Business Description:
STW Communications Group Limited (SGN) is an Australian marketing communications group. The Group is made up of 70 operating companies that work across marketing communications, content and production disciplines: Advertising; Media; Insights and research; Branding; Public relations and government relations; Brand activation and specialist communications. The Group’s services are offered in several major countries, including: Australia; New Zealand; the UK; the USA and Hong Kong.

Strategy Analysis:
SGN's strategy is to focus on organic growth and to extract the maximum value from their existing portfolio of companies. They aim to diversify their service offer and build scale in the core markets of Australia and New Zealand. The company aims to service total marketing budgets by delivering ideas beyond traditional advertising solutions. SGN purchase minority interests in add-on companies which allow independence and autonomy, yet provide access to the large clients of SGN. Further expansion through acquisitions is expected to capitalise on corporate trends in outsourcing marketing resources. SGN assists all group companies in administration, financial management, property, procurement, information technology, knowledge sharing, planning for growth and attracting and growing talent.. STW Communications Group reported NPAT up 5.7% to $17.2m for the half-year ended 30 June 2011. Revenue from ordinary activities were $158.8m, up 2.3% from the same period last year. Basic and Diluted EPS were 4.81 cents compared to 4.55 cents last year. Net operating cash flow was $4.93m compared to $39.05m last year. The interim dividend declared was 3 cents compared with 2.3 cents last year.