Trading Update for the 18 Months Ended 31 Dec 2025
Revenue and underlying profit ahead of expectations for 18-month period; strong start to 2026.
vs expectations: ahead
- Turnover £29,400,000 (prior £29,000,000)
- Underlying Profit Before Tax £770,000 (prior £700,000)
- Reported Profit Before Tax £410,000 (prior £390,000)
- Bank balances £2.6 million (prior £2.4 million)
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Revenue And Profit Ahead of Expectations
Aeorema Communications plc (AIM: AEO), a leading strategic communications group, is pleased to provide a trading update ahead of the publication of its audited results for the 18-month period ended 31 December 2025 (the "period"), which are expected to be announced in May 2026. For comparative purposes, unaudited figures for the 18-month period ended 31 December 2024 have been included ("18M24").
Financial Highlights
The Group is pleased to announce that following a strong period of performance, its projected underlying profit before tax for the 18-month period ended 31 December 2025 has increased by 10% to £770,000, up from the £700,000 previously forecast four months ago.
Furthermore, the new financial year has commenced with significant momentum, with January 2026 marking a strong start to the 2026 financial year.
| Updated Numbers | Previous Advice | Pro-forma 18 Months to December 2024 | |
|---|---|---|---|
| Turnover | £29,400,000 | £29,000,000 | £27,500,000 |
| Profit Before Tax | £410,000* | £390,000 | £318,000 |
| Underlying Profit Before Tax | £770,000 | £700,000 | £318,000 |
*Reported Profit before tax includes £360,000 of one-off costs, primarily related to the Group's restructuring programme and headcount reduction.
Bank balances as at the date of this announcement were £2.6 million (31 December 2025: £2.4 million), with an average bank balance over the previous 12 months of £3 million.
Operational Update & Event Pipeline
The Group continues to solidify its market-leading position through high-profile activations and record-breaking client engagement:
- Cannes Lions Advertising Festival: The Group has secured its highest-ever number of contracted clients for the upcoming festival. As a major revenue driver, these contracts further establish the Group as the preeminent supplier to this prestigious global event.
- SXSW (South by Southwest): The Group has successfully completed its first-ever event activation at SXSW in Austin, Texas. With 450 brands participating in the event, the Group's strategic objective is to become a major long-term supplier to this cornerstone US festival.
Steve Quah, CEO of Aeorema Communications plc, commented: "Following a period of significant change, it is encouraging to see the benefits of our restructuring programme reflected in both our financial performance and client response. We now have a leaner, more senior team delivering exceptional creative work.
"The new financial year has started well. Recent work includes our first activation at SXSW, alongside continued involvement in other major industry tentpole events, reflecting the growing reputation of the Group with global brands. Overall, with a strong pipeline of confirmed work and record bookings for Cannes, we are confident the business is well positioned for the next stage of growth."
Dividend Policy
In line with its commitment to shareholder returns, the Company maintains a progressive dividend policy linked to growth in earnings per share. In September, the Board declared an interim dividend of 3 pence per share in respect of the 12 months to 30 June 2025, which was paid on 24 November 2025. Any final dividend for the extended 18-month reporting period ending 31 December 2025 will be determined at the time of publishing the audited results.
Share Buyback Programme
The Company established a share buyback programme (the "Programme") in May 2025, with the first purchases made in January 2026. Since 19 January 2026, the Company has purchased 260,500 ordinary shares at an average price of 65 pence per share.
Outlook
With the transition to a calendar-year reporting cycle now concluded, the Group enters 2026 with improved operational alignment and positive momentum. This is supported by a strong pipeline of confirmed work secured for the first half of 2026. The Board remains focused on margin progression and operational efficiency and looks forward to providing a further update with the publication of its audited results in May 2026.
Cleaned text: letterheads, contacts and legal notices removed. View the original announcement ↗ · Company filings. Not investment advice.