Strong year for cautious Hasgrove

HASGROVE, the AIM-listed public relations, digital marketing and lobbying group, said it had a strong year despite challenging economic conditions.

The Manchester-based business which employs 350 people across its three main divisions – Interel, Amaze and The Chase – said it had experienced growth throughout the group in the year to December 31.

But Hasgrove warned it was not immune to current economic problems and some clients had reduced their marketing budgets for 2009.

In response the company said it was cutting operating costs and will continue to keep its cost base in line with revenues.

The group’s Amaze marketing business – formed from the merger of three businesses last year – has integrated well and will launch in continental Europe this year.

The Chase, Hasgrove’s graphic design agency, enjoyed a “strong performance” and initiated the group’s handling of the failed Greater Manchester Transport Innovation Fund bid, which sought £3bn in funding in exchange for a congestion charge in Manchester.

Corporate affairs consultancy Interel, which provides crisis management services, won a number of “major clients” during the period which it put down to the financial crisis.

Hasgrove said it focused on cash collection during the year and reduced its net debt by 28% in the second half to £5.4m.

Chief executive Rod Hyde, said: “Despite the economic environment, we have reached a number of key milestones particularly with regard to the integration of Amaze. We are closely managing our costs and reducing our net borrowings.”

The group expects to publish its preliminary results in April.