18th Jan 2011 07:00
18 January 2011
Communisis plc
("Communisis" or the "Company")
Trading Update
Leading marketing services provider ("MSP") Communisis plc (LSE: CMS) today issues the following update on trading for the year ended 31 December 2010.
Communisis confirms that the full year's trading was in line with management expectations. Both Communisis' Intelligence Driven Communications ("IDC") and Specialist Production and Sourcing ("SPS") service lines have shown good momentum during the second half, with solid commercial progress made by the sales team in developing and monetising the Company's MSP go-to-market model.
This progress can be seen in new long-term agreements signed during the period, which extend Communisis' presence in key target markets. Communisis has been re-appointed by The Post Office to source and provide a range of services including the provision of IT and stationary consumables to the Post Office's nationwide network of 11,500 branches. In addition an exclusive partnership agreement has been signed with Liberata, one of the UK's leading providers of Business Process Services to local and central government. This contract valued at over £2m per annum, will see Communisis provide Liberata and more than ten of their local authority and UK Government clients, with a platform for the production of Revenue and Benefits Statements, Payroll Services and Council Tax Billing. Both of these agreements will run for five years, and complement the successful contract extension secured with Barclays for a range of MSP offerings up to December 2015.
Alongside these developments, Communisis has continued to implement successfully the restructuring and investment initiatives as outlined on 19 November 2010, and has ordered a second state-of-the-art T300 web press from Hewlett Packard to go-live in Leeds in the second quarter of 2011. This investment will further enhance the Company's capability to produce high volume personalised direct mail in support of its customer segmentation strategy.
The restructuring plans highlighted in our strategic update issued on 19 November 2010 are on schedule to realise the expected financial benefits.
Communisis will announce preliminary results for the year ended 31 December 2010 on 3 March 2011.
For further information please contact:
Communisis plc 0113 277 0202Andy Blundell / Peter King
Financial Dynamics 020 7831 3113
James Melville-Ross / Ed Bridges / Matt Dixon / Nicola Biles
Brewin Dolphin 0845 213 1000
Sean Wyndham Quin / Mark Brady
About Communisis
Communisis is a UK leading marketing services provider, specialising in helping customers make their communications processes more profitable. It helps to reduce costs and improve the effectiveness of the whole business process of customer communications.
Through its proven experience and scale, it works with clients to transform their customer communications processes by enhancing and deploying customer data; providing technology to automate and streamline workflows; and have world-class production capabilities that can output via print and electronic channels.
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