- Digital transformation business Kin + Carta said it expected profit before tax to be 'marginally lower' than market expectations as the company increased investment in its transformation agenda and continued to reposition the communications and strategy pillars for the digital transformation market.

Given the continued strong growth in the innovation pillar, the company accelerated the investment in its transformation agenda during the year from £2m to £3m.

In the communication and strategy pillars the company continued to move away from lower margin work and streamlined the businesses. The actions taken within these two pillars would enable them to return to growth in FY2020, the company said.

Going forward, the company said it would also be reporting Net Revenue as the board believed it to be a 'more relevant growth metric for the business and more closely aligns with technology consulting peers as it moves away from media buying and other pass-through costs.'

'Whilst gross revenue for FY2019 is expected to be marginally down, on a like-for-like basis, net revenue is expected to be up slightly compared to the prior year at approximately £149m,' the company said.

At 8:13am: [LON:KCT] Kin and Carta share price was -12.4p at 82.6p

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