins and improving momentum on
the back of our strong client offer.
Like-for-like regional net revenue performance
The UK remains our biggest region, thanks to the inclusion of the Issues
Specialism. APAC is predominantly Australia, while Americas is dominated by
the US market. In Europe, the two largest markets are Italy and Germany. Since
the sale of the South Africa businesses, we no longer have an owned business
in Africa.
UK: Net revenue decreased 4.6% as positive momentum in Media was offset by a
soft performance in Advertising and Consulting. The Issues Specialism, whose
financial results are recognised entirely in the UK, also declined due to the
material impact of the US Government shutdown.
APAC 5 (#_ftn5) : Net revenue fell 22.3% as the macroeconomic environment in
the core Australia market remained very weak, affecting Advertising and
Consulting, due to reduced client spend, particularly consumer-facing
businesses.
Americas: Net revenue reduced 1.9% as strong growth in US Advertising was
offset by project delays in Consulting.
Europe: Net revenue down 3.2% with strong growth in Advertising, particularly
in Italy offset by temporary weakness in Germany.
Middle East: Net revenue grew 3.6% with growth in Advertising alongside
positive momentum in our newly established local sport and entertainment
offering. Growth will be tempered by a client loss in the second half of 2025,
and the impact of the conflict in the Middle East on our sport and
entertainment business.
Strategic focus for 2026
The potential and intrinsic value of the Company's high-margin growth
businesses is not reflected in our market capitalisation, and our strategic
focus is to simplify businesses and clarify the opportunities which should
unlock value for shareholders. Our broad range of expertise and our
connected specialist capabilities are increasingly supported by data-driven
insights, data-driven systems and AI-powered processes. Our unique positioning
across both government (public) and commercial (private) sectors drive our
deep understanding of our clients' businesses, supported by data-backed
consumer insights. Uniting behind our Cultural Power proposition, we have the
capability to change behaviours, build influential brands and deliver business
solutions for our clients.
Board structure
2025 marked a period of significant change for the Board. As announced on 11
April 2025, Zillah Byng-Thorne stepped down as Non-Executive Chair following
the conclusion of the Annual General Meeting on 15 May 2025. The Company would
like to thank Zillah for her leadership and dedication during her tenure as
both Executive and Non-Executive Chair, during which she played a pivotal role
in the Company's development. At the same meeting, Louise Jackson stepped down
from the Board. We are grateful to Louise for her dedicated service and the
valuable perspective she provided since joining the Board in March 2020.
Following Dame Heather Rabbatts' appointment as Senior Independent Director,
she was appointed Interim Non-Executive Chair, before formally assuming the
role of Non-Executive Chair on 17 June 2025 after shareholder consultation.
More recently, following Zaid Al-Qassab's departure on 31 March 2026, Dame
Heather assumed the role of Executive Chair to ensure leadership continuity
during the current transition period.
Subsequent to her appointment as Non-Executive Chair, Georgina Harvey,
Non-Executive Director and Chair of the Remuneration Committee, succeeded Dame
Heather Rabbatts as Senior Independent Director.
As announced in March 2026, the Board remains focused on accelerating
initiatives to maximise shareholder value. To support this objective, we were
pleased to strengthen the Board's expertise with the appointments of Nicholas
Shott, as an Independent Non-Executive Director, and Vin Murria. Their
combined experience will be instrumental in guiding the Company through its
next phase of value creation.
Shareholder returns and capital allocation
Our key focus as stated above is to unlock the intrinsic value of the Company
that is not currently recognised.
• The Board believes that greater value can be created for shareholders by
increasing the share buyback programme rather than through the payment of a
dividend. Accordingly, the Board intends to reallocate the amount that would
otherwise have been proposed as a final dividend for the year ended 31
December 2025 to enhance our existing share buyback programme.
• Operationally we aim to drive earnings per share growth through a
combination of organic growth, margin enhancement and small bolt-on
acquisitions to strengthen capabilities as well as share buybacks.
• M&C Saatchi is a capital-light business which, over the medium term,
can convert at least 80% of its operating profits into cash, subject to some
degree of variability over the cycle.
Financial review
While our 2025 results reflect the tough macroeconomic context in which we
operated during the year, there are a number of positive developments to
consider. The additional global efficiency and restructuring programme has
delivered £7 million annualised savings, as anticipated, while Phase Two of
the transformation programme which targeted cost efficiencies via
centralisation and consolidation across production, products and data has
delivered a further £5 million in annualised savings. This comes on top of
the £10 million annualised savings after Phase One of the transformation that
concluded in 2024. These efficiencies across back-office and middle-office
functions have freed up resources for creativity and key investments in
people, capabilities and structures. As we embed our operating model, we
believe that there are plenty of growth opportunities for the business through
our connected Specialisms and broad range of expertise across sectors,
industries and geographies.
Group results
Like-for-like results Statutory results
£m 2025 2024 Movement 2025 2024 Movement
Revenue 341.0 377.6 (9.7%) 347.4 395.4 (12.1%)
Net revenue 204.7 220.9 (7.3%) 210.0 231.4 (9.2%)
EBITDA 31.5 40.7 (22.6%) 17.2 29.7 (42.1%)
Operating profit 24.9 33.7 (26.1%) 10.2 22.5 (54.7%)
Operating margin 12.2% 15.3% -310bps 4.8% 9.7% -490bps
Profit before taxation 19.4 29.2 (33.6%) 4.6 18.1 (74.6%)
Profit/(loss) for the year 11.7 21.3 (45.1%) (2.0) 11.7 (117.1%)
Non-controlling interests 0.4 0.7 (42.9%) 0.2 0.0 -
Profit attributable to equity holders 11.3 20.7 (45.4%) (2.2) 11.7 (118.8%)
Earnings/(loss) per share (basic) 9.4p 17.0p (44.7%) (1.9)p 9.6p (119.8%)
Dividends per share - 1.95p
Like-for-like Specialisms and regional review
The Group's segmental and regional performance is reviewed on a like-for-like
basis to provide a more comparable and better basis for understanding our
current and future performance.
Like-for-like results
Net revenue by Specialism £m 2025 2024 % change
Advertising 68.5 75.2 (8.9%)
Issues 54.3 56.6 (4.1%)
Passions & PR 32.0 36.1 (11.4%)
Consulting 24.7 30.4 (18.8%)
Media 25.2 22.6 11.5%
Non-Advertising Specialisms 136.2 145.7 (6.5%)
Advertising 68.5 75.2 (8.9%)
Total 204.7 220.9 (7.3%)
Like-for-like results
Net revenue by region £m 2025 2024 % change
UK 102.9 107.9 (4.6%)
APAC 36.3 46.7 (22.3%)
Americas 41.9 42.7 (1.9%)
Europe 12.0 12.4 (3.2%)
Middle East 11.6 11.2 3.6%
Total 204.7 220.9 (7.3%)
Like-for-like performance and statutory results have been described earlier in
this report.
Over the last four years there has been a significant change in the mix of our
business, with the higher margin Specialisms, particularly Issues and Passions
& PR making up a far greater proportion of net revenue, offset by a
reduction in the Advertising business. On a regional basis, this is shown
through the increase in UK net revenue, with the main reduction being
Australia.
Shifts in Specialism like-for-like net revenue share over time
Share by Specialism Advertising Issues Passions &PR Consulting Media Total
2025 33% 27% 16% 12% 12% 100%
2021 51% 14% 10% 12% 13% 100%
Share by region UK APAC Americas Africa(1) Europe Middle East Total
2025 50% 18% 20% - 6% 6% 100%
2021 39% 30% 17% 6% 6% 2% 100%
(1) The Group disposed of the South Africa businesses on 30 September 2024.
