UK Remains Challenging for Synovate

Synovate has reported 'strong growth' in North America and other regions during quarter one, but says 'difficult market conditions' continue to impact the businesses in Southern Europe while the UK market remains 'challenging'.

Synovate's businesses in China, India, South Africa and Brazil continued to perform 'extremely well' during the quarter, and the firm says integration of the COMCON acquisition in Russia is progressing in line with expectations.

Trading in Western Europe remained mixed, with good performances in Germany, France and the Netherlands; while the North American business delivered further 'strong growth'.

Parent firm Aegis said Synovate had achieved 7.3% organic growth in the first quarter, compared with the prior year period, and says it expects this year-on-year trend to continue for the remainder of 2011.

For the full year 2010, Synovate reported a 9.8% increase in income to £572.6m, operating profit up 19.4% to £45.6m, and net revenue up 9% to £350.7m.

Aegis CEO Jerry Buhlmann (pictured) said that Synovate had started the second quarter with a healthy 'orders on hand' position.

Group revenue for the quarter was up 16.3% on 2010 on a reported basis, and Aegis ended the period in what it described as a 'strong financial position', with management keeping a 'clear focus' on cost control and efficiencies.

Web sites: www.synovate.com and www.aegisplc.com .

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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