Taylor Nelson Sofres Optimistic For 2005

The statement outlined the company’s expectation to show underlying revenue growth, in line with the current market, of 3-4%. Overall, the company’s European operations achieved revenue growth in line with previous expectations, with its German division also growing strongly, partially in the Consumer and Automotive sector. The company’s french operations also performed in line with expectations.

Syndicated services in the UK enjoyed steady growth, although the UK custom business weakened in the second half on 2004,an issue which TNS claims is being rectified.

North American business also benefited from a good performance in the consumer sector, with access panel operations continuing to progress slowly. Other sectors in the US were weaker during the second half, resulting in the overall Americans region predicted to show limited growth for 2004.

The ongoing strong performance seen by the company in the Asia Pacific region is predicted to deliver double-digit growth for the year as a whole, however, business services continues to be affected by weaker levels of corporate earnings.

The operating margin for 2004 is expected to stay consistent with those stated at the interim results issued in September (see TNS Well On Track To Meet This Year’s Targets), displaying a improvement of 50-100 basis points, thus representing a full year 2004 margin of 10.5% to 11.0%.

TNS expects net debt at the end of the year to be below £350 million, compared to the £370.7 million figure for 30 June 2004 and £367.7 million in 2003.

Commenting on the results, Mike Kirkham, chief executive for Taylor Nelson Sofres said: “With continued macro-economic growth, we would expect to see total market growth of around 4% in 2005.”

He added: “Given the progress that TNS has made in the past 12 months, we would anticipate achieving underlying revenue growth ahead of the market, together with further improvement, in 2005.”