Central costs
Group central operating costs decreased from £12.4 million in 2024 to £6.1
million in 2025, reflecting the absence of an LTIP charge in 2025, increased
recharges from Group to the regions and Specialisms for services directly
provided on their behalf and the annualisation of cost saving initiatives in
2024.
Like-for-like 2025 Advertising Non-advertising Group central costs Total
£m
Net revenue 68.5 136.2 - 204.7
Operating profit / (loss) 7.7 23.3 (6.1) 24.9
Operating profit margin 11% 17% - 12%
Profit / (loss) before tax 7.3 21.9 (9.8) 19.4
Like-for-like 2024 Advertising Non-advertising Group central costs Total
£m
Net revenue 75.2 145.7 - 220.9
Operating profit / (loss) 8.4 37.7 (12.4) 33.7
Operating profit margin 11% 26% - 15%
Profit / (loss) before tax 7.9 35.9 (14.6) 29.2
Like-for-like reporting
Like-for-Like (LFL) results adjust Statutory results to reflect the underlying
profitability of the business units by excluding a number of items that are
not part of routine expenses including one-off and exceptional items (defined
as Headline adjustments), by excluding results of subsidiaries which
management has or intends to exit in 2024 and in 2025, and those newly
acquired subsidiaries in 2025, and retranslating 2024 figures to 2025 FX
rates. We provide commentary on like-for-like figures, where applicable, to
provide a more comparable and better basis for understanding our current and
future performance. Like-for-like adjustments are summarised below and at Note
1 to the financial statements.
Management considers LFL figures are a better way to measure and manage the
business, and they are used for internal performance management and reward.
Like-for-like results is not a defined IFRS term and is not intended to be a
substitute for, or be superior to, any IFRS measures of performance.
Reconciliation of like-for-like to Headline to Statutory results
The table below summarises the reconciliation from like-for-like to Statutory
results for 2025 and 2024 including Headline results.
2025 Like-for-like Acqusitio-ns & exits Headline Adjustme-nts Statutory
£m
Revenue 341.0 6.4 347.4 - 347.4
Net revenue 204.7 5.3 210.0 - 210.0
Operating profit 24.9 1.2 26.1 (15.9) 10.2
Operating profit margin 12.2% 22.6% 12.4% - 4.8%
Profit before tax 19.4 1.1 20.5 (15.9) 4.6
2024 Like-for-like Acquisitio-ns & exits FX Discontin-ued Headline Discontin-ued Adjustme-nts Statutory
£m
Revenue 377.6 6.2 11.6 21.2 416.6 (21.2) - 395.4
Net revenue 220.9 3.5 7.0 11.9 243.3 (11.9) - 231.4
Operating profit 33.7 0.8 0.6 1.4 36.6 (1.4) (12.6) 22.5
Operating profit margin 15.3% 22.9% - 12.0% 15.0% 12.0% - 9.7%
Profit before tax 29.2 0.7 0.5 1.5 31.9 (1.5) (12.3) 18.1
Adjustments between like-for-like and Statutory results (Headline adjustments)
These comprise of Separately disclosed items (further detail in Note 2) that
are one-off in nature and are not part of running the business; impairment of
intangible and non-current assets; Amortisation of acquired intangibles; Gains
or losses generated by disposals of subsidiaries and associates; Fair value
adjustments to unlisted equity investments, acquisition related contingent
consideration, investment properties and put options; and dividends paid to
IFRS 2 put option holders as set out below.
£000 2025 2024
Statutory profit before taxation 4,589 18,131
Separately disclosed items 9,123 7,248
Put option accounting - IFRS 9 and IFRS 2 (116) (1,006)
Dividends paid to IFRS 2 put option holders 83 866
Revaluation of loans and investments 1,237 3,813
Impairment of intangible assets and assets held for sale 1,710 1,548
Impairment and revaluation of non-current assets 3,498 (658)
Amortisation of acquired intangibles 363 335
Gain on disposal of subsidiaries and associates 4 230
Adjustments 15,902 12,376
Exiting and acquired agencies (1,066) (732)
FX difference - (531)
Like-for-like profit before taxation 19,425 29,244
Foreign exchange adjustments
The Group is exposed to movements in foreign currency exchange rates on the
translation of the results of its overseas businesses. The like-for-like basis
applies the constant foreign exchange applicable for the current period to the
comparative period in order to present the results on a comparable basis.
Key Group currency movements reflected the strengthening sterling value
compared to the US dollar, offset by sterling weakness versus euro in 2025.
Key 2025 currencies and average FX rates used to retranslate the 2024 results
are as follows:
Currency December 2025 December 2024 Sterling
stronger / weaker
United Arab Emirates dirham AED 4.8436 4.5984 Stronger
Australian $ AUD 2.0449 2.0228 Stronger
Euro € EUR 1.1675 1.2087 Weaker
US $ USD 1.3187 1.2516 Stronger
South African R ZAR 23.5678 23.5705 Weaker
Acquired and discontinued businesses
In 2025 the Group acquired two businesses, Dune 23 Sport & Entertainment
Sports Events Marketing Co. L.L.C, and The Women's Sports Group Limited for
total net cash consideration of £1.7 million. Both businesses have been fully
integrated and form part of our Passions & PR Specialism, operating within
sport and entertainment. If both acquisitions had been completed on 1 January
2025, the Group results for the year would have included £4.8 million of
revenue and £0.6 million of profit.
During 2024, we disposed of the agencies in the South Africa businesses, which
was treated as a discontinued operation and excluded from the Statutory
results of the Group. Up to the date of the disposal these businesses
contributed net revenue of £11.9 million, operating profit of £3.5 million
and profit before tax of £3.5 million. The 2024 results include the relevant
gain on disposal of £2.1 million within operating profit.
Financial income and expense
The Group's financial income and expense includes bank interest, lease
interest and fair value adjustments to minority shareholder put option
liabilities (IFRS 9). Bank interest payable for the year was £2.0 million
(2024: £2.0 million). The interest on leases remained consistent at £3.2
million (2024: £3.2 million). The fair value adjustment of put option
liabilities created a debit of £0.1 million (2024: £0.3 million).
Tax
Like-for-like tax
Our like-for-like tax rate was 40% (2024: 27.1%). The variation is due to
significant items such as specific costs not deductible for tax purposes and
tax losses in the period on which no deferred tax asset is recognised due to
future forecasts on recoverability.
Statutory tax
The effective Statutory tax rate was 143.8% (2024: 31.5%). We have experienced
large variations in statutory tax rates because deferred tax assets have not
been recognised on tax losses, predominantly in Australia, as well as other
expenses such as M&A transaction costs which are non-deductible against
corporation tax.
Dividends
The Company paid a final dividend of £2.4 million (1.95p per share) in
respect of its financial year ended 31 December 2024 to its shareholders in
2025. The Board believes that greater value can be created for shareholders by
increasing the share buyback programme rather than through the payment of a
dividend. Accordingly, the Board intends to reallocate the amount that would
otherwise have been proposed as a final dividend for the year ended 31
December 2025 to an enhanced share buyback programme.
Cash flow and net cash
Total gross cash and cash equivalents (excluding bank overdrafts) at 31
December 2025 was £21.3 million (2024: £25.9 million), excluding restricted
cash of £0.2 million (2024: £3.5 million). Net cash (excluding restricted
cash) was £13.3 million (2024: £11.8 million).
The Group generated operating cash from trading (before working capital) of
£22.5 million (2024: £31.8 million) after dividends paid to IFRS 2 put
option holders of £0.5 million (2024: £5.8 million) and nil payments to
acquire non-controlling interests (2024: £2.8 million). Working capital
registered an outflow of £4.2 million (2024: £3.6 million outflow). Within
the working capital outflow, there was inflow of £4.9 million from operations
(2024: £3.6 million outflow) which was offset by payment of prior year (2024)
accrued bonus of £9.1 million. Excluding transfers to restricted cash,
working capital saw an improvement over last year driven by improved cash
management. Lease payments were £8.4 million (2024: £8.5 million).
