M&c Saatchi Share Discussion Threads

[envirovision] 25/3/2011 10:18

SAA FY bullet points from yesterday

-Final dividend of 3.03 pence per share, making a total of 3.90 pence, up 7.7% on 3.62 pence paid in 2009.
-Group revenue for the year ended Dec. 31, 2010, GBP125.1 million (2009: GBP103.4 million).

-Headline pretax profit GBP13.3 million (2009: GBP10.3 million).

-Diluted EPS 4.04 pence (2009: 9.69 pence).

-Headline diluted EPS 12.26 pence (2009: 9.67 pence).

-Headline operating margin 10.6% (2009: 10.0%).

-Cash at year-end of GBP31 million (2009: GBP15 million)

-Group debt GBP2.3 million (2009: GBP4.4 million).

-2011 has started well with the good revenue momentum built through 2010 continuing into the new year.

-Remains cautious about the macro environment.

-Board is confident that company will continue to make progress in 2011 and beyond.

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IC View: GoodValue
Despite recent gains, the shares still only trade on a fairly undemanding 10 times expected earnings. That doesn't do full justice to the group's impressive growth profile. Good value. Housebroker Numis Securities expects adjusted pre-tax profit of £14.5m for 2011, giving EPS of 14p (2010: £13.3m/12.3p).

[rafieh] 24/3/2011 07:12

Smashing set of figures, again. Let's see if we break out of the all time high.

[rjdeadly] 04/10/2010 16:01

Despite the surprising lack of interest here, I thought the results were good. Forward P/E

[tom111] 15/9/2010 20:57

Anyone out there

[tom111] 10/9/2010 18:48

remarkable lack of interest in this stock

[tom111] 08/9/2010 16:27

Certainly broken out

[tom111] 06/9/2010 15:55

looks all very sleepy here however the results are looming and we seem to be having a bit of action at last,note the breakout

[jeff h] 08/4/2010 16:39

A week without word...should be a RNS by now...hopefully news tomorrow

[markie7] 03/4/2010 08:30

HUGE volume here. wow.

[jeff h] 02/4/2010 20:39

Blimey I post an article and 25% of the share capital is traded yesterday!

No doubt will shortly find out who's been buying and selling.

[jeff h] 01/4/2010 08:51

"....Singer Capital Markets noted that advertising firm M&C Saatchi (SAA), which is now acting for the Conservative Party in a bid to recapture the magic of 1979, is seeing a substantial pick-up in pitching to prospective new clients, in contrast to the previous year that was driven by clients looking for fee reductions. However, the firm has obviously been successful in this last activity, since there were no major losses from among its client portfolio. Current trading is strong, and the global network is expected to grow as new start-up offices make inroads, resulting into a move into profit in 2010 from losses of 1.5-1.8 million pounds. The firm is also making strenuous efforts to gain ground in the new market of mobile iphones. The broker expects M&C Saatchi to grow faster than rival WPP, and the firm is cheaper on 8 times 2010 earnings, compared to WPPs 13.1 times. It kept its stance at buy. The shares fell by 2p to 76p."

[jeff h] 26/3/2010 08:06

New high profile work back working with the Conservative party for the forthcoming General Election:-

[jeff h] 25/3/2010 10:59

Thought the results were very decent.

2010 has started well and the losses from the new offices will be much reduced this year (making a forecast profit in 2011)

Would think profits will be at least 10% ahead this year.

I'm sure a few Buy recs will come in.

[qs9] 25/3/2010 10:41

Looks like decent results IMO....any views?

[jeff h] 22/3/2010 14:33

Thanks for that sleepinggiant...couldn't have put it better myself!

Wondered why there had been far more trades than usual today.

[sleepinggiant] 22/3/2010 12:32

Numis: M&C Saatchi (Buy, TP: 120p) Preliminary results preview

M&C Saatchi will report preliminary results on Thursday, 25th March. The larger marcom groups which have already reported have all indicated a stabilisation in revenue in Q4 which has continued into 2010. We expect marcoms spend to be approximately flat in 2010, though see upside risks to this as we progress through the year, and see scope for margin improvement as the full year benefit of cost savings and lower restructuring charges feeds through. M&C reported an organic revenue decline of -7.5% in H1 and the margin contracted -3.8pts to 11.1%. At its September interims the group stated that trading was 'not as bad as we once anticipated' and it confirmed in December that profit for 2009 would be 'not less than £10.0m'. We remain supportive of the group's new office openings (Geneva, Sao Paolo and Tokyo). M&C has a solid balance sheet and is well placed to benefit from recovery as it comes through. The larger agencies (Aegis, WPP) have been re-rated to 12x and we continue to see very attractive medium-term upside in the smaller agencies, with M&C trading on just 7x.

[jeff h] 22/3/2010 12:29

Surprised there's little interest here....I bought in last week...results this Thursday.

This is what they said in December:-

"The trading outlook for the full year is in line with management expectations, with headline profit before tax1 for the year to 31 December 2009 at not less than £10.0m."

....so not less than £10m profit against a market cap of £45m...excellent value I'd say.

[diku] 26/3/2009 10:13

Good results...anybody here?...

this could be a good take over by a larger media company...

[diku] 30/1/2009 12:52

Is that the overhang getting cleared...

[cambium] 29/1/2009 14:35

considering Huntsworth etal are doing Ok, this is suffering bad!

[markie7] 29/1/2009 14:29

30p - ouch

[liarspoker] 27/2/2008 11:02

Might be time for a revisit even though they've lost the DOM contract.

[protean] 03/5/2007 11:10

Tipped again in the Independent...



M&C Saatchi

Our view: Buy

Share price: 168p (+0p)

Arguably the most famous names in British advertising have also been one of the best performing stocks in the small caps over the past six months, adding more than 45 per cent since November.

Although the name is slightly misleading, with only Maurice of the Saatchi brothers playing any role in the running of the company, M&C Saatchi has been one of the fastest growing agencies in the sector. That said, it is still only capitalised at just under £90m, so growth has either stalled or there is plenty left in the tank.

Monday's departure of Christine Walker from Walker Media, an agency in which Saatchi has a 75 per cent stake, was well flagged. As a result of her departure analysts expect the company to buy up the remaining 25 per cent of the agency it does not already own.

Saatchi has built a strong European presence in the past two years by investing £3m in offices in Paris, Berlin and Madrid. This investment should drive growth by offering clients a pan-European approach to advertising while retaining a creative edge, without forcing clients down a more corporate route.

M&C Saatchi trades on a forward earnings multiple of 14 times forecast 2008 earnings, but with top-line growth accelerating and investment in new offices likely to take a back seat over the next 12 months there is scope for upgrades.

The advertising industry is never shy of a deal, and, while investors should not buy any stock based on takeover hopes, more consolidation should not be written off. If Saatchi stays independent, expect to see its valuation move more into line with its peers, meaning the stock remains a buy.

[jakleeds] 22/3/2007 10:43

Yes you're right. I reckon there'll be market weakness in the months ahead and I will get into CFE if I can, it's always difficult to buy when the price is rising.

Made a few quid out of SNCL recently, who are restructuring :-)