UK: Jack Morton Worldwide Suffers Downturn in UK Events Revenue
Jack Morton Worldwide experienced a 14 per cent drop in turnover in 2013 – with a 41 per cent dip in revenue from UK events – but still managed to conclude the year with a 25 per cent growth in profit before tax, to £2.29m.
Turnover from the UK fell to £16.66m, but the rest of Europe performed better, increasing by 35 per cent, to £25.54m. Revenue from other international locations dropped by 27 per cent to £7.23m.
According to accounts filed at Companies House, the London-based agency had been anticipating a ‘challenging year’ following the significant growth it enjoyed in 2012 due to the stimulus of the Olympics. However, despite overall turnover falling from £57.33m to £49.45m, a 22 per cent reduction in cost of sales resulted in a 15 per cent increase in gross profit, to £15m.
“During 2013 the company reassessed and refocused on its revenue growth strategies in order to gain new clients and to offer additional expertise to existing clients,” stated the directors’ report. “This resulted in a strong performance for 2013 as the company expanded its client base and further strengthened relationships with existing clients. The company also opened a new office in Dusseldorf, Germany to extend its creative and strategic vision to brands in Germany.”