NEWS21 March 2013

BrainJuicer suffers from client cutbacks in 2012

Financials UK

UK — Online market research specialist BrainJuicer had its worst year since it was established in 2000, according to its chairman Ken Ford.

Reporting on its 2012 results today, Ford said it had been “a poor year”. Although revenues increased marginally to £20.8m, operating profit fell 45% to £1.5m with diluted earnings per share decreasing by 44% to 7.9p.

Ford said: “The major factor behind the sharp decline in 2012 profits was the unexpected non-recurrence of the very high levels of business which BrainJuicer has traditionally generated in the last months of the year.”

Chief executive John Kearon wrote: “Every year, some clients spend unused budget in November and December, but in 2012, many big companies decided instead to cut back, and this had a material affect on our profits.”

He added: “As a result, we reduced costs and we’ll be less reliant on clients releasing spare budgets at the end of the year going forward.”