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Media

System1 gains as Tesco, Pfizer marketing deals aid revenue jump

System1 Group (AIM:SYS1) climbed 23% on Wednesday as the marketing firm said recent deals with a string of household names meant full-year expectations would be smashed.

Some 60 new clients signed with AIM-listed System1 over the third quarter ending 31 December 2023, taking the number to over 200 for the year so far, the company updated on Wednesday.

Pfizer, Marks & Spencer, Tesco, easyJet, Toyota, Muller, B&Q, and Just Eat most recently, have all used System1 to provide tests to assess the effectiveness of marketing ideas and strategies.

Pre-tax profit for financial year 2024, now due to come in “comfortably” ahead of £2 million, will outdo expectations as a result of the influx of new deals.

This is up on a £0.7 million profit recorded in the 2023 financial year, with revenue expected to climb by almost a quarter to £29 million come the end of the year.

Chief executive James Gregory explained that some £8 million of this revenue came during the third quarter, representing continued successive growth.

System1 added it also continues to build momentum through its go-to-market plan, with market share being taken off larger rivals.

Shares climbed 22.8% to 350p, taking gains over the past year to 80%.

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