Net operating cash flow (operating cash generated from operations (excluding
put option payments and non-adjusted cash costs) net of purchases of
intangible / tangible fixed assets and the principal payment on leases) for
the year was £23.7 million (2024: £25.6 million), which represents a cash
conversion from like-for-like operating profit of 94%. This is well above our
target of 80%.
The following table sets out the key movements in net cash during 2025:
2025 2024
£m £m
Net cash at the beginning of the year 11.8 8.3
Increase in cash from operating activities 23.0 37.6
Dividends paid to IFRS 2 put option holders (0.5) (5.8)
Operating cash from trading (before working capital) 22.5 31.8
Decrease in cash from working capital movements (4.2) (3.6)
Cash consideration for non-controlling interest acquired - (2.8)
Purchase of own shares (0.8) (2.5)
Movement (to) / from restricted cash* 3.2 (3.5)
Tax paid (4.4) (3.0)
Net cash inflow from disposal of subsidiaries and associates 2.7 1.9
Net cash outflow from acquisition of subsidiaries (1.7) -
Purchases of intangible/tangible fixed assets (3.1) (2.9)
Payment of lease liabilities and interest (8.4) (8.5)
Dividends paid to Company shareholders (2.4) (1.9)
Net interest paid (1.5) (2.1)
FX movement on cash held (1.5) (0.3)
Other movements 1.1 0.9
Net cash at the end of the year 13.3 11.8
Restricted cash 0.2 3.5
Adjusted net cash at the end of the year 13.5 15.3
* 2025 movement relates to an inter-company dividend plus working
capital balances paid out of
restricted cash. 2024 movement relates to the initial
reclassification of cash to restricted cash.
Banking arrangements
At 31 December 2025, £8.0 million was drawn on the Group's £50 million
revolving credit facility compared to £14.0m at 31 December 2024.
Financial Statements
Consolidated Income Statement
2025 2024
Total Total
Year ended 31 December Note £000 £000
Billings (unaudited) 436,018 610,084
Revenue 4 347,399 395,418
Project cost / direct cost (137,428) (164,008)
Net revenue 3 209,971 231,410
Staff costs (152,196) (163,791)
Depreciation (6,247) (6,535)
Amortisation (714) (600)
Impairment charges (1,916) (890)
Other operating charges (34,202) (32,864)
Other gains /(losses) (4,529) (3,813)
Loss allowance - (192)
Gain / (loss) on disposal of subsidiaries (4) (230)
Operating profit 10,163 22,495
Other non-operating income 62 60
Finance income 526 878
Finance expense (6,162) (5,302)
Profit before taxation 4,589 18,131
Taxation (6,598) (6,394)
Profit/(loss) for the year from continuing operations (2,009) 11,737
Profit for the year from discontinued operations, net of tax - 3,068
Total profit for the year (2,009) 14,805
Total profit from continuing operations (2,009) 11,737
Attributable to:
Equity shareholders of the Group (2,234) 11,717
Non-controlling interests 225 20
Profit/(loss) for the year (2,009) 11,737
Earnings per share
Basic (pence) 1 (1.85) 9.63
Diluted (pence) 1 (1.85) 9.42
Consolidated Income Statement continued
Total profit from discontinued operations - 3,068
Attributable to:
Equity shareholders of the Group - 3,011
Non-controlling interests - 57
Profit/(loss) for the year - 3,068
Earnings per share
Basic (pence) 1 - 2.48
Diluted (pence) 1 - 2.42
Total profit for the year (2,009) 14,805
Attributable to:
Equity shareholders of the Group (2,234) 14,728
Non-controlling interests 225 77
Profit/(loss) for the year (2,009) 14,805
Earnings per share
Basic (pence) 1 (1.85) 12.11
Diluted (pence) 1 (1.85) 11.84
Like-for-like results 1
Operating profit 1 24,944 33,735
Profit before taxation 1 19,425 29,244
Profit after tax attributable to equity shareholders of the Group 1 11,292 20,677
Basic earnings per share (pence) 1 9.35 17.00
Diluted earnings per share (pence) 1 9.22 16.62
EBITDA 1 31,544 40,744
Consolidated Income Statement of other comprehensive income
2025 2024
Year ended 31 December £000 £000
Profit/(loss) for the year (2,009) 14,805
Other comprehensive profit/(loss)*
Exchange differences on translating foreign operations (105) 527
Historic translation reserve on disposal of subsidiaries - (1,464)
Other comprehensive profit/(loss) for the year net of tax (105) (937)
Total comprehensive profit/(loss) for the year (2,114) 13,868
Total comprehensive profit/(loss) attributable to:
Equity shareholders of the Group (2,339) 13,790
Non-controlling interests 225 77
Total comprehensive profit/(loss) for the year (2,114) 13,867
* All items in the consolidated statement of comprehensive income may be
reclassified to the income statement.
Consolidated Balance Sheet
2025 2024
At 31 December £000 £000
Non-current assets
Intangible assets 32,273 32,318
Investments in associates 138 138
Plant and equipment 6,107 6,002
Right-of-use assets 16,456 25,544
Investment properties 4,205 1,244
Other non-current assets 3,819 5,282
Deferred tax assets 2,214 4,840
Financial assets at fair value through profit or loss 34 668
65,246 76,036
Current assets
Trade and other receivables 110,544 126,298
Current tax assets 2,335 1,390
Restricted cash 237 3,462
Cash and cash equivalents 21,317 25,855
134,433 157,005
Assets held for sale - 2,717
134,433 159,722
Current liabilities
Trade and other payables (111,550) (131,536)
Provisions (39) (90)
Current tax liabilities (1,253) (1,626)
Borrowings (29) (43)
Lease liabilities (5,101) (5,014)
Minority shareholder put option liabilities (3,054) (525)
(121,026) (138,834)
Net current liabilities 13,407 20,888
Total assets less current liabilities 78,653 96,924
Consolidated Balance Sheet continued
Non-current liabilities
Deferred tax liabilities (1,113) (1,032)
Borrowings (7,366) (13,399)
Lease liabilities (33,115) (37,230)
Minority shareholder put option liabilities - (3,132)
Other non-current liabilities (2,223) (2,020)
(43,817) (56,813)
Total net assets 34,836 40,111
Equity
Share capital 1,227 1,227
Share premium 50,327 50,327
Merger reserve 37,554 37,554
Treasury reserve (2,765) (2,698)
Minority interest put option reserve (1,175) (1,175)
Non-controlling interest acquired (34,428) (34,428)
Foreign exchange reserve 1,309 1,414
Accumulated losses (17,526) (12,198)
Equity attributable to shareholders of the Group 34,523 40,023
Non-controlling interest 313 88
Total equity 34,836 40,111
These financial statements were approved and authorised for issue by the Board
of Directors on 19 April 202] and signed on its behalf by:
Simon Fuller
Chief Financial Officer
19 April 2026
M&C Saatchi plc
Company number 05114893
Consolidated statement of changes in equity
Share capital Share premium Merger reserve Treasury reserve Minority Interest put option reserve Non-controlling interest acquired Foreign exchange reserves Retained earnings / (accumulated losses) Sub total Non-controlling interest in equity Total
£000 £000 £000 £000 £000 £000 £000 £000 £000 £000 £000
At 31 December 2023 1,227 50,327 37,554 (550) (2,506) (33,168) 2,351 (26,232) 29,003 533 29,536
Share option charge - - - - - - - 1,030 1,030 - 1,030
Share option exercise - - - 342 - - - (342) - - -
Tax on share options - - - - - - - 35 35 - 35
Exercise of put options - - - - 1,000 (1,000) - - - - -
Purchase of own shares - - - (2,490) - - - - (2,490) - (2,490)
Disposal of subsidiaries - - - - 331 (260) - 209 280 (522) (242)
Revaluations - - - - - - - 415 415 - 415
Tax on revaluations - - - - - - - (93) (93) - (93)
Dividends - - - - - - - (1,948) (1,948) - (1,948)
Total transactions with owners - - - (2,148) 1,331 (1,260) - (694) (2,771) (522) (3,293)
Total profit for the year - - - - - - - 14,728 14,728 77 14,805
Historic translation reserve on disposal of subsidiaries - - - - - - (1,464) - (1,464) - (1,464)
Total other comprehensive income for the year - - - - - - 527 - 527 - 527
At 31 December 2024 1,227 50,327 37,554 (2,698) (1,175) (34,428) 1,414 (12,198) 40,023 88 40,111
