Archived article

Please note that tax, investment, pension and ISA rules can change and the information and any views contained in this article may now be inaccurate.

Marketing spend is rising as company battles tougher competition
Thursday 02 Mar 2017 Author: Tom Sieber

Full year results (28 Feb) from price comparison site (MONY) reveal pressure on margins and revenue behind 2016 levels in the first two months of 2017. The shares were punished heavily on the news.

Liberum analyst Ian Whittaker says his key fear about the stock, that increased marketing spend to counter competition would undermine profitability, is realised by these results.

Gross margins for 2016 fall from 80% to 74.8% and guidance is for a further fall to 73% in 2017. (TS)

‹ Previous2017-03-02Next ›