15 Mar 2011 07:00
Tangent Communications plc ("Tangent" or the "Group")
Pre-close Trading Update
Tangent Communications plc, the integrator of creative technology and marketing strategy, provides an update on trading in advance of its preliminary results announcement for the year ended 28th February 2011, which is expected to be published in May.
Tangent is pleased to announce that full year revenues, profits and margin have increased significantly over the prior year, and expects to report pre-tax profits before exceptional items ahead of current expectations.
The second half of the 2010-11 financial year has progressed satisfactorily with profits ahead of the same period in the prior year, albeit not at the rate of the strong first half which traditionally sees greater activity than in the second half.
The Group has provided in 2010-11 for an exceptional bad debt experienced by the Melbourne office of over £100,000 as a result of the entry into administration of Red Group Retail, which will reduce reported profits by a similar amount. The Group will enter into discussions with the administrator in order to try and recover this amount.
Current trading in Ravensworth, Tangent's digital print centre, continues to perform well with revenues from estate agents up over 10% year on year through January and February 2011. The direct and digital marketing brands Snowball and Tangent One continue to perform strongly. Key accounts continue to develop; expanding their relationship with Tangent and using its broader offering across data, software and services.
Significantly, we have launched our service for Carlsberg UK and have been appointed to roll out across Carlsberg Europe with planned installations for Denmark, Sweden and Switzerland in 2011.
The outlook for the business is positive although Tangent's underlying markets remain dependent on the strength of the underlying economic recovery.
For further information, please contact:
Tangent Communications plc
Timothy Green 020 7462 6100
Collins Stewart
Adrian Hadden / Stewart Wallace 020 7523 8350
About the Company:
Tangent is a leading integrator of technology and marketing strategy. Taobase, our pioneering technology environment drives creativity and strategy to be applied at scale across multiple communications channels. This platform supports the Tangent business through e-commerce, mrm (marketing resource management), email, mobile and print.
Tangent employs 230 people across four locations in London, Newcastle, Cheltenham and Melbourne and is traded on AIM (AIM: TNG). For more information please visit www.tangentplc.com