International B2B media group Tarsus has reported interim results for the six months ending 30 June 2017. Group revenue for the period totalled £39.8m, up 10.7% compared to £27m recorded in the same period a year ago. Adjusting for acquisitions and biennial events, underlying organic revenue growth of 4% was achieved in the smaller first half.
Revenues in Turkey in the first half were impacted by the geopolitical uncertainty in the region; excluding this impact the revenue growth for the group is 8% on a like-for-like basis.
Tarsus said current performance is attributed to its ‘Quickening the Pace’ growth strategy including the recent acquisition of Connect, Hometex and Intex. The firm acquired 65% of Foshan Huaxia Home Textile Development Co., Ltd on 25 January 2017.
Ahead of the Groups’s large biennial shows in the second half of the year, the firm’s operating cash inflow in the first half is £16.1m (2016: £1.1m). Net debt at 30 June 2017 increased to £85.3 million (2016: £57.3m), driven primarily by acquisitions and deferred consideration payments.
Commenting on the results, group managing director Douglas Emslie said: “2017 is set to be a strong year for Tarsus. We are seeing impressive results across the portfolio, thanks to the Group’s clear strategy of driving scale and momentum.
“We acquire businesses in exciting markets and industries on the cusp of change; we partner with entrepreneurs who share our vision; we replicate these success stories across the world. Thanks to our increasing scale, we are positioned to deliver future growth.”
Tarsus is bullish about the 2017 outlook. The company has reported 9% forward bookings for the current year and Emslie said the firm is “expecting strong editions of our largest shows, notably Labelexpo Europe and the Dubai Airshow.”
According to the report, the Group remains on target to return to its stated long-term target range of 1.5 – 2.0x net debt: EBITDA by the end of the year. Tarsus has bank facilities of £111m to 2020, providing the financial resources to support its strategic development.