LONDON (ShareCast) - (Sharecast News) - Shares in Martin Sorrell's S4 Capital surged on Tuesday after the digital advertising and marketing services group revealed that 2024 results would be ahead of market expectations.
The company said that trading in the fourth quarter was in line with expectations, though it results for the year will be "slightly above" current consensus forecasts for net revenue of £746m and operational EBITDA of £84m.

However, this still represents a sharp decline from the £1.01bn revenue and £93.7m operational EBITDA registered for 2023.

Nevertheless, shares were still up 11% at 37.17p by 0908 GMT.

"Trading in the fourth quarter improved over the first three, with stronger like-for-like net revenues performance and operational EBITDA margins," said Sorrell, S4 Capital's executive chair, in a statement.

"However, our industry continued to reflect the trends seen earlier in the year," he said, with the company guiding to a decline in like-for-like revenues for the year of 11%.

For 2025, Sorrell said net revenues and operational EBITDA would be at a similar level to 2024, with clients "likely to remain cautious" amid ongoing macroeconomic uncertainty.

Net debt at year-end was also significantly below consensus of £185m and below the lower end of the previously indicated range of £150m-190m.

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