Famous advertising firm M&C Saatchi saw revenues rise in 2014, but profits fall, it announced yesterday.
The firm saw solid growth in all major markets, with UK revenues up nine per cent on the year, driven by increasing use of mobile advertising and customer relationship management (CRM) software.
The strongest growth was in the Americas, where revenues leapt 51 per cent on the back of Saatchi’s acquisition of a 33 per cent stake in New York-based SS+k.
Overall group revenues increased by a modest five percent in the year ending 31 December to £169m. However, pre-tax profits at the firm slipped from £8.6m to £6.2m during the period on a reported basis.
David Kershaw, chief executive, said: “[Last year] was another year of excellent progress for M&C Saatchi. Our strategy of consistent growth through winning new business and starting new businesses continues to deliver good results. We are confident we will continue to make good progress in 2015 and beyond.”
Despite the rise in revenues, investors were unimpressed, sending shares down 3.48 per cent at the close.