Cello Reports Upturn for Research Arm

UK market research and consulting group Cello has reported a 'marked pick up' in its MR activity, for the year ended 31 December 2009.

Cello's Research and Consulting arm includes Leapfrog, 2CV, MRUK, RS Consulting, Face and MSI.

During the year, the division saw increased spend from a wide range of domestic and international clients, and specifically across pharmaceutical and health-related research. The firm says that the 'pipeline of research work' is significantly stronger than at the same time last year.

However, this has been offset by a 'challenging period' for areas of the Tangible marketing division of the group, most notably in financial services and certain charity-related work.

During the year, the group continued with its cost reduction programme. As a result, the total cost base in 2009 is expected to be between £4.0m and £4.5m lower than 2008, following reduced headcount and property consolidation, which will give rise to an exceptional cost of around £1.9m.

Total group revenue for the period is expected to be in the region of £60.0m and headline profit before tax will be approximately £5.0m.

The group says it remains cautious about the current outlook and that it is too early to give detailed guidance for 2010.

'Following the substantial reduction in low margin and non-profitable activities, the group is in a strong position to push for organic growth in 2010,' the firm said in a statement.

Preliminary results are expected to be available on Wednesday 17 March.

Web site: www.cellogroup.co.uk .

All articles 2006-23 written and edited by Mel Crowther and/or Nick Thomas, 2024- by Nick Thomas, unless otherwise stated.

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