Communisis Share Price (CMS)

PRINT and marketing group Communisis said that trading during the first three months of 2013 is in line with management expectations. The group said its broad range of services is helping it to gain custom in the UK market and several of its most recently won contracts are now up and running. The international business is also expanding, particularly in the consumer goods sector, where it sees good long-term potential for growth. During the period, the group raised £20m in an oversubscribed equity placing. The proceeds have been earmarked for investment in new contracts, restructuring costs, small acquisitions and working capital. The firm said it will issue a detailed update on its progress in results in early August. Communisis recently won a three-year contract with Yorkshire Building Society to produce all of the lender’s direct mail. It will also manage the Yorkshire’s point of sale branch material and provide access to a marketing technology platform for future campaigns. Communisis, which has its registered office in Leeds, said the new contract will strengthen its presence in the mutual sector where it now works for all of the top ten UK building societies. The group also announced a three-year contract with Thames Water to produce a clearer bill which is being produced on the HP T400 high-speed colour digital platform at the group’s transactional centre of excellence in Liverpool.

http://www.yorkshirepost.co.uk/business/business-news/communisis-expands-its-footprint-as-new-contracts-kick-in-1-5659819

Leading provider of personalised customer communication services, Communisis plc (LSE: CMS), issues its Interim Management Statement for the first quarter ended 31 March 2013. The Board is pleased to confirm that trading during the period has been in-line with management expectations. The Group's broad range of services continues to gain traction in the UK market and several of the most recently secured contracts, especially in the transactional sector, are being successfully implemented. The international business is also expanding, particularly in the FMCG sector, where there is good long-term potential for growth. During the period, the Group successfully raised growth capital of £20m (before the deduction of fees and expenses) in a substantially oversubscribed equity placing. The net proceeds of this placing have been earmarked for investment in new contracts, for restructuring costs and for small acquisitions and working capital. These funds will enable the Group to maintain good progress against its key strategic objectives. The Board will issue a detailed update on its progress and strategic plans alongside results for the period to 30 June 2013, expected to be issued on 1 August 2013.

68p target set by Panmure Gordon today! Got this in my ISA today!

Many thanks joerog. Much appreciated.

High quality global journalism requires investment. Please share this article with others using the link below, do not cut & paste the article. See our Ts&Cs and Copyright Policy for more detail. Email ftsales.support@ft.com to buy additional rights. http://www.ft.com/cms/s/0/f38fc908-8c8a-11e2-aed2-00144feabdc0.html#ixzz2O0OuTNnN Despite my concerns about broad market conditions, I notice that some UK companies continue to offer solid investment potential. A good example is Communisis (CMS), a marketing services outfit that has quietly transformed its business. It used to be a bulk mailer and cheque book printer and now specialises in personalised, targeted mailings. Financial services once accounted for virtually all of its revenue, but growth in higher margin services to other industrial segments now accounts for 50 per cent of its business. I first wrote about Communisus last August when shares were about 30p. I viewed the company’s transformation as a “work in progress” with considerable growth potential. Prices now stand in the 50p area, but my analysis of company prospects remains the same. Pre-tax profits rose by 60 per cent in 2012. If City forecasts are to be believed, a similar level of profit growth should be pencilled in for the current financial year. Stock market historian David Schwartz is an active trader writing about his own investments. To comment, visit ft.com/money or email tradersdiary@ft.com