R
Understanding People	 Annual	 Report	 and	 Accounts	 2007
Annual	 Report	 and	 Accounts	 2007
Understanding  
People
YouGov
50	 Featherstone	 Street
London	 EC1Y	 8RT
T.		 +44	 (0)20	 7012	 6000
F.		 +44	 (0)20	 7012	 6001
www.yougov.com Washington
New York
Palo Alto
London
Jeddah
Malmo
Stockholm
Berlin
Dubai
Vienna
Cologne
Oslo
Copenhagen
Panel
Offices
Geographic Overview
New offices in New York, Berlin, Malmo, Oslo, 
Palo Alto, Washington, Stockholm, Copenhagen, 
Cologne, Vienna and Jeddah. Relocated UK  
offices in February 2007 , quadrupling capacity  
in the process.
96  
employees 
520  
customers 
1 .5m  
total panel size 
Notes to members
1.	 A 	member	entitled	to	attend	and	vote	at	the	meeting	is	also	entitled	to	appoint	one	or	more	proxies	to	attend	and,	on	a	poll,	vote	instead	of	him.	 The	proxy	need	not	 be	a	member	of	the	Company.
2.	 T o	be	ef fective,	the	instrument	appointing	a	proxy	and	any	authority	under	which 	it	is	executed	(or	a	notarially	certified	copy	of	such	authority)	must	be	deposited	at	
the	office	of	the	Company’ s	registrars,	Neville	Registrars,	at	Neville	House,	18	Laurel	Lane,	Halesowen,	W est	Midlands	B63	3DA 	not	less	than	48	hours	before	the	
time	for	holding	the	meeting.	 A	form	of	proxy	is	enclosed	with	this	notice.	Completion	and	return	of	the	form	of	proxy	will	not	preclude	shareholders	from	attending	and	 voting	in	person	at	the	meeting.		 3.	 In	accordance	with	Regulation	41	of	the	Uncertificated	Securities	Regulations	2 001,	only	those	members	entered	on	the	register	of	members	of	the	Company	as	at	
10	a.m.	on	5	December	2007	shall	be	entitled	to	attend	or	vote	at	the	meeting	in	respect	of	the	number	of	shares	registered	in	their	name	at	that	time.	Changes	to	
entries	on	the	register	of	members	after	this	time	shall	be	disregarded	in	determining	the	rights	of	any	person	to	attend	or	vote	at	the	meeting.		 Explanation of special business at the Annual General Meeting
Resolution	6	(authority	to	allot)	proposed	as	an	ordinary	resolution	would	give	the	directors	authority	to	allot	shares	up	to	a	maximum	nominal	amount	of	£61,758.74	 representing	one	third	of	the	Company’ s	current	issued	share	capital.	 The	existing	authority	would	be	revoked	and	this	new	authority	(unless	previously	revoked	by	the	
Company)	would	expire	on	6	December	2012.
Resolution	7	(Disapplication	of	pre-emption	rights)	proposed	as	a	special	resolution,	would	renew	the	power	of	the	Directors	to	allot	shares	for	cash	as	though	the	rights	
of	pre-emption	conferred	by	section	89	(1)	of	the	 Act	did	not	apply:
a)	 in	respect	of	the	whole	of	the	authorised	but	unissued	share	capital	in	connection	with	an	offer	to	existing	shareholders	in	proportion	to	their	existing	holdings	save	 that	the	directors	are	allowed	to	offer	shares	to	existing	shareholders	otherwise	than	strictly	in	proportion	to	their	holdings	where,	for	example,	overseas	regulations	 make	it	difficult	to	of fer	shares	pro	rata	to	existing	overseas	shareholders	or	when	dealing	with	fractions	of	shares;	and
b)		 up	to	a	nominal	amount	of	£9,263.81	representing	5%	of	the	current	issued	sha re	capital	of	the	Company	(to	give	the	directors	some	flexibility	in	financing	business	
opportunities	as	they	arise).
This	power	(unless	previously	revoked	by	the	Company)	would	expire	on	6	December	2012.
