News & Press
30th July 2008
Hasgrove plc (AIM: HGV, ‘Hasgrove’ ‘the Group’), the pan European marketing and communications services group, is providing a trading update for the six month period to 30th June 2008. The Group had a strong first half and trading is in line with market expectations.
Hasgrove has experienced growth in all parts of its business and is currently focused on integrating recently acquired assets and pursuing further organic development. The Group’s strength is based upon the diversity of its operations both in terms of discipline and geographical exposure; more than 50% of Group revenue is now generated outside of the UK as a consequence of both UK exports and businesses based in continental Europe.
During the first half of the year, the Group completed the acquisition of Politics International (PI) which has joined the Group’s Public Affairs and Corporate Communications Division. The acquisition of PI was an important step in completing the Interel Public Affairs network. The integration process has progressed smoothly and the Group is now enjoying the benefits of the expanded public affairs network. At the beginning of the year Interel Public Affairs and Cabinet Stewart merged. This integration was accelerated by the move to new offices in the EU district of Brussels.
In June the Group announced the merger of three of its businesses to form Amaze plc. Amaze will build on the creative, media and technical expertise developed by the three constituent companies. Amaze will be able to deliver a broader offering of marketing and technology services that is required by larger international clients. Traditional PR, print and broadcast advertising and brand consulting will remain part of the core service offering. Amaze’s clients will benefit from both the extended service offering and shared knowledge base, in addition to a proven 10-15 year track record and expertise across a number of key market sectors. Amaze’s management team is now in place and the integration is progressing well. The integration will involve a number of office moves over the next twelve months.
Hasgrove’s two design consultancies The Chase and Landmarks, continue to contribute to the Group by acting as a catalyst for new business development and synergy development. For example, Landmarks has been instrumental in helping Amaze to grow its Brussels based business, whilst The Chase led the Group towards a significant and wide ranging role with GMPTE and is now acting as brand guardian for The Co-operative.
Odyssey interactive has continued its strong growth since joining the Group with a number of notable contract wins. The company has developed a fourth generation version of its intranet software. The product will be launched next week and has already developed a healthy order book.
During the year, Interel has won major client engagements based on the consequences of the credit crunch. Our digital businesses continue to win significant new contracts, maintaining a strong public sector emphasis. These new business wins combined with the strong performance of the enlarged Group give the Board considerable confidence in the Group’s ability to maintain the progress made so far in the current financial year.
The Group expects to publish its interim results for the year to 30th June 2008 in early October.
Rod Hyde, Group Chief Executive: 0161 817 4200
Paul Sanders, Group Finance Director
KBC Peel Hunt
Capel Irwin/Richard Newman: 020 7418 8900
Adrian Duffield/Rozi Morris: 020 7457 2020