Motivcom plc, the marketing services group that owns event and communications agencies P&MM, Zibrant, AYMTM and Summersault, announced a gross profit of £13.9m and a net operating profit of £1.3m for the first six months of 2012, with Stock Exchange analysts Numis Securities predicting that the company would grow by 10 per cent in net operating profit for the full year, due to significant major event activity that included involvement in the Olympic Games.
According to Numis' report on the company's events division: "Motivcom has enjoyed some good 'pockets' of growth and has been successful in winning new clients for 2012. Nevertheless, it predicts only 'modest' growth in 2012."
Nigel Cooper, Motivcom’s divisional managing director, said: “Our half year results do fluctuate wildly based on the timing of major events. Across the group we have several significant events in the second half of this year, including more than £5m worth of Olympic accommodation, a conference for 10,000 people in Budapest in September and a six-week global car launch in October. Whilst trading is always bumpy in a recession, we remain on track to deliver [Numis’] forecasts.”
Motivcom's last accounts for the year ending 2011 showed its events division contributed £16.2m to an overall gross profit of £29.5m, a five per cent increase on 2010, although heavy investment in technology saw Zibrant's operating profit drop from £2.01m to £912k, despite its gross profit increasing by four per cent to £10.4m.
Pictured: Nigel Cooper