Marketing analytics group Ebiquity plc (LON:EBQ) expects to increase dividends again in 2017 after a brisk start to the year’s trading.
“2017 has seen a noticeable pick up in new business activity and consequently the company has better revenue visibility as compared with the prior year,” the statement said.
The bullish update followed a solid performance in 2016 with revenues in the year just ended 9% higher thanks to a boost from the drop in the value of the pound.
Two-thirds of revenues are denominated in non-sterling currency, said Ebiquity, and foreign exchange gains across the year amounted to £4.5mln.
Group margins were broadly in line with those achieved in 2015, with anticipated mid-single digit growth in operating profit and earnings.
Media Value Measurement did well everywhere except contract compliance, where industry attempts to provide more clarity on claims on advert penetration have caused some disruption.
Longer term, however, Ebiquity, expects adoption of recommendations in a recent US Association of National Advertisers' (ANA) report to be a boost to its compliance arm.
Market Intelligence revenues stabilised year on year except for the US where revenue reflected pressure on client budgets.
“In light of the continuing revenue growth, cash generation and the visibility into 2017, the Board anticipates the continuation of our progressive dividend policy,” the statement concluded.