LONDON—Huntsworth, parent company to the Citigate, Grayling, Huntsworth Health and Red Consultancy brands, says it is trading in line with management profit and earnings expectations for 2010, with excellent margins both before and after central costs and a strong new business book running well into 2011, with about 65 percent of 2011 revenues already committed.
According to chief executive Peter Chadlington, the group has been concentrating on pitching for global and multi-office accounts. “Contract negotiations for these larger international clients take several months and some revenue has moved from 2010 into next year. We therefore expect 2010 revenues to be below management’s expectations but have renewed confidence that 2011 management revenue and profit expectations will be met.”
Citigate, which represents 15 percent of the group, has won a number of new retained mandates including Hyder Consulting PLC and Oando and worked on recent transactions include United Business Media’s $287m acquisition of Canon Communications, Palamon Capital Partners’ €243m sale of Retail Decisions’ Australian business, and the IPO of Argos Resources.
Grayling, which together with Washington, D.C., public affairs business Dutko represents 49 percent of group revenues, has notched significant international wins include Volkswagen Middle East and Hilton Worldwide.
Red, which represents 7 percent of the group, was hard hit by the cutback in public sector spending when the new coalition government was elected, but has recovered quickly replacing all public sector revenues with new corporate clients including Barclaycard, Thistle Hotel Group, ACI Worldwide, Bravissimo and Napp Pharmaceutical Holdings.
Huntsworth also announced that appointment of Colin Adams, formerly of Bloomsbury Publishing, as group finance director.