S4 Capital raises revenue predictions for third time this year
S4 Capital, a digital advertising company led by Sir Martin Sorrell, has revised its annual revenue predictions upwards after intake climbed 56 per cent in the first half of the year.
Revenue stood at £279.3m for the six months ending April 30, up 98 per cent compared to the same period in 2020 while operational EBITDA climbed by 91 per cent to £34.3m. On the back of strong results, the three-year-old company has raised like-for-like net revenue guidance for the full year to 40%, having started the year at 25%.
Sir Martin Sorrell, Executive Chairman of S4 Capital said, “we have had a super strong first half start to 2021, in line with the fast-growing digital platforms.”
Sorrell credited the Covid-19 pandemic with accelerating “the speed of digital transformation and disruption at consumer, media and enterprise levels,” which has pushed the agency into the top 125 FTSE companies.
With clients including Netflix and BMW the company likened itself to tech giants stating that its results were “more of a proxy on the growth of the digital platforms” such as Facebook and Google.
Nevertheless, while the company experienced burgeoning interest from clients its share price is down 8.14 per cent today.
The results revealed that the company ran an operating loss of £16.1m in the first half of 2021, a sharp decline from a credit of £1.8m in 2020.
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