M&C Saatchi Share News (SAA)

(Sharecast News) - Advertising firm M&C Saatchi said on Tuesday that it had delivered a "record performance" in 2022, in line with expectations.

M&C Saatchi stated full-year net revenues were expected to be 9% higher at £271.0m, reflecting a "strong performance" in its higher growth specialisms and in the UK and Americas.

Full-year pre-tax profits were projected to be at least £31.0m, underpinned by "strong new business wins and central cost savings" and the largest headline profit ever generated by the company.

M&C added that net cash on 31 December was £30.0m, down from £34.4m twelve months earlier, while the drawdown on its revolving credit facility was reduced from £20.0m to £7.0m, providing it with further flexibility for the resumption of dividend payments in 2023 and satisfying future capital and investment requirements.

Chief executive Moray MacLennan said: "2022 was another record year for M&C Saatchi. We remained focussed on delivery for our clients, resulting in excellent retention and new business wins. Investment in new capabilities and our unique specialist expertise position us well for 2023, and beyond."

On another note, chairman Gareth Davis announced that he does not intend to seek re-election at the group's annual general meeting but will continue to act in the capacity until his replacement has been appointed.

As of 0940 GMT, M&C shares were up 0.60% at 168.0p.

Reporting by Iain Gilbert at Sharecast.com