Exercise of share options - - - 740 - - - (740) - - -
Purchase of own shares - - - (807) - - - - (807) - (807)
Dividends - - - - - - (2,354) (2,354) - (2,354)
Total transactions with owners - - - (67) - - - (3,094) (3,161) - (3,161)
Total (loss)/profit for the year - - - - - - - (2,234) (2,234) 225 (2,009)
Total other comprehensive income for the year - - - - - - (105) - (105) - (105)
At 31 December 2025 1,227 50,327 37,554 (2,765) (1,175) (34,428) 1,309 (17,526) 34,523 313 34,836
Consolidated cash flow statement
Year ended 31 December 2025 2024
£000
£000
Operating profit from continuing operations 10,163 22,495
Operating profit from discontinued operations - 3,526
Total operating profit 10,163 26,021
Adjustments for:
Depreciation of plant and equipment 2,014 2,107
Depreciation of right-of-use assets 4,233 4,995
Impairment (reversal) of right-of-use assets 206 (297)
Impairment reversal of assets held for sale - (86)
Impairment reversal of investment properties 3,292 (361)
Revaluation of financial assets at FVTPL 636 4,277
Revaluation of deferred consideration - (464)
Amortisation of acquired intangible assets 363 336
Impairment of goodwill and other intangibles 1,710 1,634
Impairment and amortisation of capitalised software intangible assets 351 278
Exercise of put options (488) (5,780)
Gain on disposal of discontinued operation - (2,084)
Equity settled share-based payment expenses - 1,195
Operating cash before movements in working capital 22,480 31,771
Decrease/(increase) in trade and other receivables 14,779 (5,589)
Increase/(decrease) in trade and other payables (18,920) 2,961
(Decrease)/increase in provisions (51) (960)
Transfer from/(to) restricted cash** 3,225 (3,462)
Cash (consumed by)/generated from operations 21,513 24,721
Tax paid (4,400) (3,019)
Net cash from operating activities 17,113 21,702
Consolidated cash flow statement continued
Investing activities
Disposal of subsidiary (net of cash disposed of) 2,713 1,926
Disposal of associate (net of cash disposed of) - 856
Long term loans 150 148
Proceeds from sale of unlisted investments - 642
Acquisition of subsidiary (net of cash acquired) (1,727) -
Proceeds from sale of plant and equipment and software 52 83
Purchase of plant and equipment (2,278) (1,718)
Purchase of capitalised software and intangible assets under construction (797) (1,214)
Interest received 526 106
Principal sublease repayment 953 -
Net cash (consumed)/generated by investing activities (408) 829
Net cash from operating and investing activities 16,705 22,531
Financing activities
Dividends paid to equity holders of the Company (2,354) (1,948)
Purchase of own shares (re-presented***) (807) (2,490)
Cash consideration for non-controlling interest acquired and other options - (2,811)
Payment of lease liabilities (5,265) (5,167)
Repayment of bank loans (6,013) (2,000)
Borrowing costs (135) (795)
Interest paid (2,001) (2,140)
Interest paid on leases (3,166) (3,351)
Net cash consumed by financing activities (19,741) (20,702)
Net (decrease) / increase in cash and cash equivalents (3,036) 1,829
Effect of exchange rate fluctuations on cash held (1,502) (300)
Cash and cash equivalents at the beginning of the year 25,855 24,326
Total cash and cash equivalents at the end of the year 21,317 25,855
Net debt reconciliation
Cash and cash equivalents 21,317 25,855
Total cash and cash equivalents at the end of the year 21,317 25,855
Bank loans and borrowings* (8,030) (14,043)
Net cash 13,287 11,812
* Bank loans and borrowings exclude the lease liability of £38,216k
(2024: £42,244k).
** Cash and cash equivalents at the balance sheet date relate to cash at
bank and in hand. This excludes £237k (2024: £3,462k) which has been
classified as restricted cash due to ongoing litigation. The balance has been
classified as a current asset on the face of the balance sheet.
*** The cash flow statement has been updated to correct a presentation error
relating to the buyback of shares. As a result of this adjustment, operating
cash flows have increased by £2,490k, and financing cash flows have decreased
by £2,490k. There is no impact on the total cash movement for the year.
Basis of preparation
The financial information set out in this document does not constitute the
Company's statutory accounts for the years ended 31 December 2025 or
2024. Statutory accounts for the years ended 31 December 2024 and 31 December
2025, which were approved by the Directors on 19 April 2026, have been
reported on by the Independent Auditors. The Independent Auditor's Reports on
the Annual Report and Financial Statements for each of 2024 and 2025 were
unqualified, did not draw attention to any matters by way of emphasis, and did
not contain a statement under 498(2) or 498(3) of the Companies Act 2006.
Statutory accounts for the year ended 31 December 2024 have been filed with
the Registrar of Companies. The statutory accounts for the year ended 31
December 2025 will be delivered to the Registrar in due course, and are
available from the Company's registered office at 36 Golden Square, London,
W1F 9EE, and are available from the Company's website:
https://mcsaatchiplc.com/ (https://mcsaatchiplc.com/)
The financial information set out in these results has been prepared using the
recognition and measurement principles of UK adopted international accounting
standards and with those parts of the Companies Act 2006 applicable to
companies reporting under IFRS (except as otherwise stated). The accounting
policies adopted in these results have been consistently applied to all the
years presented and are consistent with the policies used in the preparation
of the financial statements for the year ended 31 December 2024. There are
deemed to be no new standards, amendments and interpretations to existing
standards, which have been adopted by the Group that have had a material
impact on the financial statements.
The financial statements are presented in pounds sterling and, unless stated
otherwise, rounded to the nearest thousand
Going concern
These financial statements have been prepared on the going concern basis, as
set out in the Directors' Report and the Audit & Risk Committee Report.
The Board has concluded that under the most likely going concern scenarios,
the Group will have sufficient liquidity and headroom under the financial
covenants in the Group's revolving credit facility (the "Covenants") to
continue to operate for a period of not less than a year from approving the
financial statements.
The Board has formed its opinion after evaluating four different severe but
plausible forecast scenarios and a reverse stress test, extending to twelve
months from the date of these the Annual Report and Accounts ("Viability
Review Period"). The four scenarios comprise:
1. A significant reduction in new business wins.
2. A significant increase in wage inflation.
3. A significant number of top clients are lost.
4. A significant economic downturn.
These severe but plausible scenarios are assumed to materialise from the first
quarter of 2025 onwards. The estimated decline in EBITDA ranges from £18
million to £46 million compared to the base case plan for the cumulative
period ending 31 December 2028, including a £10 million to £15 million
decline in EBITDA in 2026.
The reverse stress test case evaluates how extreme conditions would need to be
for the Group to break the Covenants within the Viability Review Period. The
conditions go significantly further than the severe but plausible scenarios
and reflect a scenario that the Directors consider to be highly unlikely.
The Directors consider that the current impacts of climate change do not
constitute a material uncertainty under the Group's existing strategy. Further
details on these impacts, our mitigation efforts, and future climate evolution
can be found in our TCFD Report.
