Cello Group plc (LON:CLL) said there had been no noticeable impact from Brexit on the spending patterns of its customers as it confirmed it would deliver strong full-year results in line with expectations.
In an update covering the first half, the health marketing specialist confirmed that first half profits would be flat as a result of the previously-flagged. This is the result of the revenue contraction seen at the consumer consulting business within the Cello Health arm.
The remainder of the Cello Health business performed strongly, while Cello Signal’s operating profit is expected to be “considerably stronger than the prior year”.
“The group will also continue to benefit from a stronger dollar in the second half if the dollar-sterling rate remains at current levels,” the firm said.
The update also reminded investors the company would book what were described as “non-headline charges”.
They relate to a final tax settlement announced earlier in the year, the recruitment of a new team of senior consultants at CelloHealth Bioconsulting and £600,000 of redundancy payments as part of a cost cutting drive at the consumer consulting unit of Cello Health.
Finally, Cello said it is “actively reviewing its dividend policy, with a view to increasing the payout ratio”.