The Abbott Mead Vickers Group has turned in a spectacular financial
performance for 1997, with pre-tax profits leaping 19 per cent to more
than pounds 17 million.
The rise comes on the back of the growing strength of the group’s ’club’
of marketing services companies, which last year contributed almost 60
per cent of AMV’s profits.
Peter Mead, the AMV group chairman, said: ’Marketing services companies
have demonstrated much more resilience to the economic cycle and this,
coupled with their ability to command higher gross margins, augurs well
for the future.’
The group’s final results are better than analysts’ forecasts, with
pre-tax profits up to pounds 17.28 million against pounds 14.52 million
in 1996. Turn-over grew by 30 per cent from pounds 358.4 million to
pounds 431.32 million.
AMV BBDO, the UK’s largest agency, and the group’s media arm, New PHD,
together chalked up extra billings of pounds 130 million.
Leagas Delaney sale, page 4.