The Marketing Group (TMG)

Business description

The Marketing Group is building a global full-service marketing network. Each company within the group provides specialist marketing services brought together, within communities of practice, to form an international network that can address a global market.

Investment summary

TMG continues to improve the quality of its portfolio. In November, the new management team made its first small acquisition, adding a good range of blue-chip clients and opportunities for cross-selling. Industry interest in its start-up blockchain-enabled global media agency, Truth, has been very strong and it has attracted an impressive management team. In January, TMG announced the wind-up of the small, Singapore-based Black Marketing and the sale of Creative Insurgence (also Singapore-based) back to management. Having spent time sorting out the inherited group, management is now clearly looking for profitable growth, which should lead to an improving rating.

Last updated on 02/03/2018

Y/E Dec Revenue (€m) EBITDA (€m) PBT (€m) EPS (c) P/E (x) P/CF (x)
2015A N/A N/A N/A N/A N/A N/A
2016A 15.8 2.3 2.2 11.27 2.4 8.8
2017E 26.9 1.9 1.7 4.17 6.5 4.5
2018E 31.2 2.4 2.2 4.97 5.4 3.9

Last updated on 15/02/2018

Latest research

Acquisition of German wildcard

Flash note | Media | 29/11/2017

Q3 update gives reassurance and upgrade

Update | Media | 15/11/2017

Ready to move forward

Initiation | Media | 27/09/2017

Promising maiden results

QuickView | Media | 28/02/2017

Agglomeration on a global scale

QuickView | Media | 16/12/2016

Latest video

Executive interview - The Marketing Group

Industry outlook

Many smaller and mid-sized businesses have no ambition to be absorbed into the larger groups and risk losing their individual culture and autonomy, even if take-out multiples can be attractive. PE is also involved either directly or through taking stakes – an attractive option for those with ambition but lacking the funding. Even for the large groups, the dominance of Google and Facebook within the (digital) market raises concerns. These are exacerbated by some of the largest consumer clients (the natural historical pool for the industry majors) taking marketing communications in-house or setting zero-based budgets.

Last updated on 02/03/2018

Key management

Don Elgie, Chairman
Adam Graham, CEO
Mike McElhatton, CFO

Company address

Enterprise House
Ocean Village
SO14 3XB
United Kingdom
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