51 %  
revenue growth  Washington
New York
Palo Alto
London
Jeddah
Malmo
Stockholm
Berlin
Dubai
Vienna
Cologne
Oslo
Copenhagen
Panel
Offices
02	 Financial 	 Highlights
03	 Chairman’s 	 Statement
04	 Continuous 	 Growth
06	 Case 	 Studies
08	 Questions 	 and	 Answers
10	 Chief 	 Executive’s	 Report
12 	 C h ie f 	 F i n a n c i a l 	 O f fi c e r ’ s 	 R e p o r t
14	 Board 	 of	 Directors
16	 Directors’ 	 Report
18	 Remuneration 	 Report
20	 Corporate 	 Governance	 Report
22	 Statement 	 of	 Directors’	 Responsibilities
23	 Report 	 of	 the	 Independent	 Auditors
24	 Principal 	 Accounting	 Policies
26 	 C o n s o l i d a t e d 	 P r o fi t 	 a nd 	 L o s s 	 A c c o u n t
27	 Consolidated 	 Statement	 of	 Total	 Recognised	 	 G a i n s 	 a nd 	 L o s s e s
28	 Consolidated 	 Balance	 Sheet
29	 Company 	 Balance	 Sheet
30	 Consolidated 	 Cash	 Flow	 Statement
31	 Notes 	 to	 the	 Financial	 Statements
48	 Notice 	 of	 Annual	 General	 Meeting
YouGov is a research company  
using online panels to provide 
research for public policy,  
market research and  
stakeholder consultation.
www.yougov.com
	 www.yougov.com	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 01 07 06 05 04 03
1,887 1,992
2,942
9,472
14,303
Turnover £’000
07 06 05 04 03
1,117
670
961
3,862
5,297
Operating profit £’000
07* 06* 05* 04* 03*
12
16
19
59
96
Headcount
07* 06* 05* 04* 03*
157
125
155
161
149
Revenue per head £’000
07 06
†
05
†
04
†
03
†
1.9
0.8
1.2
4.5
6.1
Earnings per share pence
Financial Highlights
Group	 turnover	 increased	 51%	 to	 £14.3m	 (2006:	 £9.5m)
P r o fi t 	 b e f o r e 	 t a x 	 a n d 	 g o o d wi l l 	 u p 	 3 9 % 	 f r o m 	 £ 4 . 1 m 	 t o 	 £ 5 . 7 m
Earnings	 per	 share	 increased	 36%	 from	 4.5p	 to	 6.1p	 (restated	 for	 5:1	 share	 split)
Net	 assets	 increased	 56%	 from	 £6.8m	 to	 £10.6m
Operations	 have	 strong	 cash	 generation,	 £4.1m	 cash	 on	 balance	 sheet
Core	 UK	 business	 grew	 turnover	 65%	 to	 £7.9m	 Middle	 East	 revenues	 increased	 39%	 driven	 by	 a	 combination	 of	 the	 acquisition	 	 of	 Siraj	 and	 new	 clients	 across	 the	 enlarged	 business
Increased	 investment	 in	 people	 and	 infrastructure.	 Group	 headcount	 up	 from	 59	 to	 96
•
•
•
•
•
•
•
•
Revenues	have	consistently	grown	since	 2003.	2006	increased	substantially	 because	of	the	success	of	the	Middle	 East	 operations	 and	 the	 continual	 growth	 of	the	UK	operations.	In	2007	we	have	 built	on	the	success	achieved	in	2006	 both	in	the	UK	and	the	Middle	East.	 O p e r a t i n g	p r o fi t	h a s	i n c r e a s e d	o v e r	t h e		 5	y e a r	p e r i o d .	O p e r a t i n g	p r o fi t	g r o w t h	
r e fl e c t s	o u r	r e v e n u e	d e v e l o p m e n t .
