Enero’s full-year results show the Australian group’s net like-for-like revenue decrease by 6.2 per cent for the full-year period to AU$189.7m. Like-for-like EBITDA fell by 10.4 per cent to AU$37.4m and EBITDA margin decreased from 32.6 per cent to 19.7 per cent. However, the group’s net profit increased by 7 per cent on a like-for-like basis.
Enero said results reflect the “strong performance” of its Australian business, which was “offset by difficulties in the global technology and ad-tech markets”.
In the group’s Technology, Healthcare and Consumer Practice – comprising Hotwire, BMF and Orchard – EBITDA of AU$22.8m declined 6 per cent on a continuing business basis and reflected a largely unchanged margin of 16 per cent. Net revenue fell 4 per cent to AU$143.5m.
The group said it “continued to see difficult trading conditions worldwide”, reflecting the “ongoing uncertainty” in the global technology sector.
Nonetheless, Enero added that it saw “significant growth” across key metrics for the THC Practice, with 66 per cent of the group’s revenue coming from clients who have relationships with more than one THC brand or country, up from 47 per cent in FY23.
In addition, at the end of FY24, the THC Practice has 34 clients with annual revenue greater than $1m, up from 27 in FY23.
Enero said its Australian creative agency BMF and digital agency Orchard had “consistently demonstrated strength and ability” in the “competitive healthcare and consumer industries”, achieving double-digit revenue growth.
Enero Group global chief executive Brent Scrimshaw said: “Throughout FY24, our Australian-based agencies, BMF and Orchard, repeatedly proved their ability to drive substantial growth and deliver-market leading outcomes for a roster of blue-chip clients.
“This success is driven by our ongoing dedication to our operating strategy, world-class talent, best-in-class capabilities, and renowned work.
“Despite the tough trading conditions in the technology sector, our teams at Hotwire have continued to integrate their client offerings into a global, market-leading suite of services that can uniquely drive reputation, relationships and revenue for clients.
“When the technology sector recovers, we are in a very strong position to benefit from it.”
Enero said trading for July remained broadly consistent with the end of FY24 H2.
The agency is the 52nd-biggest PR consultancy in the UK, according to PRWeek’s most recent Top 150 Consultancies rankings. PRWeek predicted revenue at Hotwire’s UK business to have decreased by five per cent in 2023 to £9.5m.
In April, Hotwire set up its global advisory board to “strengthen the agency’s strategic advisory services”, appointing Wired UK founding editor-in-chief David Rowan as its first member.
In addition, the global PR and integrated comms group has hired Frank van de Koppel as strategy creative director.
This article originally appeared on PRWeek US.