BrainJuicer first half gross profits up; to early to assess Brexit impact

AIM-listed market research agency BrainJuicer said first half revenues were up 13% and gross profits15% as it expected full year results to be in line with expectations.

The company, which operates largely in the US, said it was too early to assess the impact of Britain's decision to leave the EU.

“The decline in the value of sterling versus the US dollar, the euro and other leading currencies following the referendum on the UK's membership of the EU benefits the company's non-UK profits reported in sterling,” the company said in a trading statement.

“The results of our overseas businesses are translated into sterling using monthly average exchange rates. Beyond this, it is too early to say what the impact of the UK's exit from the EU on the market research budgets of our clients is likely to be.”

BrainJuicer said the US performed strongly, with gross profit rising by 27%; gross profit in Continental Europe and Brazil also grew well, increasing by 30% and 22% respectively.

However, gross profit in the UK, its second largest market, fell by 2%, and in the China and Singapore region it also declined slightly by 5%.