Despite significant investments, AIM-listed firm saw margins and revenues improve
Companies: System1 Group
International marketing and market research agency BrainJuicer Group released a strong trading update on Thursday, reporting solid revenue and pre-tax profit growth after favourable currency tailwinds gave the firm a boost.
The Group's H1 momentum continued into H2, and for the 12 months as a whole, revenue grew 24% (15% in constant currency), with gross profit up 27% (15% in constant currency).
Margins improved compared to 2015 as overheads grew at a slower rate than revenue, despite investment in new services and in setting up its new Advertising Agency business.
Cash flow was also strong, with the AIM-listed firm finishing the period with £7.75m in cash and no debt, which is after having returned £5.25m to shareholders in dividends and buy backs.
Founder and CEO of Brainjuicer, John Kearon, said he was delighted by the launch of System 1, the Group's new ad agency, and that he was looking forward to further growth:
"Our double-digit growth is testament to the strength of our pioneering System 1 research methods and the hard work of a fantastic team...
...looking forward to further growth in our core-four research products in the year to come."
Brainjuicer's share price fell marginally as the markets opened on Thursday.