The Board has concluded that, under all scenarios modelled by management,
the Company will have sufficient liquidity to operate and will not breach the
Covenants.
In their review of the severe but plausible scenario, the Directors have also
considered several mitigations that would help maintain headroom on the
Covenants under the Facility, and are at their discretion, including but not
limited to:
· Reduction or postponement of dividend payments.
· Reduction of bonus payments.
· Reduction of overheads and operating expenses.
· Renegotiation of the terms of the Group's revolving credit
facility including Covenant relaxation.
· Closure of now loss making entities.
· Reduction of staff levels in line with revenue reduction.
The Board is satisfied that the Group's forecasts, which take into account
reasonably possible changes in trading performance, show that there are no
material uncertainties over going concern, and that, even under the severe but
plausible scenarios, the Group will continue to have sufficient liquidity and
headroom to operate within the Covenants. The Board, therefore, has concluded
the going concern basis of preparation continues to be appropriate.
Like-for-like results
As stated in the Financial Review, the Directors believe that the
Like-for-like results and Like-for-like earnings per share (see Note 1 of the
financial statements) provide additional useful information on the underlying
performance of the business. The Like-for-like (LFL) results reflect the
underlying profitability of the business units, by excluding a number of items
that are not part of routine business income and expenses.
In addition, the LFL results may be used for internal performance management
and reward. The term 'Like-for-like' is not a defined term in IFRS. Note 1
reconciles Statutory results to LFL results and the segmental reporting (Note
3 of the financial statements) reflects LFL results, in accordance with IFRS
8.
The items that are excluded from LFL results are:
· Separately disclosed items that are one-off in nature and are not
part of running the business.
· Revaluation of associates on transition to assets held for sale.
· Impairment of assets held for sale, right-of-use assets,
leasehold improvements, acquired intangibles and goodwill.
· Gains or losses generated by disposals of subsidiaries.
· Fair value adjustments to unlisted equity investments,
acquisition-related deferred consideration and put options.
· Dividends paid to IFRS 2 put option holders. However, in
non-controlling interest, we deduct profit share attributable to IFRS 2 put
option holders.
· Results of subsidiaries which management has or intends to exit
in the current and prior year, and those of newly acquired subsidiaries in the
current year.
· Effects of foreign exchange movements on the underlying results,
by retranslating prior year figures using current year foreign exchange rates.
Consolidation
Where a consolidated company is less than 100% owned by the Group, the
treatment of the non-controlling interest share of the results and net assets
is dependent on how the non-controlling interests' equity is accounted for.
Where the equity is accounted for as a share-based payment award under IFRS 2,
all dividend outflow is taken to staff costs, and there is no non-controlling
interest. In all other cases, the non-controlling interest share of the
results and net assets is recognised at each reporting date in equity,
separately from the equity attributable to the shareholders of the Company.
Material accounting policies
Certain of the Group's accounting policies are considered by the Directors to
be material due to the level of complexity, judgement or estimation involved
in their application and their potential impact on the financial statements.
The critical accounting policies are listed below and explained in more detail
in the relevant notes to the financial statements.
Revenue recognition
The Group's revenue is earned from the provision of advertising and marketing
services, together with commission-based income in relation to media spend and
to talent performance. Revenue from contracts with customers is recognised as,
or when, the performance obligations present within the contractual agreements
are satisfied. Depending on the arrangement with the client, the Group may act
as principal or as agent in the provision of these services.
See Note 4 of the financial statements for a full description of the Group's
revenue accounting policies.
Significant accounting judgements and key sources of estimation uncertainty
In the course of preparing financial statements, management necessarily makes
judgements and estimates that can have a significant impact on the financial
statements. The estimates and judgements that are made are continually
evaluated, based on historical experience and other factors, including
expectations of future events that are believed to be reasonable under the
circumstances. The estimates and judgements that have a significant risk of
causing a material adjustment to the financial statements within the next
financial year are outlined below:
Significant accounting judgements
Management has made the following judgements, which have the most significant
effect in terms of the amounts recognised, and their presentation, in the
financial statements.
Impairment - assessment of CGUs and assessment of indicators of impairment
Impairment reviews are undertaken annually, or more frequently if events or
changes in circumstances indicate a potential impairment. Assets with finite
lives are reviewed for indicators of impairment (an impairment "trigger") and
judgement is applied in determining whether such a trigger has occurred.
External and internal factors are monitored by management, including: a)
adverse changes in the economic or political situation of the geographic
locale in which the underlying entity operates; b) heightened risk of client
loss or chance of client gain; and c) internal reporting suggesting that an
entity's future economic performance is better or worse than previously
expected. Where management has concluded that such an indication of impairment
exists, then the recoverable amount of the asset is assessed.
The Group assesses whether an impairment is required by comparing the carrying
value of the cash-generating unit (CGU) assets (including the right-of-use
assets under IFRS 16) to their value-in-use. Discounted cash flow models,
based on the Group's latest budget and three-year financial plan, and a
long-term growth rate, are used to determine the recoverable amount for the
CGUs. The appropriate estimates and assumptions used require judgement and
there is significant estimation uncertainty.
The Group has recognised a total impairment charge of £1,916k in the year
(2024: £890k), of which nil relates to impairment of investment property
(2024: £361k reversal) and £206k relates to the impairment of right-of-use
assets (2024: £297k reversal). There was an impairment of £1,500k in the
year of goodwill (2024: £1,634k) and £210k in other intangible assets (2024:
nil). There was an impairment of nil of associate investments held in assets
held for sale (2024: £86k reversal).
Significant estimates and assumptions
Some areas of the Group's financial statements are subject to key assumptions
and other significant sources of estimation uncertainty at the reporting date
that have a significant risk of causing a material adjustment to the carrying
amounts of assets and liabilities within the next financial year. The Group
has based its assumptions and estimates on parameters available when the
financial statements were prepared.
Deferred tax assets
The Group assesses the future availability of carried forward losses and other
tax attributes, by reference to jurisdiction-specific rules around carry
forward and utilisation, and whether it is probable that future taxable
profits will be available against which the attribute can be utilised. Changes
in such assessments would allow unrecognised deferred tax to be recognised and
vice versa.
Notes to the financial statements
1. Like-for-like results, earnings per share and EBITDA
The analysis below provides a reconciliation between the Group's Statutory
results and the LFL results for the current year.
Statutory Separately disclosed items Acquiring and exiting agencies Gain/loss on disposal of subsidiaries Amortisation of acquired intangibles Impairment of goodwill and intangibles Impairment and revaluation of non-current assets Revaluation of loans and investments Dividends paid to IFRS 2 put holders* Put option accounting Like-for-like results
2025
(Note 2)
Year ended 31 December 2025 £000 £000 £000 £000 £000 £000 £000 £000 £000 £000 £000
Revenue 347,399 - (6,420) - - - - - - - 340,979
Cost of sales (137,428) - 1,159 - - - - - - - (136,269)
Net revenue 209,971 - (5,261) - - - - - - - 204,710
Staff costs (152,196) 6,424 3,080 - - - - - 83 (52) (142,661)
Depreciation (6,247) - 59 - - - - - - - (6,188)
Amortisation (714) - - - 363 - - - - - (351)
Impairments (1,916) - - - - 1,710 206 - - - -
Other operating charges (34,202) 2,699 937 - - - - - - - (30,566)
Other gains/losses (4,529) - - - - - 3,292 1,237 - - -
Loss allowance - - - - - - - - - - -
Gain on disposal of subsidiaries (4) - - 4 - - - - - - -
Operating profit 10,163 9,123 (1,185) 4 363 1,710 3,498 1,237 83 (52) 24,944
Share of results of associates - - - - - - - - - - -
Other non-operating income 62 - (1) - - - - - - - 61
Finance income 526 - (6) - - - - - - - 520
Finance expense (6,162) - 126 - - - - - - (64) (6,100)
Profit before taxation 4,589 9,123 (1,066) 4 363 1,710 3,498 1,237 83 (116) 19,425
Taxation (6,598) (1,128) 380 - (108) (317) - - - - (7,771)
(Loss)/Profit for the year (2,009) 7,995 (686) 4 255 1,393 3,498 1,237 83 (116) 11,654
Non-controlling interests 225 - - - - - - - 137 - 362
(Loss)/Profit attributable to equity holders of the Group** (2,234) 7,995 (686) 4 255 1,393 3,498 1,237 (54) (116) 11,292
* The non-controlling interest charge is moved to operating profit
due to underlying equity being defined as an IFRS 2 put option.
