BrainJuicer Strategy Bearing Fruit

No evidence of an economic squeeze in today's financial news from online researcher BrainJuicer. Audited results for the year ended 31 December 2007 show organic revenue up 42% to £6.57m and operating profit up 77% to £844,000.

Since 2003, the firm's revenue has jumped from just £1.03m. The 2006 operating profit figure of £477,000 excludes expenses associated with the firm's AIM listing. Profit after tax leapt 127% to £660,000 (again based on a 2006 figure - £291,000 - which excludes listing costs). Earnings per share were up from 2.8p to 5.0p.

John Kearon, CEO of BrainJuicer Group PLC, says the Board is 'delighted' with progress in its first full year as a public company, which 'has gone very much to plan'. He highlights the strengthening of the firm's team with the September '07 appointment of Ken Ford as Chairman and the appointment of Susan Griffin as VP of Marketing and Business Development based in New York last month, and the fact that it is now working with 15 of the world's top 100 global companies (up from 10 last year). According to Kearon, the firm is 'well positioned' to achieve its aim of eventually becoming a top 10 provider of market research and in the coming year will focus on careful geographic expansion, driven by client demand. This is likely to include Europe and China in 2008, sources suggest.

New Chairman Ford, who was formerly Chief Executive and then Deputy Chairman of investment bank Teather & Greenwood, says BrainJuicer is 'carefully putting in place the structures and centralised infrastructure necessary to become a leading global market research agency'. On the 'Top 10' goal he adds: 'Whilst we recognise that our aspirations are ambitious and long-term, we believe the key requisites for success are in place.'

Revenue grew 38% in the UK, 63% in Holland and 14% in the US, with gross margin steady at 74% (74% in 2006) and a total of 115 clients, 20 of whom provide 76% of revenue. Headount grew from 38 to 45 with revenue per head up from £122,000 to £146,000. The firm's cash balances increased by £642,000 to £1,875,000 at the year-end, with no borrowings.

Looking ahead Kearon concludes: 'we believe the Group's innovative positioning would be difficult to replicate, and that our growth, therefore, is sustainable over the foreseeable future.'

Web site: www.brainjuicer.com.

All articles 2006-23 written and edited by Mel Crowther and/or Nick Thomas, 2024- by Nick Thomas, unless otherwise stated.

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