Headcount	increased	steadily	over	the	 period	2003–2005	before	making	a	 substantial	increase	in	2006.	This	 aggressive	recruitment	has	continued	 	 in	2007	as	we	have	added	a	further	 	 37	staff	across	the	Group.	 Revenue	per	head	is	a	key	measure	of	 cost	control	and	margin	maintenance	 a s	s t a f fi n g	i s	t h e	s i n g l e	b i g g e s t	c o s t	t o	
the	Group.	The	steady	state	of	this	ratio	 is	testament	to	good	cost	control	and	 also	the	ability	of	the	Company	to	 generate	additional	revenues.	In	2007	 we	have	invested	in	our	sales	function	 across	the	Group.
Earnings	per	share	are	calculated	 	 b y	d i v i d i n g	t h e	p r o fi t	a t t r i b u t a b l e	t o	
shareholders	by	the	weighted	average	 number	of	shares	in	issue	in	the	period.
Earnings	per	share	grows	strongly,	albeit	 at	a	slower	rate	than	sales,	as	we	invest	 in	the	future	of	our	businesses.	 *	Based	on	year	end	headcount
†
	Restated	for	the	5:1	share	split	 	 	 on	10	April	2007
02	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 www.yougov.com Chairman’s Statement
T h e	fi n a n c i a l	y e a r	e n d e d	3 1	J u l y	2 0 0 7 ,	h a s	
been	an	excellent	one	for	YouGov	with	 organic	development	and	acquisitions	 	 both	leading	to	strong	growth	in	turnover	 a n d	p r o fi t s .
Group	turnover	for	the	year	has	increased	 by	51%	to	£14.3m	(against	£9.5m	last	 	 y e a r ) .	P r o fi t	b ef o r e	t a x	a n d	a m o r t i s a t i o n	o f	
goodwill	was	up	39%	at	£5.7m	(£4.1m	last	 year).	Our	headline	earnings	per	share	grew	 36%	to	6.1p	from	4.5p.
Consistent	with	our	plans	to	reinvest	our	 c a s h fl o w	i nt o	o n g o i n g	d e v e l o p m e nt s	w e	a r e	
not	proposing	the	payment	of	a	dividend.
YouGov	 serves	 its	 clients	 by	 providing	 research	 insights	 ranging	 from	 changing	 consumer	 opinions	 towards	 brands	 to	 voting	 intentions	 in	 elections	 and	 attitudes	 towards	 social	 and	 commercial	 issues.	 Over	 the	 past	 12	 months	 we	 have	 increased	 our	 range	 of	 clients,	 broadened	 the	 number	 of	 services	 we	 have	 on	 offer	 and	 extended	 our	 geographical	 reach.	 YouGov	 has	 been	 one	 of	 the	 most	 successful	 pioneers	 of	 internet	 based	 r e s e a r c h 	 a n d 	 t h i s 	 i s 	 r e fl e c t e d 	 b y 	 t h e 	 h i g h	
demand	 for	 our	 products	 and	 services	 and	 	 by	 the	 interest	 shown	 by	 potential	 recruits.
Following	our	expansion	during	the	last	year	 and	the	recent	post-balance	sheet	events	 we	now	operate	through	strong	subsidiary	 companies	in	Europe,	North	America	 	 and	the	Middle	East	which	will	allow	us	 	 to	meet	increasingly	multi-national	 requirements	of	our	clients.
Building a stronger business
In	the	past	year	we	have	focused	on	 international	growth	and	strengthening	 	 our	product	offering.
We	 successfully	 integrated	 the	 Siraj	 business	 w h i c h 	 w e 	 a c q u i r e d 	 o n 	 3 0 	 J u l y 	 2 0 0 6 .		 In	 December	 2006,	 we	 acquired	 an	 initial	 32%	 (£3.8m)	 stake	 in	 our	 associate	 	 business	 Polimetrix,	 based	 in	 Palo	 Alto	 	 and	 Washington,	 USA.
