St Ives confident despite headwinds

Marketing services and print group St Ives said it made a good start to the current financial year with revenue for the fourteen weeks to November broadly flat compared to the year before.

Margins improved and underlying operating profit rose compared to last year.

The group, which bought three new marketing services earlier this year as part of its move away from print, said growth across its marketing services businesses from end of July to date was offset by the revenue impact of its decision to exit print markets.

St Ives said trading conditions in print remain challenging but despite the anticipated fall in revenue, it has improved margins and maintained underlying operating profit.

In marketing services revenue and underlying operating profit were significantly ahead of the equivalent period for last year and all of its acquisitions have integrated well.

"The actions we have taken to reposition the group have enabled us to make progress in spite of headwinds in the UK economy," the group said in a statement.

"The new financial year has started well, the balance sheet remains strong and we remain confident that further progress will be made as we continue to execute our strategy."

CJ