YouGov PLC (AIM:YOU) shares dropped 7.5% to 266.5p as the online market researcher reporting higher annual profits as cost savings and restructuring began to take effect, but guided to modest growth in the new financial year due to investment in technology and data science.
Revenue for the year to 31 July 2025 rose 16% to £388.9 million, with underlying growth of 1%.
Adjusted operating profit increased 22% to £60.7 million, slightly ahead of market forecasts, as margins improved thanks in part the realisation of 70% of a £20 million cost optimisation plan.
Chief executive Stephan Shakespeare said: “YouGov has delivered a stable performance with improved margins through the strength of our teams and our resilient business model.”
UBS analysts said results were 1% ahead on sales with margins 3% higher than consensus and noted that YouGov’s data products division has stabilised following operational changes.
However, they expect gradual margin recovery and “modest growth in revenue and adjusted EBIT” in FY26 as the company continues to invest in its platform.
Shakespeare regained control as CEO in February as the shares sank to their lowest since 2017, below 250p, with today's decline wiping out most of the recovery since.