22nd Jan 2008 07:01
Management Consulting Group PLC22 January 2008 22 January 2008 Management Consulting Group PLC Trading update Management Consulting Group PLC (the "Group") issues the following tradingupdate ahead of the announcement of the Group's 2007 preliminary results whichare scheduled to be announced on 10 March 2008. The Group's revenue for the year ended 31 December 2007 is estimated to beapproximately £214 million (2006: £146.9 million). The average US Dollar toSterling exchange rate weakened by 16 cents between 2006 and 2007. Consequentlyrevenue was adversely affected by over £5 million due to the translationeffect. The profit before tax, amortisation of intangibles and non-recurring items isestimated to be between £22.5 million and £23.0 million (2006: £16.1 million).This is after charging the reorganisation costs of £2.5 million associated withthe 2006 and 2007 acquisitions. Earnings per share, excluding amortisation ofintangibles and non-recurring items, is expected to be around 5.8 pence (2006:5.4 pence). During 2007 the Group continued to make progress towards its strategic objectiveof delivering growth and spreading performance risk through broadening itsconsultancy offerings. The acquisitions of CBH Consulting and Kurt SalmonAssociates were completed on 5 September 2007 and 14 October 2007 respectively.The integration of both businesses into the Group is on schedule. In December2007 the decision was taken to merge Parson Consulting and CBH Consulting. Themajor impact of this will be in the United States where the merger will create acombined financial and performance management consultancy and broaden thecombined offering of Parson Consulting where trading remained lacklustre in thesecond half of 2007. The integration of Ineum Consulting was completed on schedule and budget and thebusiness traded strongly during the year. The revenue of Proudfoot Consultingfor the year was, as anticipated, down on last year due to a weak first half;the second half was in line with 2007. The Directors are confident that the Group will make further progress during2008 and beyond. Enquiries: Management Consulting Group PLC Tel: +44 20 7710 5000 Kevin Parry, Chief ExecutiveCraig Smith, Finance Director Maitland Tel: +44 20 7379 5151 Suzanne BartchPeter Ogden Notes to editors: Management Consulting Group PLC (MMC.L) is an umbrella organisation for adiverse range of consulting and professional services offerings. It operatesthrough six divisions: Ineum Consulting, Kurt Salmon Associates, ParsonConsulting (incorporating CBH Consulting from 1 January 2008), ProudfootConsulting, Salzer Consulting and Viaduct Consulting. Ineum Consulting and KurtSalmon Associates provide consulting services with industry expertise. ParsonConsulting specialises in financial and performance management consulting.Proudfoot Consulting specialises in operational improvement consulting, SalzerConsulting specialises in starting, managing and restructuring business in Asianmarkets and Viaduct Consulting specialises in commercial due diligence services.The businesses operate worldwide. For further information, visit www.mcgplc.com. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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