Highlights
- FY 2025 like-for-like net revenue expected to decline around 7% due to US shutdown.
- Operating profit forecast revised to GBP 26m–GBP 28m, implying margins of 12.5%–13%.
- Board approves share buyback programme of up to GBP 5m over the next 12 months.
M&C Saatchi (LSE:SAA) has issued updated guidance for the twelve months ending 31 December 2025. Trading in the second half of the year was affected by the unprecedented US Government shutdown, which had a notable impact on the Company’s Issues specialism, a key contributor to fourth-quarter revenue and profit.
The Company does not expect to recover the lost revenue within FY 2025. As a result, it now anticipates a like-for-like net revenue decline of around 7%, or approximately 1.5% excluding the Australian business. Operating profit is expected to be in the range of GBP 26m–GBP 28m, representing an operating margin of 12.5%–13%, below previous interim expectations.
Restructuring in Australia
The Company has implemented structural changes in its Australian operations, including a new management team, a group-wide restructure, and adjustments to the overhead cost base. Management continues to explore options to support growth and shareholder value in the Australian market.
Share Buyback Programme
The Board has committed to a share buyback programme of up to GBP 5m over 12 months, with the possibility of extending or increasing the programme.
Longer-Term Value Drivers
M&C Saatchi expects its Issues specialism to return to double-digit year-on-year growth in FY 2026, supported by existing client relationships and ongoing business opportunities. This specialism currently represents nearly 30% of the Company’s topline revenue and is anticipated to grow further.
The Company has also progressed with its GBP 12m combined annualised cost-saving programme and continued development of its integrated operating model. It plans to provide further guidance at its FY 2025 results announcement.
Share Price Snapshot
SAA was trading 7.94% lower at GBX 116.0 per share as of 24 November 2025.
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