Trading Update

RNS Number : 8184Z

St. Ives PLC

16 December 2014

 



16 December 2014

St Ives plc

Trading update

St Ives plc, the UK's leading marketing and print services group, is today publishing a trading statement covering the period from 2 August 2014 to date.

We continue to make good progress in executing our stated strategy, and our underlying operating profit and margin are both ahead of the equivalent period for the prior year. Group revenue is running approximately 9% ahead of the prior year due to a combination of acquisition and organic growth.

Marketing Services

Our Marketing Services segment continues to grow and is performing well, in line with expectations. Revenues were significantly ahead of the same period last year, driven primarily by acquisitions, and the operating margin has increased.

We are very pleased with the performance and strategic contribution of Realise and Hive, our most recent acquisitions, following their successful integration into the Group. Across the segment we have invested in additional headcount for organic growth, including a digital/CRM joint venture between Amaze and Occam and building out our eCommerce practice within Amaze. In addition, we continue to seek opportunities for growth through acquisition to build upon and extend our capabilities, around the four established pillars of data marketing, digital marketing, consultancy services and field marketing.

Print Services

Our Print Services businesses continue to perform well, despite trading conditions remaining challenging, particularly in the retail sector.  Overall Print Services revenues were broadly flat, reflecting the exit from the direct mail printing market in the prior year. We will continue to invest in the Print Services businesses in order to maintain their market leading positions in book printing and associated services, and in marketing print.

Outlook

We now have an exciting and growing Marketing Services proposition which has been successfully expanded and strengthened through acquisition over the past year along with a profitable and cash-generative Print Services business.

Our balance sheet remains in a strong position, giving us the capacity to invest further in our existing businesses and, where appropriate, acquire further marketing services businesses that meet our stringent criteria and enhance our client offering.

Overall, the new financial year has started well, providing us with an excellent platform from which to support our strategy for future growth.

Ends

For further information contact:

St Ives plc Matt Armitage, Chief Executive Brad Gray, Chief Financial Officer	020 7928 8844
MHP Communications John Olsen Giles Robinson	020 3128 8100

Gina Bell

 

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