Aegis Posts Improving Revenues In ‘Patchy’ Conditions

Aegis Group, the global media and advertising network, has reported revenues up by 7.8% in the first half of 2003, in what the group describes as ‘patchy’ market conditions. Pre-tax profits remained more or less flat at £30.9 million, up from £30.0 million in H1 2002.

Aegis Media – which includes Carat, Vizeum, Posterscope and other communication services businesses – saw turnover rise by 11.6% to £3.4 billion.

In the media markets, the US began to improve from mid last year onwards, whilst Europe stabilised as compared to a weak second half the year before.

Overall, the global advertising market showed a slight recovery in the first six months of 2003. “While signs from the US TV market are encouraging, other forms of US media are showing little improvement. The European market has been more disappointing with gains in some markets offset by weakness in others,” it said.

While H2 2003 may see slightly better market conditions, it is likely that the full-year will show only a slight recovery. However, Aegis’ market predictions point to an increased rate of adspend growth in 2004.

Chief executive Doug Flynn described these current market conditions as ‘patchy’, although he expects 2003 to be a satisfactory year for the group, with revenues and profits already on the rise; 2004 is predicted to show further improvement.

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