Future back on growth path as shares soar

Publishing giant makes promising start to 2024 fiscal year.

Future back on growth path as shares soar
Future FUTR

Shares of Future (LSE: FUTR) surged over 14% on Thursday morning after the media company reported a return to organic revenue growth in the second quarter. The FTSE 250 firm said it was on course to meet full-year expectations, buoyed by a strong performance from its Go.Compare brand and strong magazine sales.

In a trading update for the six months ended March 31, Future highlighted the successful implementation of its Growth Acceleration Strategy. The company's "Hero brands" outperformed the wider portfolio, while US direct advertising also showed improvement.

Headwinds persisted in affiliate products and digital advertising due to macroeconomic pressures impacting the sector. However, the group's reorganisation into three business units – business-to-consumer, Go.Compare, and business-to-business – is on track to drive further gains.

Cash conversion remained robust in the first half, underscoring Future's highly cash-generative model. The publisher will announce its interim results on May 16.

Despite today's rally, Future's shares are still down 37% over the past year. The company owns prominent titles like Country Life, Homes and Gardens, Decanter, Marie Claire, and The Week.

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