Jaywing performs in line with expectations

(ShareCast News) - Jaywing, an AIM-listed provider of digital marketing services, reported profit growth of 11% in the first half, in line with its expectations.Gross profit rose to £17m in the six months ended 30 September 2016 from £15.4m in 2015. Adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) rose to £2.1m from £1.8m and the adjusted EBITDA margin was 12.5%, up from 11.7%. Adjusted operating profit rose to £758,000 from £503,000.The group incurred a loss of £384,000 compared to a profit of £21,000 in the previous period, due to one off acquisition costs.Basic earnings per share on adjusted EBITDA was 1.66p compared to 1.46p in the previous period.Net debt reduced to £3.4m from £6.4m in 2015 due to "strong cashflow".Chairman Ian Robinson said: "The first half of the financial year has seen Jaywing continue make excellent progress in its growth strategy. EBITDA was up 12% organically and up by 18% after including the impact of two recent strategic acquisitions in Australia and the UK, both of which were completed towards the end of the half year in year in July and August respectively."Putting (advanced) data science at the heart of all our service offerings remains our core objective and is a key differentiator. This is being achieved through effective internal collaboration across varied but complementary skill sets across Jaywing. This enables us to provide bespoke and highly effective solutions to our clients' most challenging briefs."The share price rose to 6.28% to 28.69p at the close.