S4 Capital shares jumped on Wednesday as the group founded by Sir Martin Sorrell saw strong revenue and said they had secured more ‘whopper’ clients.
Advertising and marketing group S4 Capital say they classify clients generating revenue of $20 million per annum as ‘whoppers’ and now had 8 clients that fell into this category.
Despite the surging revenue, the group saw losses for the period soar to £82.4m, but remained confident in their outlook and said they expected operational EBITDA to be £120m for the full year.
Investors choose to focus on the outlook – as opposed to the half year loss – and S4 Capital shares jumped 10% on Wednesday.
“Our top line growth continues to outperform the digital advertising and transformation markets,” said Sir Martin Sorrell, Executive Chairman of S4 Capital.
“This momentum is underlined by the increasing recognition of the success of our new age/new era model in industry surveys such as the Forrester Waves (the guide for buyers considering their purchasing options in a technology marketplace) and increasing conversion of client relationships at scale as we land more “whoppers”. In the first half of 2022, we continued to invest in increased human capital ahead of further top line advances and in management infrastructure, which impacted our Operational EBITDA.