Ebiquity FY underlying operating profits seen 'materially ahead' of expectations

Marketing and media consultancy Ebiquity said on Monday that full-year underlying operating profits seen materially ahead of expectations thanks to improved revenues and cost management efforts.

Ebiquity stated revenues had grown 12% as it benefitted from strong growth in higher-margin digital media solutions revenue.

As a result of both the revenue bump and "continued prudent cost management", Ebiquity now expects 2021 underlying operating profits to be "materially ahead of market expectations" at no less than £4.7m.

The AIM-listed firm added it also continued to achieve strong cash conversion in the year, with net debt as of 31 December sitting at £4.8m, made up of a £13.2m cash balance and gross debt of £18.0m, significantly lower than previously anticipated.

Ebiquity also revealed it had acquired Forde and Semple Media Works, a Canadian media performance consultancy for an undisclosed sum as part of an effort to extend its geographic presence in North America and enhance its offering to both its US and global client base.

As of 0905 GMT, Ebiquity shares were up 4.35% at 60.0p.