Smyle, the Hertfordshire-based live communications agency, has reported “solid progress” in its 2013-14 financial year, with improving gross margins.
An EBITDA of £548,205 on a turnover of £8.24m, represented a slight drop from the £8.6m turnover in the previous financial year to March 2013. Part of the drop is explained by investment in new positions and processes and the loss of a £2m telecoms contract.
Revenue, a company statement said, had been “rebalanced across a broader and more resilient customer base”.
A company statement added the client mix had broadened due to winning 5-6 new key customers across the media, telco and financial sectors, which had helped offset the cancellation of the £2m contract earlier in 2014.
Smyle had adopted a three-year operating plan in May 2014, aimed at doubling the size of the business.
MD Rick Stainton (pictured) told CN that “investing further in talent, wrapping more closely around the client and leveraging industry patnerships” were key to the future growth strategy. With a third of the company’s turnover coming from client activity overseas, Stainton said the unique role the agency played in the UKTI Creative Task Force was particularly important.
“As we enter the first year of our new mission, we are excited about the evolving opportunities with existing accounts as well as the new client wins. There has and will continue to be a lot of focus and hard work invested by our team in the support and management for both levels of relationships, so as to best look after them and their business objectives from a long term perspective,” Stainton added.
“It is good to see we are pursuing an ambitious three-year growth plan closely through volatile economic times, but we are conscious of managing the growth effectively so as to continue providing excellence across all projects and strengthening our client relationships – compromising on either is never an option,” said Smyle’s strategic director David Hornby.
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