 Paul Taaffe |
Huntsworth’s Grayling-led PR group reported a 5.4 percent drop to $47.2M in first-half revenues as CEO Paul Taaffe dumped unprofitable client contracts to get it back on track.
The communications sector, which also includes Citigate Dewe Rogerson and Red, suffered an 18.1 percent operating profit fall to $3.5M.
Grayling revenues fell 7.0 percent to $24.8M. It swung to a $399K loss from a $520K year ago profit.
The unit’s lackluster performance was due largely to a profitability decline in Europe, one-off Middle East contract profits last year and a number of restructuring costs. Grayling’s profitability strengthened in the US and UK.
Taaffe expects Grayling’s results will improve during the second half.
Huntsworth’s PR woes overshadowed a robust performance in its dominant healthcare operation.
The firm posted an 8.0 percent hike in revenues to $132M and a 9.0 percent rise in pre-tax headline profit to $14.3M.
Healthcare will receive a major second-half boost with the inclusion of financial results from Giant Creative Strategy, which was acquired July 16 in a $72M deal.
Teneo is handling the initial public offering of CVC Capital Partners, one of Europe’s largest private equity firms with nearly $200B in assets under management.
Brunswick Group represents Endeavor Group Holdings as it agrees to go private via its acquisition by Silver Lake technology investment firm, which is handled by Edelman Smithfield.
Tod Donhauser, a nine-year veteran of Edelman, has joined H/Advisors Abernathy as managing director and head of its San Francisco office.
Intelligent Group Ltd, a Hong Kong-based financial PR firm, has priced its initial public offering of 1.9M shares at $4, which is the low end of the $4 to $5 range.
Kekst CNC represents Grant Thornton as it sells a majority stake in its US arm to New Mountain Capital, which relies on Goldin Solutions, in what is billed as the largest PE investment in the accounting and advisory sector.
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