In	March	2007	we	launched	a	new	joint	 venture	YouGovCentaur,	a	50:50	joint	 venture	with	Centaur	publishing,	with	33	 t i t l e s	( i n c l u d i n g :	T h e	L a w y e r ,	T h e	E n g i n e e r	
etc)	to	create	a	new	UK	based	market	 research	agency	with	a	focus	on	the	 business-to-business	sector.	 In	April	2007	we	announced	YouGovStone,	 a	5 1 %	j o i nt	v e nt u r e	w i t h	L o n d o n ’ s	‘ Q u e e n		 of	Networking’	Carole	Stone,	weaving	 prominent	 social	 and	 industry	 commentators	 into	specialist	opinion	leader	panels.	 In	addition	we	announced	the	creation	of	 YouGovAlpha,	the	vehicle	we	have	created	 to	service	clients	in	the	investment	industry,	 following	the	mutually	agreed	disbanding	 	 of	YouGovExecution	by	YouGov	and	 Execution,	the	50:50	joint	venture	partners.
O n	2 7	J u l y	2 0 0 7	w e	a n n o u n c e d	t h e	
acquisition	of	psychonomics	AG,	a	leading	 market	research	agency	based	in	Cologne,	 G e r m a n y ,	f o r	€ 2 0 . 7 5 m .	
W e	h a v e	m a d e	a	n u m b e r	o f	s i g n i fi c a nt		 new	senior	appointments	in	our	core	 	 UK	business	to	strengthen	our	team	as	 	 the	business	continues	to	grow.
Board changes
I	 was	 appointed	 as	 Non-Executive	 Chairman	 i n 	 J a n u a r y 	 2 0 0 7 	 t a k i n g 	 o v e r 	 f ro m 	 P e t e r	
Kellner	 who	 remains	 on	 the	 Board	 as	 President	 of	 YouGov	 plc	 and	 who	 continues	 in	 his	 executive	 role	 leading	 the	 development	 of	 our	 political	 and	 opinion	 research.	 I	 would	 like	 to	 thank	 Peter	 for	 handing	 over	 the	 Non-
Executive	 Chairman’s	 role	 at	 a	 time	 when	 the	 Company	 is	 in	 such	 robust	 good	 shape	 and	 with	 such	 exciting	 prospects.
Panos	 Manolopoulos	 has	 taken	 on	 the	 role	 	 of	 Managing	 Director	 International	 Business	 Development	 and	 for	 the	 time	 being	 his	 position	 as	 Managing	 Director	 of	 YouGov	 UK	 i s 	 be i n g 	 fi l l e d 	 b y 	 o u r 	 C E O 	 N a d h i m 	 Z a h a w i .
Recent events
O n 	 2 7 	 J u l y 	 2 0 0 7 	 w e 	 a n n o u n c e d 	 t h e 	 fi r s t		 in	 a	 series	 of	 transactions;	 our	 German	 expansion	 through	 the	 acquisition	 of	 psychonomics	 AG.	 This	 was	 followed,	 post	 year	 end,	 when	 we	 made	 the	 decision	 to	 acquire	 the	 remaining	 68%	 stake	 in	 Polimetrix,	 o u r 	 U S 	 a s s o c i a t e 	 a n d 	 a c q u i r e d 	 Z a p e r a , 	 a	
business	 based	 in	 several	 countries	 in	 Scandinavia.	 These	 acquisitions	 have	 been	 funded	 through	 a	 share	 placing,	 which	 our	 shareholders	 approved	 on	 3	 September	 2007.	 These	 acquisitions	 will	 allow	 us	 to	 accelerate	 our	 growth	 and	 are	 consistent	 with	 the	 strategy	 we	 outlined	 this	 time	 last	 year	 when	 we	 started	 the	 restructuring	 of	 the	 Group.
Future prospects and outlook
Following	the	successful	acquisitions	in	the	 USA,	Germany	and	Scandinavia,	our	focus	 is	on	the	integration	of	these	businesses	 into	our	Group,	and	the	development	of	 Group	wide	systems	and	products.