** Like-for-like earnings are profit attributable to equity holders of
the Group after adding back the adjustments noted above.
The analysis below provides a reconciliation between the Group's Statutory
results and the LFL results for the prior year.
Statutory Separately disclosed items Exiting agencies Gain/loss on disposal of subsidiaries Amortisation of acquired intangibles Impairment of assets held for sale Impairment of goodwill Impairment of non-current assets FVTPL investments under IFRS 9*** Dividends paid to IFRS 2 put holders* Put option accounting Constant currency adjustment Like-for-like results
2024
(Note 2)
Year ended 31 December 2024 £000 £000 £000 £000 £000 £000 £000 £000 £000 £000 £000 £000 £000
Revenue 395,418 - (6,175) - - - - - - - - (11,616) 377,627
Cost of sales (164,008) - 2,627 - - - - - - - - 4,643 (156,738)
Net revenue 231,410 - (3,548) - - - - - - - - (6,973) 220,889
Staff costs (163,791) 5,776 2,121 - - - - - - 866 (712) 4,788 (150,952)
Depreciation (6,535) - 6 - - - - - - - - 147 (6,382)
Amortisation (600) - - - 335 - - - - - - (317) (582)
Impairments (890) - - - - (86) 1,634 (658) - - - - -
Other operating charges (32,864) 1,472 438 - - - - - - - - 1,823 (29,131)
Other losses (3,813) - - - - - - - 3,813 - - - -
Loss allowance (192) - 201 - - - - - - - - (116) (107)
Gain on disposal of subsidiaries (230) - - 230 - - - - - - - - -
Operating profit 22,495 7,248 (782) 230 335 (86) 1,634 (658) 3,813 866 (712) (648) 33,735
Share of results of associates - - - - - - - - - - - - -
Other non-operating income 60 - (15) - - - - - - - - - 45
Finance income 878 - (6) - - - - - (872) - - - -
Finance expense (5,302) - 71 - - - - - 872 - (294) 117 (4,536)
Profit before taxation 18,131 7,248 (732) 230 335 (86) 1,634 (658) 3,813 866 (1,006) (531) 29,244
Taxation (6,394) (1,824) 52 - (107) - - 219 - - - 142 (7,912)
Profit for the year 11,737 5,424 (680) 230 228 (86) 1,634 (439) 3,813 866 (1,006) (389) 21,332
Non-controlling interests 20 - - - - - - - - 685 - (50) 655
Profit attributable to equity holders of the Group** 11,717 5,424 (680) 230 228 (86) 1,634 (439) 3,813 181 (1,006) (339) 20,677
* The non-controlling interest charge is moved to operating profit
due to underlying equity being defined as an IFRS 2 put option.
** Like-for-like earnings are profit attributable to equity holders of
the Group after adding back the adjustments noted above.
*** Included in this adjustment is £872k of Group interest in
Saatchinvest, which is treated as non-like-for-like given the nature of the
entity's activities and the sale of the subsidiary in 2025.
Earnings per share
Basic and diluted earnings per share are calculated by dividing the
appropriate earnings metrics by the weighted average number of ordinary shares
of the Company in issue during the year.
Diluted earnings per share is calculated by adjusting the weighted average
number of the Company's ordinary shares in issue on the assumption of
conversion of all potentially dilutive ordinary shares. Anti-dilutive
potential ordinary shares are excluded. The dilutive effect of unvested
outstanding options is calculated based on the number that would vest had the
balance sheet date been the vesting date. Where schemes have moved from equity
to cash payment and vice versa, the potential dilution is calculated as though
they had been in their year-end position for the whole year.
Total Like-for-like
Year ended 31 December 2025 2025 2025
(Loss)/profit attributable to equity shareholders of the Group (£000) (2,234) 11,292
Basic earnings per share
Weighted average number of shares (thousands) 120,747 120,747
Basic EPS (1.85)p 9.35p
Diluted earnings per share
Weighted average number of shares (thousands) as above 120,747 120,747
Add
- LTIP - 1,176
- Put options - 605
Total 120,747 122,528
Diluted EPS (1.85)p 9.22p
Excluding the put options (payable in cash) - (605)
Weighted average number of shares (thousands) including dilutive shares 120,747 121,923
Diluted EPS - excluding items the Group intends and is able to pay in cash (1.85)p 9.26p
Continuing operations Discontinued operations Total Like-for-like
Year ended 31 December 2024 2024 2024 2024 2024
Profit attributable to equity shareholders of the Group (£000) 11,717 3,011 14,728 20,677
Basic earnings per share
Weighted average number of shares (thousands) 121,616 121,616 121,616 121,616
Basic EPS 9.63p 2.48p 12.11p 17.00p
Diluted earnings per share
Weighted average number of shares (thousands) as above 121,616 121,616 121,616 121,616
Add
- LTIP 2,042 2,042 2,042 2,042
- Put options 751 751 751 751
Total 124,409 124,409 124,409 124,409
Diluted EPS 9.42p 2.42p 11.84p 16.62p
Excluding the put options (payable in cash) (751) (751) (751) (751)
Weighted average number of shares (thousands) including dilutive shares 123,658 123,658 123,658 123,658
Diluted EPS - excluding items the Group intends and is able to pay in cash 9.48p 2.43p 11.91p 16.72p
As 2025 basic EPS is negative, no adjustment has been made for LTIP and put
options in the dilutive EPS calculation, as these would be anti-dilutive, i.e.
would increase EPS had they been included.
Like-for-like earnings before interest, tax, depreciation and amortisation
(EBITDA)
2025 2024
£000 £000
Profit before tax (LFL) 19,425 29,244
Add back:
LFL depreciation & amortisation (incl. IFRS 16) 6,539 6,964
LFL finance expense (incl. IFRS 16) 6,100 4,536
LFL finance income (520) -
EBITDA 31,544 40,744
2. Separately disclosed items
Policy
Separately disclosed items include one-off, non-recurring income or expenses.
These are shown separately and are excluded from LFL profit to provide a
better understanding of the underlying results of the Group.
Analysis
Separately disclosed items for the year ended 31 December 2025 comprise of the
following:
2025 Staff costs Operating Taxation After tax
£000 costs £000 total
£000 £000
Restructuring - ongoing businesses 4,039 29 (302) 3,766
Restructuring - global efficiency programme 302 142 (113) 331
Transformation project costs 1,858 1,611 (713) 2,756
Acquisition related and other costs 225 917 - 1,142
Total separately disclosed items 6,424 2,699 (1,128) 7,995
The Group has been pursuing a strategy to simplify its operating structure and
improve efficiency across the Group. This programme continued into 2025:
· Local businesses within the Group have continued to review their
own future, permanent operational structures, following market changes, which
has resulted in staff redundancy costs in the period across 12 ongoing
businesses across the Group. The restructuring costs are treated as separately
disclosed items only when a role has been permanently eliminated from the
business (there should be no intention for the role to be replaced in the next
12 months). There are £4,039k (2024: £3,403k) of redundancy costs included
within non-like-for-like restructuring for ongoing businesses, and £313k
(2024: £430k) of redundancy costs included within the like-for-like staff
costs.
