S4 Capital PLC (LSE:SFOR, OTC:SCPPF) shares slipped 7% to 16.48p, hitting an all-time low, after the digital advertising group warned that fourth-quarter trading will be weaker than expected.
The company said its October results and revised third-quarter forecasts point to lower net revenue than previously assumed, dragging down full-year expectations.
Like-for-like net revenue for 2025 is now expected to fall by just under 10%. Even after a round of cost-cutting earlier in the year, the drop in sales is feeding through to profitability.
S4 is now targeting operational earnings of about £75 million, below the current market consensus of £81.6 million.
Management said project-based work has been softer than anticipated, clients remain cautious and new business is ramping up more slowly than hoped.
There was one bright spot. The company said liquidity is improving faster than planned and it still expects to end the year with net debt somewhere between £100 million and £140 million.