M&C Saatchi sees FY profits 'materially ahead' as FCA drops probe

Advertising and marketing group M&C Saatchi said on Friday that as a result of "a strong end to the year", it now believes full-year 2021 headline pre-tax profits will be "materially ahead" of previous expectations.

M&C Saatchi stated its "strong trading performance" had further strengthened the group's cash position, providing it with balance sheet flexibility to settle put option liabilities as they fall due in 2022, resume the payment of dividends, and continue the delivery of its growth strategy.

The AIM-listed firm highlighted that said momentum had continued into the start of 2022, with the group already securing major client wins.

Elsewhere, M&C Saatchi reported that the Financial Conduct Authority had notified it that an investigation into the company, first announced in January 2020, had been closed and that no enforcement action would be taken against the firm by the FCA.

As of 0825 GMT, M&C shares were up 5.18% at 185.11p.