Creative production agency Wellcom saw its profit slip in its 2017 full-year results, on a 7.1 per cent decrease in revenue.

The company achieved $145m of statutory revenue in 2017, compared to $156m in the prior corresponding period (pcp). Net revenue is $98.6m, a 4.5 decrease from the pcp result of $103.3m.

Wellcom’s net profit for 2017 is $10.6m, down by five per cent from the 2016 result of $11.1m, decreasing 4 per cent, compared to the 7 per cent decrease in revenue.

EBITDA is $18.7m, a 1.8 per cent decrease from the pcp result of $19m, while EBIT dropped 2.9 per cent to $15.97m. The EPS for 2017 are 27.12c, a 4.3 per cent decrease from 2016. DPS improved 2.2 per cent, hitting 23c from 22.5c in the pcp.

Company debt is down, now at $140,000 from 2016’s $260,000, while equity increased, now sitting at $65.9m, from $65.4m.

Looking at the Australasian region, net segment revenue is $53.5m, a 4.3 per cent decrease from the 2016 full-year results. The segment result mirrored 2016, $12.53m, but increased as a margin, up 4.5 per cent to 23.4 per cent. 13 new staff have been hired in the region by Wellcom in 2017.

Wellcom lost two of its largest Australian clients early in the financial year, Dick Smith and Masters Home Improvement, which it says contributed to the decrease in revenue.

The company notes new business wins, now contracted to do graphic design work for Sigma Pharmaceuticals, Mercer Australia, and News Corp Australia.

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