We	also	have	numerous	organic	growth	 opportunities	to	pursue	across	the	 	 enlarged	Group	and	will	continue	to	 	 look	at	complementary	acquisitions	 	 that	meet	our	strict	criteria.	 T h e	c u r r e nt	fi n a n c i a l	y e a r	h a s	s t a r t e d	w e l l	
and	trading	is	in	line	with	the	Board’s	 e x p e c t a t i o n s .	A s	a	r e s u l t	w e	a r e	c o n fi d e nt	
that	2007/08	will	be	another	successful	year	 for	YouGov.
Conclusion
We	have	many	exciting	opportunities	ahead	 of	us	and	we	have	a	growing,	talented	and	 energetic	team	of	individuals	driving	and	 supporting	the	Group’s	development.	 I	take	this	opportunity	on	behalf	of	the	Board	 to	thank	all	of	our	teams	for	their	hard	work	 and	I	look	forward	to	our	continued	success	 i n	t h e	y e a r	t o	J u l y	2 0 0 8 .
Roger Parry
Chairman
8	October	2007
	 www.yougov.com	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 03 UK
Growth	 in	 revenues	 continues,	 up	 65%	 to	 £7 .9m.	 Operating	 p r o fi t s 	 r e m a i n 	 s t r o n g 	 a t 	 £ 3 . 7 m .	
Middle	 East
Y ouGov	 ME	 has	 now	 been	 rebranded	 Y ouGovSiraj	 following	 the	 successful	 integration	 of	 Siraj.	 Revenue	 up	 39%	 from	 £4.6m	 to	 £6.4m.
USA
Acquisition	 of	 32%	 of	 Polimetrix	 Inc	 in	 December	 2006	 (remaining	 68%	 purchased	 post	 year	 end).	 Polimetrix	 has	 s i m i l a r 	 t r a i t s 	 t o 	 a 	 ‘ y o u n g ’ 	 Y o u G o v 	 a n d 	 w e 	 b e l i e v e 	 o v e r 	 t h e	
coming	 years	 they	 will	 prosper	 as	 we	 have.
Europe
P o s t 	 y e a r 	 e n d , 	 t h e 	 a c q u i s i t i o n s 	 o f 	 p s y c h o n o m i c s 	 a n d 	 Z a p e r a	
give	 Y ouGov	 presence	 in	 Germany	 and	 Scandinavia.
April 2000 
YouGov Launch 
YouGov	 launches	 in	 a	 	 blaze	 of	 publicity	 at	 the	 Atrium	 in	 Westminster.	 	 The	 event	 was	 attended	 	 by	 the	 great	 and	 good	 of	 the	 political	 world.
May 2001 
British Elections 
YouGov	 covers	 the	 British	 elections	 for	 the	 fi r s t 	 t i m e 	 a n d 	 s t a r t s 	 t o	
make	 a	 name	 for	 itself	 with	 the	 accuracy	 of	 its	 polling	 results.
April 2004 
US Bespoke Project
Y o u G o v 	 c o m m i s s i o n s 	 i t s 	 fi r s t 	 p i e c e 	 o f 	 o v e r s e a s	
work	 for	 the	 National	 Science	 Foundation	 based	 at	 the	 University	 of	 Texas	 at	 Dallas.
April 2002 
Daily Telegraph
YouGov	 in	 association	 with	 the	 Daily	 Telegraph	 launches	 i t s 	 fi r s t 	 m o n t h l y 	 t r a c k e r	
covering	 political	 and	 current	 affairs.	 The	 success	 of	 the	 initial	 results	 leads	 to	 this	 being	 a	 regular	 	 monthly	 project.
April 2005 
YouGov plc floats 
on AIM
YouGov	 places	 2.25m	 new	 ordinary	 shares	 raising	 in	 the	 region	 of	 £3m	 to	 fund	 future	 growth.
Continuous Growth
04	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 www.yougov.com October 
2005 
BrandIndex
BrandIndex	 provides	 daily	 tracking	 of	 over	 1,000	 consumer	 brands,	 in	 32	 sectors,	 across	 	 7	 different	 measures	 	 of	 brand	 perception.	 	 The	 product	 which	 	 is	 available	 via	 an	 	 easy-to-use	 	 online	 tool.
