(Bloomberg) — Martin Sorrell’s digital advertising agency said it was making changes to its financial control, risk and governance structure after a lengthy lag in reporting its 2021 results.
S4 Capital Plc delayed publishing its annual results in late March for the second time, saying that accountancy PriceWaterhouseCoopers was unable to complete the audit work on time, after previously citing the impact the coronavirus pandemic had on travel and resources in early March.
Shares in the company plunged after the second announcement, losing about 1.2 billion pounds ($1.5 billion) in market value.
S4’s stock soared on Thursday after the company said it would publish its results.
On Friday morning, S4 reported 2021 annual results that showed adjusted pretax profits for the full year of 81.2 million pounds, below analysts’ estimate of 89.2 million pounds.
However, sales of 686.6 million pounds topped expectations for 650.7 million pounds.
“The delay in producing our 2021 results is unacceptable and embarrassing and significant changes in our financial control, risk and governance structure and resources are being implemented and planned,” Sorrell said in a statement.
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