· The Group's global efficiency programme has continued to identify
and reduce specific central HQ roles, which will be replaced overseas to save
cost. The redundancy costs associated with this restructuring programme of
£302k (2024: £983k) have been treated as an exceptional non-like-for-like
cost, as these are one-off exit costs relating to compensation to employees
for periods not worked.
In the second half of 2022, the Group commenced a global efficiency programme.
The £1,858k staff costs of the project team dedicated to this transformation
project (2024: £723k) have been classified as separately disclosed items in
line with the treatment since 2022. The project team continued to manage the
project through to conclusion in December 2025. The operating cost in 2025
mainly relates to systems migration and implementation costs.
Other separately disclosed items relate to acquisition related management
bonus, legal and transaction related costs of acquisitions during the year and
certain other one-off legal fees.
2024 Staff costs Operating Taxation After tax
£000 costs £000 total
£000 £000
Restructuring - discontinued businesses 58 - (17) 41
Restructuring - ongoing businesses 3,403 62 (841) 2,624
Restructuring - global efficiency programme 983 571 (295) 1,259
CEO/Executive Chair compensation (158) - 40 (118)
People costs - additional headcount 767 - (192) 575
Transformation project costs 723 839 (519) 1,043
Total separately disclosed items 5,776 1,472 (1,824) 5,424
2. Separately disclosed items continued
Staff costs
· Additional headcount costs of (£767k) related to Shared Service
Centre salaries where there was non-productive duplication of roles during the
transition. These costs were treated as separately disclosed items as they are
one-off costs relating to the period of overlap of local with newly created
central roles, in relation to those functions being moved to the Shared
Service Centre.
· Chief Executive Officer compensation (credit of £158k) related
to the over accrual of three months of costs in 2023 relating to the gardening
leave of the former Chief Executive Officer, which was not worked.
Operating costs
The operating cost in 2024 mainly relates to recruitment costs for roles that
were moved to the Shared Service Centre and service charges and rates for the
vacant 30 Great Pulteney Street office in London.
3. Segmental information
Like-for-like segmental income statement
Segmental results are reconciled to the income statement in Note 1 of the
financial statements. The Board reviews LFL results.
The Group's operating segments are aligned to those business units that are
evaluated regularly by the chief operating decision maker (CODM), namely the
Board, in making strategic decisions, assessing performance and allocating
resources.
Assets and liabilities are not regularly reported to the Board and so are not
presented here by operating segment.
The operating segments have historically comprised individual country
entities, the financial information of which is provided to the CODM and is
aggregated into specific geographic regions on an LFL basis, with each
geographic region considered a reportable segment. Each country included in a
region has similar economic and operating characteristics. The products and
services provided by entities in a geographic region are all related to
marketing communications services and generally offer complementary products
and services to their customers.
When considering segmental information by Specialism, as the Group continues
to move away from the traditional Advertising business, we present the
Non-Advertising Specialisms in aggregate to allow users to understand the
different financial performance of these Specialisms when compared to the
Advertising business. The Group chooses to aggregate the Non-Advertising
Specialisms in one segment as we consider that they have similar economic
characteristics, with similar products, services and production processes.
The Group's performance is also assessed under a structure of Specialisms, and
this is reported under two segments: Advertising and Non-Advertising
Specialisms, excluding Group central costs.
Segmental information by geography
UK Americas APAC Middle East Europe Group central costs LFL total
Year ended 31 December 2025 £000 £000 £000 £000 £000 £000 £000
Net revenue 102,916 41,920 36,211 11,631 12,032 - 204,710
Operating profit / (loss) 19,377 2,863 4,769 1,787 2,228 (6,080) 24,944
Operating profit margin 19% 7% 13% 15% 19% - 12%
Profit / (loss) before tax 18,855 2,775 3,774 1,673 2,171 (9,823) 19,425
3. Segmental information continued
UK Americas APAC Middle East Europe Group central costs LFL total
Year ended 31 December 2024 £000 £000 £000 £000 £000 £000 £000
Net revenue 107,887 42,688 46,730 11,227 12,357 - 220,889
Operating profit / (loss) 27,367 6,016 8,406 2,179 2,201 (12,434) 33,735
Operating profit margin 25% 14% 18% 19% 18% - 15%
Profit / (loss) before tax 26,183 5,683 7,637 2,124 2,195 (14,578) 29,244
Segmental information by Specialism
Advertising Non- Advertising Specialisms Group central costs LFL total
Year Ended 31 December 2025 £000 £000 £000
Net revenue 68,552 136,158 - 204,710
Operating profit / (loss) 7,718 23,306 (6,080) 24,944
Operating profit margin 11% 17% - 12%
Profit / (loss) before tax 7,328 21,920 (9,823) 19,425
Advertising Non- Advertising Specialisms Group central costs LFL total
Year Ended 31 December 2024 £000 £000 £000
Net revenue 75,173 145,716 - 220,889
Operating profit / (loss) 8,369 37,800 (12,434) 33,735
Operating profit margin 11% 26% - 15%
Profit / (loss) before tax 7,888 35,934 (14,578) 29,244
Non-current assets other than excluded items:
2025 2024
As at 31 December £000 £000
UK 32,722 35,195
APAC 8,881 11,891
Americas 14,050 17,680
Europe 4,136 4,239
Middle East 3,209 1,523
Total non-current assets other than excluded items 62,998 70,528
Non-current assets excluded from analysis above:
Deferred tax assets 2,214 4,840
Other financial assets 34 668
Total non-current assets per balance sheet 65,246 76,036
Allocation of non-current assets by country is based on the location of the
business units. Items included comprise fixed assets, intangible assets, IFRS
16 assets and equity accounted investments.
4. Revenue from contracts with customers
Billings comprises all gross amounts billed, or billable, to clients and is
stated exclusive of VAT and sales taxes. Billings is a non-GAAP measure and is
included as it influences the quantum of trade and other receivables
recognised at a given date. The difference between billings and revenue is
represented by costs incurred on behalf of clients for whom entities within
the Group operate as an agent and timing differences, where invoicing occurs
in advance or in arrears of the related revenue being recognised.
Net revenue is a non-GAAP measure and is reviewed by the CODM and other
stakeholders as a key metric of business performance.
Revenue recognition policies
Revenue is stated exclusive of VAT and sales taxes. Net revenue is exclusive
of third-party costs recharged to clients, where entities within the Group are
acting as principal.
Performance obligations
At the inception of a new contractual arrangement with a customer, the Group
identifies the performance obligations inherent in the agreement. Typically,
the terms of the contracts are such that the services to be rendered are
considered to be either integrated or to represent a series of services that
are substantially the same, with the same pattern of transfer to the customer.
Accordingly, this amalgam of services is accounted for as a single performance
obligation.
Where there are contracts with services that are distinct within the contract,
then they are accounted for as separate obligations. In these instances, the
consideration due to be earned from the contract is allocated to each of the
performance obligations, in proportion to their standalone selling price.
Further discussion of performance obligations arising in terms of the main
types of services provided by the Group, in addition to their typical pattern
of satisfaction, is provided below.
Measurement of revenue
Based on the terms of the contractual arrangements entered into with
customers, revenue is typically recognised over time. This is based on either
the fact that (i) the assets generated under the terms of the contracts have
no alternative use to the Group and there is an enforceable right to payment,
or (ii) the client exerts editorial oversight during the course of the
assignment such that they control the service as it is provided.
Principal vs agent
When a third-party supplier is involved in fulfilling the terms of a contract,
then, for each performance obligation identified, the Group assesses whether
the Group is acting as principal or agent. The primary indicator used in this
assessment is whether the Group is judged to control the specified services
prior to the transfer of those services to the customer. In this instance, it
is typically concluded that the Group is acting as principal.
