Aegis has reported a 25.7% increase in underlying pre-tax profits in 2008, with revenue up 21.3%, and operating profit up 26.8%.
However, the media buying and research group announced that it is to cut 5% of its global workforce, around 780 employees, as it seeks to cut costs in the economic downturn. The firm said that the cost-cutting measures would save them £20 million in 2009.
Aegis reported a pre-tax profit of £166.8 million in 2008, a 25% increase year on year. With currency fluctuations taken out, this year-on-year increase falls to 10.7%.
Operating profits were up 26.8% on an underlying basis, or 10.7% on a constant currency basis, to £185.4 million while revenues were up 21.3%, or 10% on a constant currency basis, to £1.34 billion.
John Napier, chairman and interim chief executive officer, said: “This is a good set of results in increasingly difficult market conditions. We have planned and initiated firm action to improve efficiency and reduce costs across more than 40 countries.”
He added: “In summary, this is a good start to the priorities we set ourselves. Obviously there is still more work to do but I am pleased with progress to date. We have positioned the group appropriately and expect to produce a resilient performance in more difficult markets in 2009.”
