REG - Mission Group PLC - Trading Update

MissionAnnouncement

27/07/2023 07:15

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RNS Number : 2974H  Mission Group PLC (The)  27 July 2023

27 July 2023

The MISSION Group plc

("MISSION" "The Company" or "The Group")

TRADING UPDATE AND NOTICE OF RESULTS

MISSION Group plc (AIM: TMG), creator of Work That Counts(TM), comprising a
group of digital marketing and communications Agencies delivering real,
sustainable growth for its Clients, is pleased to issue a trading update for
the six months ended 30 June 2023 ("the period" or "H1").

 

Trading Update

MISSION has secured notable new Client wins during H1, including; UK Space
Agency, Macmillan Coffee Morning, M1 Telecom, Goldman Sachs, Jägermeister
and Worldpay, among others, and looking ahead, the new business pipeline
remains strong.

As a result, the Group expects to report overall revenue growth of 12 percent
to £42.0m (30 June 2022: £37.5m) for the period, with headline operating
profit of £1.9m (30 June 2022: £2.2m). Headline profit before tax for the
period has been impacted by higher interest rates and is expected to be £1.0m
(30 June 2022: £1.8m).

Revenue growth has been driven by strong progress across MISSION's Lifestyle
& Property, Sports & Entertainment and B2B sectors. However, the Group
has not been immune from the challenges in the US technology sector and the
reduced level of activity in this market in 2023 has impacted margin mix,
particularly in comparison to 2022.

MISSION has a significant second-half weighting with respect to profitability.
Revenue growth is anticipated across all sectors with run rates from the US
technology sector starting to return to 2022 levels. Whilst the Group remains
on track to meet full-year guidance, profitability is likely to be at the
lower end of the Board's expectations, with profit before tax expected to
exceed that of 2022 (£7.8m).

In line with its stated strategy for growth, the Group continues to expand its
capabilities in new areas of opportunity. In H1, this included the acquisition
of Mezzo Labs, a global data science and digital analytics consultancy, and
the launch of Turbine, an integrated Growth Media agency specialising in
earned, owned and paid media for consumer brands.

MISSION has been pleased with the progress made to integrate both these
offerings into the wider Group and continues to drive cross-Agency synergies.

Commenting, James Clifton, Chief Executive Officer of MISSION said:

"Despite the more challenging trading environment, it is pleasing to see
double-digit revenue growth and continued strong Client retention and
acquisition. The investments made across the Group in recent years underpin a
robust performance for the period.

"We enter H2 with a degree of caution linked to the wider economic backdrop
but with the tailwind of notable Client wins and an encouraging pipeline of
new business opportunities, which reinforce the Board's confidence in the
long-term outlook for the Group."

 

Notice of Results
The Group expects to announce its interim results for the six months ended 30
June 2023 on 26 September 2023.

 

ENDS

ENQUIRIES:

 James Clifton, Chief Executive Officer

 Giles Lee, Chief Financial Officer

 The MISSION Group plc                                     020 7462 1415

 Simon Bridges / Andrew Potts / Harry Rees
 Canaccord Genuity Limited (Nominated Adviser and Broker)  020 7523 8000

 Kate Hoare / Alexander Clelland / India Spencer
 HOUSTON (Financial PR and Investor Relations)             0204 529 0549

 

NOTES TO EDITORS

MISSION is a collective of Creative and MarTech Agencies led by entrepreneurs
who encourage an independent spirit. Employing over 1,000 people across 29
locations and 3 continents, the Group successfully combines its diverse
expertise to produce Work That Counts TM for our Clients, whatever their
ambitions. Creating real standout, sharing real innovation and delivering real
growth for some of the world's biggest brands. www.themission.co.uk
(https://eur03.safelinks.protection.outlook.com/?url=http%3A%2F%2Fwww.themission.co.uk%2F&data=04%7C01%7C%7C2e2f37c792c7415afaad08d947a9c473%7Cb7e4783d67604ed5b0c156d405b9349b%7C0%7C1%7C637619616734507818%7CUnknown%7CTWFpbGZsb3d8eyJWIjoiMC4wLjAwMDAiLCJQIjoiV2luMzIiLCJBTiI6Ik1haWwiLCJXVCI6Mn0%3D%7C2000&sdata=5duO%2FyhgYrmP5I17h1eW4mAaM4%2BhySTEObFl5Dz5R%2Fs%3D&reserved=0)

 

 

 

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