When entities within the Group act as an agent, the revenue recorded is the
net amount retained. Costs incurred with external suppliers are excluded from
revenue. When the Group acts as principal the revenue recorded is the gross
amount billed, and when allowable by the terms of the contract, out-of-pocket
costs, such as travel, are also recognised as the gross amount billed with a
corresponding amount recorded as an expense.
Treatment of costs
Costs incurred in relation to the fulfilment of a contract are generally
expensed as incurred if revenue is recognised over time.
4. Revenue from contracts with customers continued
Disaggregation of revenue
The Group monitors the composition of revenue earned on a geographic basis and
by Specialism.
LFL
2025 2024 2025 vs 2024
Revenue £m £m Movement
Specialism
Advertising 138.2 152.7 (9%)
Issues 98.7 109.5 (10%)
Passions & PR 53.0 57.5 (8%)
Consulting 25.9 35.3 (27%)
Media 25.2 22.6 12%
Group 341.0 377.6 (10%)
LFL
2025 2024 2025 vs 2024
Revenue £m £m Movement
Region
UK 170.3 188.7 (9%)
APAC 53.2 70.1 (24%)
Americas 68.3 69.8 (2%)
Middle East 23.2 24.6 (6%)
Europe 26.0 24.4 7%
Group 341.0 377.6 (10%)
Assets and liabilities related to contracts with customers
Contract assets and liabilities arise when there is a difference (generally
due to timing) in the amount of revenue that can be recognised and the amount
that can be invoiced under the terms of the contractual arrangement.
Where revenue earned from customers is recognised over time, many of the
Group's contractual arrangements have terms that permit the Group to remit
invoices for the amount of work performed to date on a specific contract
(described in the accounting policies as "right-to-invoice"). Where the terms
of a contractual arrangement do not carry such right to invoice, then a
contract asset is recognised over time, as work is performed until such point
that an invoice can be remitted.
Where revenue earned from customers is recognised at a point in time, then
this will be dependent on satisfaction of a specific performance obligation.
At such point, it is usual that there are no other conditions required to be
met for receipt of consideration and, as such, a trade receivable should be
recognised at the point the entity's right to consideration is unconditional,
which normally will be at the time the purchase order is satisfied (which may
not be the same as when an invoice is raised).
Contract liabilities arise where a customer has made payments relating to
services prior to their provision. Where payments are received in advance,
IFRS 15 requires assessment of whether these cash transfers contain any
financing component. Under the terms of the contractual arrangements entered
into by entities within the Group, there are no instances where such financing
elements arise. This is the case even for those arrangements where the Group
receives monies more than a year in advance by virtue of the terms of the
contractual agreement entered into.
The Group operates a standard 30-day credit terms policy. All contract
liabilities and contract assets brought forward from the previous year have
been realised in the current period.
Revenue recognition policies and performance obligation satisfaction by
category of services performed
Further details regarding revenue recognition and performance obligations of
the Group's main service offerings are summarised below.
4. Revenue from contracts with customers continued
Provision of advertising and marketing services
The provision of advertising and marketing services to clients typically meets
the criteria identified above for revenue to be recognised over time. The
quantum of revenue to be recognised over the period of the assignments is
either based on the "right-to-invoice" expedient or accrues as the services
are provided, depending on the contractual terms. In measuring the progress of
services provided in an assignment, the Group uses an appropriate measure
depending on the circumstances, which may include inputs (e.g. internal labour
costs incurred) or outputs (such as media posts). Where projects are carried
out under contracts, the terms of which entitle an entity within the Group to
payment for its performance only when a discrete point is reached (such as an
event has occurred or a milestone has been reached), then revenue is
recognised at the time that payment entitlement occurs, i.e. at a point in
time.
The provision of advertising and marketing services can encompass provision of
a range of media deliverables in addition to development and deployment of a
media strategy. Often the range of services provided within these arrangements
is considered to be integrated to an extent that no separable performance
obligations can be identified other than a single over-arching combined
performance obligation relating to the delivery of the project. In these
instances, revenue is recognised over time as the performance obligation is
being satisfied depending on the circumstances, which may include inputs (such
as internal labour costs incurred) or outputs (such as media posts).
When services provided are considered separable, and not integrated, then
multiple performance obligations are recognised. In these scenarios the
conceptual preparation element and the deliverable are considered to form
separate performance obligations with the revenue and corresponding cost of
sales (typically third-party pass-through costs) assigned to the obligation to
which they relate.
In instances where revenue cannot be recognised over time, the element of the
transaction price assigned to each performance obligation (in proportion to
stand-alone selling prices) is recognised as revenue once an obligation has
been fully satisfied - for example an event has occurred or a milestone has
been reached.
Some entities within the Group enter into retainer fees that relate to
arrangements whereby the nature of the entity's contractual promise is to
agree to "stand-ready" to deliver services to the customer for a period of
time rather than to deliver the goods or services underlying that promise.
Revenue relating to retainer fees is recognised over the period of the
relevant assignments or arrangements, typically in line with the "stand-ready"
incurred costs.
Where fees are remunerated to the agency in excess of the services rendered,
then a contract liability is recognised. Conversely, where the services
rendered are in excess of the actual fees paid, then a contract asset is
recognised when there is a right to consideration.
Certain of these arrangements have contractual terms relating to the agency
meeting specific customer identified KPIs. As a result, the overall level of
consideration can increase or decrease as a result of performance against
these KPI metrics. To reflect this variability in the overall level of
consideration, the most likely outcome is estimated by management and is
reflected in the revenue recognised as the performance obligation(s) of the
contract are satisfied. When determining the likely outturn position, the
estimated consideration is such that it is highly probable there will not be
significant reversal of the revenue in the future. The estimated portion of
the variable element is recalculated at the earlier of the completion of the
contract or the next reporting period and revenue is adjusted accordingly.
These estimates are based on historical award experience, anticipated
performance and best judgement at the time.
4. Revenue from contracts with customers continued
Commission-based income in relation to media spend
The Group arranges for third parties to provide the related goods and services
to its customers in the capacity of an agent. Revenue is recognised in
relation to the amount of commission the Group is entitled to. Often
additional integrated services are provided at the same time as part of the
development and deployment of an overarching media strategy. Due to the
integration of the services provided under the terms of the contract,
management judgement is applied to assess whether there is a single combined
performance obligation.
The performance obligation for media purchases is considered to have been
satisfied when the associated advertisement has been purchased. In the
majority of instances where the Group purchases media for clients, the Group
is acting as agent.
Commission based income in relation to talent performance
Revenue in relation to talent performance involves the Group acting as agent.
Typically, such arrangements have a single, or a sequence, of specific
performance obligations relating to the talent (or other third party)
providing services. The performance obligations are generally satisfied at a
point in time once the service has been provided, at which point, revenue is
recognised. The consideration for the services is normally for a fixed amount
(as a percentage of the talent's fee) with no degree of variability.
Recognition of supplier discounts and rebates as revenue from contracts with
customers
The Group receives discounts and rebates from certain suppliers for
transactions entered into on behalf of clients, which the clients have agreed
the Group can retain. When the contractual terms of the agreements entered
into are such that the Group acts as agent in these instances, then such
rebates are recognised as revenue from contracts with customers. By contrast,
when the contractual terms of the agreements are such that the Group is acting
as principal, then such rebates are recognised as a reduction in direct costs.
Certain of the Group's clients, however, have contractual terms such that the
pricing of their contracts is structured with the rebate being passed through
to them.
1 (#_ftnref1) That decision and the final allocation of funds remain subject
to formal Board approval.
2 (#_ftnref2) Based on retained clients who accounted for 94% of 2024
revenue.
3 (#_ftnref3) Passions includes the PR business (moved from Advertising)
as of 2024.
(( 4 (#_ftnref4) )) 83% of the decline can be attributed to Australia.
5 (#_ftnref5) 62% of the decline can be attributed to Australia.
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