SCPPF - S4 Capital plc (SCPPF) Q1 2025 Earnings Call Transcript
2025-05-09 20:37:53 ET
S4 Capital plc (SCPPF)
Q1 2025 Earnings Conference Call
May 8, 2025, 8:00 am ET
Company Participants
Martin Sorrell - CEO
Radhika Radhakrishnan - Incoming CFO
Mary Basterfield - Outgoing CFO
Scott Spirit - Chief Growth Officer
Jean-Benoit Berty - COO
Conference Call Participants
Laura Metayer - Morgan Stanley
Julien Roch - Barclays
Steve Liechti - Deutsche Numis
Presentation
Martin Sorrell
So good morning all. Q1 2025. I'm joined by a cast of thousands here in London. On my left is Radhika, who's just joined us as CFO, subbing for, for Mary on my right, who is masterminding the handover period with Radhika. And on her right is Scott Spirit, and on my left is Jean-Benoit Berty.
So we're here this morning to go through Q1. Trading update from Mary is the first section. Second section, market momentum. Third, client, analysis, and then business momentum all done by Scott. And then I'll come back briefly for a summary and outlook, and then we'll take any Q&A.
So this is the first of two webcasts today. The later one will be at 1 o'clock London time, mainly with the West with the West, and East Coast in America. So thank you for that. Mary?
Mary Basterfield
Thank you, Martin. Good morning, and thank you for joining us today.
The macroeconomic environment remained challenging in the first quarter. Net revenue of £164 million decreased 12% on a reported basis or 11% like-for-like, with continued caution from clients and a reduction in activity from one key technology services client already disclosed.
Operational EBITDA for the quarter was in line with our expectations. It benefits from cost reductions made as we continue to align our resources with activity levels. We maintain our full-year guidance on a constant currency basis with target net revenue and operational EBITDA broadly similar to 2024.
We continue to take a disciplined approach to cost management, including headcount and discretionary costs, with a focus on utilization, billing, and pricing. We expect performance to improve in the second half with a greater weighting than the prior year, aided by the phasing of new business, revenue, and our traditional seasonality....
S4 Capital plc (SCPPF) Q1 2025 Earnings Call Transcript