December 
2006 
Polimetrix 
YouGov	 announces	 the	 acquisition	 of	 a	 32%	 stake	 in	 Polimetrix	 Inc,	 a	 US	 based	 c o m p a n y 	 w i t h 	 o f fi c e s 	 i n		 Palo	 Alto,	 California	 and	 Washington	 D.C.	 Polimetrix	 is	 much	 like	 YouGov	 in	 its	 earlier	 years.	 The	 company	 has	 a	 panel	 of	 approximately	 1.1m	 people	 across	 the	 US	 and	 Canada.
August 2007 
£27m Institutional 
Placing and Acquisition
YouGov	 announces	 £27m	 institutional	 placing	 to	 support	 	 o u r 	 s i g n i fi c a n t 	 i n t e r n a t i o n a l	
expansion.	 YouGov	 acquires	 Z a p e r a , 	 p s y c h o n o m i c s 	 a n d		 the	 outstanding	 68%	 stake	 	 in	 Polimetrix.
July 2006
YouGovSiraj
YouGovME	 acquired	 	 Siraj,	 a	 traditional	 market	 research	 agency	 with	 a	 host	 of	 blue	 chip	 clients.	 This	 complementary	 acquisition	 added	 s i g n i fi c a n t l y 	 t o 	 Y o u G o v ’ s	
position	 as	 the	 fastest	 growing	 market	 research	 agency	 in	 the	 region.	 July 2005 
YouGovME
YouGov	 moved	 into	 the	 Middle	 East	 region	 at	 the	 request	 of	 HSBC	 Middle	 East.	 YouGovME	 is	 based	 in	 Dubai	 and	 has	 built	 the	 fi r s t 	 o n l i n e 	 c o n s u m e r 	 p a n e l	
in	 the	 region.
	 www.yougov.com	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 05 Case Studies
Google	 tops	 the	 BrandIndex	 Top	 100	 table	 with	 phenomenally	 high	 scores	 across	 the	 board	 in	 all	 seven	 criteria.	 But	 in	 the	 spring	 	 of	 2006,	 the	 picture	 looked	 like	 it	 might	 be	 	 a	 rather	 different	 one,	 with	 Google’s	 scores	 plummeting	 in	 Buzz	 and	 also	 dropping	 in	 Corporate	 Reputation	 and	 General	 Impression.	 Google’s	 potentially	 catastrophic	 decision	 to	 bow	 to	 Chinese	 government	 pressure	 and	 produce	 a	 censored	 version	 of	 its	 search	 engine	 for	 China	 was	 at	 that	 point	 causing	 something	 of	 a	 consumer	 backlash.
Google.co.uk
P o p u l a r 	 p e r c e p t i o n 	 o f 	 t h e 	 b r a n d 	 c e r t a i n l y 	 t o o k 	 a 	 s i g n ifi c a n t	
h i t . 	 W h e n 	 t h e 	 n e w s 	 b r o k e 	 i n 	 J a n u a r y 	 2 0 0 6 , 	 G o o g l e ’ s 	 B u z z	
rating	 fell	 from	 +39	 to	 +14	 in	 4	 weeks;	 however,	 by	 the	 end	 of	 February	 2006,	 Buzz	 had	 started	 to	 recover,	 moving	 back	 up	 to	 +20.
L o o k i n g 	 a t 	 G o o g l e 	 s c o r e s 	 o v e r 	 t h e 	 w h o l e 	 o f 	 2 0 0 6 , 	 i t 	 i s	
down	 in	 all	 7	 of	 the	 criteria	 which	 go	 to	 make	 up	 the	 overall	 BrandIndex.	 General	 Impression	 is	 down	 a	 massive	 7	 points	 to	 +61,	 Buzz	 down	 4	 points	 to	 +32	 and	 Corporate	 Reputation	 down	 5	 points	 to	 +41.	 Perhaps	 more	 worrying	 for	 Google’s	 top	 management	 will	 be	 the	 news	 that	 its	 Quality	 score	 is	 down	 5	 to	 +51	 and	 its	 Recommend	 score	 –	 based	 on	 how	 many	 people	 would	 recommend	 it	 to	 others	 –	 is	 down	 6	 to	 +60.
