Ebiquity

LN: EBQ

£33.4m market cap

44.5p last close

Ebiquity is a leading, tech-enabled, independent marketing and media consultancy. It aims to help the world’s biggest brands leverage data and analytics to drive greater transparency in the marketing ecosystem, to create more impactful customer experiences and to deliver greater returns on marketing investment.

Investment summary

Ebiquity’s year-end trading update indicated that FY18 performance across both the continuing and the now-sold Advertising Intelligence businesses was in line with management expectations. Given the delay and uncertainty over the disposal on the CMA referral, this is a solid outcome. FY19 will see some effect of overheads taking time to scale down following the AdIntel sale, which offsets underlying profit improvement. The core consulting business has good potential globally and the reinforced management team can now focus its efforts on aligning the group’s cost base to the Media, Analytics and Tech consulting business while driving growth and improving returns, aided by a strengthened balance sheet.

Y/E Dec
Revenue (£m)
EBITDA (£m)
PBT (£m)
EPS (fd) (p)
P/E (x)
P/CF (x)
2016A 83.6 14.6 11.8 11.3 3.9 N/A
2017A 87.4 14.0 11.0 9.4 4.7 N/A
2018E 69.0 N/A 5.5 4.5 9.9 N/A
2019E N/A N/A N/A N/A N/A N/A
Last updated on 19/03/2019
Industry outlook

The marketing sector continues to undergo considerable change, driven at least in part by issues of accountability and transparency, with both marketers and agencies finding their business models challenged. Ebiquity’s positioning as a leading independent media and marketing consultancy looks increasingly compelling.

Last updated on 19/03/2019
Sector
TMT
Share price graph
Balance sheet
Forecast net debt (£m) 27.8
Forecast gearing ratio (%) 52
Price performance
%
1m
3m
12m
Actual (5.3) (30.5) (40.7)
Relative* (7.3) (36.0) (42.4)
52-week high/low 76.5p/38.0p
*% relative to local index
Key management
Rob Woodward Chairman
Michael Karg CEO
Alan Newman CFO