22 January 2019 – trading update

A trading update has been released covering the year ended 31 December 2018, ahead of the final results announcement on 9 April.  As expected, 2018 finished strongly and this means that results for the year are due to be in line with market expectations.  Revenue will be over 10% higher than 2017, reflecting core growth of around 5% and the first contribution from krow Communications.  Headline profit before tax  is expected to be up over 20% at £9.4m.  Net bank debt as at 31 December 2018 was £4.0m, slightly better than market expectations, which will see the company paying lower interest than it did previously.  We continue to rate the shares as a BUY.