M&C Saatchi — Progress in net revenue and margin

M&C Saatchi’s FY24 results were broadly as indicated at January’s update, with net revenue ahead 4% like-for-like and a nudge up in operating margin to 15.2%, from 15.0% in FY23. This partly reflects the shift in mix towards the higher-margin non-advertising specialisms, now two-thirds of net revenue, partly the benefits of scale and partly the early benefits of the efficiency drive, which had reached the target of £10m of annualised savings by the year-end. The group had net cash of £15.3m at the year-end, which, along with undrawn facilities, gives plenty of scope for investment within the business through adding creative and sales talent and to pursue appropriate bolt-on acquisitions to fill in capabilities or geographies.