Britain's M&C Saatchi posts higher profit as clients' ad spend improves (updated)

Rakuten

18/09/2024 07:38

(Adds details from statement in paragraphs 2 and 4)
       Sept 18 (Reuters) - British advertising group M&C
Saatchi  SAA.L  posted a 26% rise in first-half profit on
Wednesday, and forecast its annual results in line with market
view, aided by improved advertising spend from clients,
cost-saving measures and asset sales.
    Business from the existing client base remained strong with
about 75% of last year's clients choosing to spend in the first
half of the year, the company said, adding that it now has
high-profile clients such as McDonald's  MCD.N , Ford  FORD.O ,
IKEA and Sony Pictures to its blue-chip roster. 
    In response to pressure from tech clients' marketing
cutbacks last year, M&C Saatchi, under new CEO Zaid Al-Qassab,
had been strategically divesting some businesses to enhance
margins and profitability.
        The advertising group, with clients such as Amazon
 AMZN.O  and Japan's Rakuten  4755.T  posted 14.2 million pounds
($18.71 million) in like-for-like profit before tax for the
six-month period ended June 30, from 11.3 million pounds a year
earlier. 

    ($1 = 0.7591 pounds)
    

 (Reporting by Radhika Anilkumar in Bengaluru; Editing by Sherry
Jacob-Phillips)
 ((Radhika.Anilkumar@thomsonreuters.com;))