REG - System1 Group PLC - Ad Ratings and Trading Update

System1Announcement

10/09/2018 07:05

RNS Number : 1970A
System1 Group PLC
10 September 2018
 


 
 
 



Press Release


10 September 2018



 
 
System1 Group PLC (AIM: SYS1)
("System1", or "the Company")
 
 
Ad Ratings and Trading Update
 
System1 announces that it is preparing to launch its new Ad Ratings subscription service later in the current financial year.  This service will provide clients with access to a large database of adverts broadcast in the UK and the US which are rated using the Company's advertising effectiveness measures.  It will enable clients to compare the effectiveness of their adverts with those of competitors and to correlate advertising effectiveness with media spend.
 
The Company is investing a significant amount in developing this service, which it views as having strategic importance both in supporting the current business and in broadening the use of its core intellectual property to create new scalable revenue streams.  Over H1, the Company will have invested some £1.8m and further material investment is planned in H2.
 
This investment is being undertaken at a time when current business revenues are stabilising, albeit at a slower rate than anticipated.  As a result of lower operating costs (excluding Ad Ratings) a return to growth in operating profits vs H1 prior year (again, excluding Ad Ratings) is anticipated.  The Company believes that revenues from the Ad Ratings service will begin towards the end of H2.
 
The Company will be providing its usual trading update soon after its H1 period end (30 September 2018).
 
The Company can be found at www.system1group.com.
 
 
 
For further information, please contact:



System1 Group PLC


Tel: +44 (0)20 7043 1000


 




John Kearon, Chief Executive Officer






 




James Geddes, Chief Financial Officer






 




Canaccord Genuity Limited


Tel: +44 (0)20 7523 8000




Simon Bridges / Emma Gabriel







 




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