Creston Revenue Drop In Line With Expectations

UK-based insight and communications group Creston has posted a drop in revenue of 6% during the first quarter, compared with 5% growth during the same period last year. The firm says this is in line with management expectations.

Unlike in the previous financial year where revenue grew 4% for the full year, the firm says that the economic recession has caused an anticipated decline.

In July, Creston - which owns market research firms ICM, Marketing Sciences and Newvista Research - raised £3.3m through a limited capital raising from long-term shareholders. This has provided additional working capital for the group, and also allows for investment in its organic growth plans.

While the Insight Division had its highest level of commissions by this point in the year, the Communications Division has been hardest hit by client budget cuts, partly offset by new business wins from last year. The group's Health Division's growth has been driven by new medical education and international offers.

'Despite the current economic climate, we believe the new divisional structure and the new business pipeline stand the group in good stead for the full year,' the firm said in a statement.

Web site: www.creston.com .