Digital Marketing Group hit by profits drop

LONDON - Six-month pre-tax profits at Digital Marketing Group have fallen by 31% year on year to 拢688,000.

DMG, which is led by former Euro RSCG chief executive Ben Langdon, said it has experienced a tough trading environment but anticipates benefiting from increasing client spend on digital marketing in 2010.

Revenues in the six months to September 30 2009 were £24.7m, down 7% year on year.

The company's data division was hit by a fall in revenue of £3.4m and DMG has reduced its costs by £2.3m.

Recent DMG client wins include Berghaus, Sony Ericsson, Royal Mail, Spar, History Channel, Yorkshire Building Society, Holiday Extras, Oval Group and SeaFrance.

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