The group has suffered in the US. It said its US technology public relations operations continue to operate in a weak market and its financial and corporate advertising businesses are experiencing delays and reductions in budgets for some projects.
However, Incepta said it was pleased with the performance of its recent larger acquisitions including Citigate Sard Verbinnen and Citigate Broad Street in the US. In the UK, it said the additions of Finex, Dynamo and the RED Consultancy to its marketing services division made significant contributions to profitability in the first half.
In a statement, the company said, "We retain a vigilant approach to our cost base and, as previously stated, have initiated a number of restructuring programmes across the group. The benefit from these savings will be realised immediately and on an annualised basis will represent circa £3m. These savings are higher than originally estimated and will result in an exceptional charge of up to £4m in the first half. As a result of continuing prudent cost management, strong operating margins are being maintained."
Its shares were up slightly this morning, rising 1% to 51p, having fallen to as low as 40p in early August, down from a high of 155p in September 2000.