Staff at Future, the publisher of Marie Claire and Metal Hammer, will share a $10 million bonus pot after the company’s revenue and earnings are above expectations.
Investors hailed a forecast that next year will be even better, with results “materially above” existing estimates for the company, which also owns digital assets including TechRadar and comparison site GoCompare, as shares of the company rose by more than 15% on Tuesday morning.
During the year ending September 30, Future declared a profit before tax of £107.8 million and a revenue rise of 79 percent to £606 million. Even though these numbers were artificially inflated by the acquisitions completed throughout the year, the company nevertheless managed to beat its revenue growth projection by 23% year on year.
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Additionally, the publisher, which gets money from magazine sales and digital advertising, reported record Black Friday sales in the UK and the US.
Byng-Thorne, the company’s chief executive, has profited more than £8 million from the company’s performance in the past two years and may expect another huge payday when this year’s remuneration is published next month. “I am thrilled to report another set of extraordinary results,” she added. We believe that our diverse strategy will continue delivering results in the Future.
According to Future, which has become a pandemic success storey thanks to increased reading and online shopping, it will “pay out the maximum in our all-employee yearly profit pool bonus system” following the exceptional results achieved.
As part of the plan, each of Future’s 2,800 employees will receive a bonus of at least £2,250, with the total pot likely to be around $10 million. A 4% raise will be given in 2022 to employees making less than £50,000 and a 2% raise to those making more.
Byng-new Thorne’s bonus programme, approved despite the opposition of 40% of the company’s future owners, will begin paying out in tranches starting in 2023.
As long as Future’s share price climbs at least 10% per year between 2020 and 2025, employees will receive an annual pot of shares limited to £95 million for three years.