Having	 said	 that,	 Google	 still	 tops	 the	 table	 in	 Buzz,	 General	 Impression,	 Recommend	 and	 Satisfaction	 categories.	 Its	 lowest	 position	 is	 for	 Quality,	 where	 	 it	 is	 ranked	 4th,	 down	 2	 places	 from	 2005.
The	 truth	 seems	 to	 be	 that	 if	 a	 brand	 is	 strong	 enough,	 	 it	 can	 ride	 out	 problems	 –	 to	 a	 certain	 degree,	 at	 least.	 Given	 the	 strength	 of	 Google’s	 scores,	 the	 world’s	 favourite	 search	 engine	 seems	 capable	 of	 surviving	 just	 about	 anything,	 right	 now.	 It	 has	 become	 such	 an	 integral	 part	 of	 UK	 consumers’	 lives	 –	 consumers	 who	 are	 online,	 at	 least	 –	 that	 they	 can	 forgive	 a	 lot,	 so	 long	 as	 the	 quality	 of	 the	 service	 it	 delivers	 remains	 high.
Source:	Marketing	Week	–	BrandIndex	Best	Brand	 	 Performers	2007
06	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 www.yougov.com Marks	 &	 Spencer
A	 lot	 of	 credit	 is	 due	 to	 the	 advertising.	 Its	 agency,	 Rainey	 Kelly	 Campbell	 Roalfe/Y&R,	 has	 created	 a	 series	 of	 ads	 featuring	 leading	 models	 (including	 1960s	 icon	 Twiggy)	 wearing	 M&S	 clothing	 and	 generally	 having	 fun.	 The	 recent	 Christmas	 ad	 in	 particular	 was	 extremely	 clever:	 	 a 	 h o m a g e 	 t o 	 J a m e s 	 B o n d 	 m o v i e s 	 i n 	 g e n e r a l , 	 i t 	 f e a t u r e d 	 a	
slew	 of	 beautiful	 models	 making	 their	 way	 across	 a	 frozen	 landscape	 to	 a	 hideout	 worthy	 of	 a	 Bond	 villain,	 for	 a	 Christmas	 party.	 Dame	 Shirley	 Bassey	 –	 famous	 for	 her	 B o n d 	 fi l m 	 t h e m e 	 s o n g s 	 – 	 b e l t s 	 o u t 	 a 	 c o v e r 	 v e r s i o n 	 o f	
P i n k ’ s 	 ‘ L e t ’ s 	 G e t 	 T h i s 	 P a r t y 	 S t a r t e d ’ 	 a s 	 t h e 	 s o u n d 	 t r a c k ,	
before	 appearing	 in	 an	 M&S	 gown.
Marks	&	Spencer	saw	its	recovery	continue	 throughout	2006,	and	its	3rd	place	in	the	 B r a n d I n d e x	T o p	1 0 0	t a b l e	r e fl e c t s	i t s	m a j o r	
successes	in	tackling	its	consumer	offering	 and	its	marketing	in	particular.
M&S	 has	 moved	 up	 a	 solid	 7	 places	 in	 the	 overall	 index	 –	 n o t 	 e a s y 	 f o r 	 a 	 l o n g - e s t a b l i s h e d 	 b r a n d . 	 L o o k i n g 	 a t 	 t h e 	 7	
criteria	 individually,	 while	 its	 Buzz	 factor	 has	 stayed	 static	 at	 +29,	 it	 has	 improved	 its	 scores	 in	 all	 the	 other	 6	 categories.	 Corporate	 Reputation	 is	 up	 4	 points	 to	 +38,	 General	 Impression	 up	 5	 points	 to	 +51,	 Quality	 ahead	 	 1	 point	 to	 +57,	 Recommended	 up	 5	 points	 to	 +42,	 Satisfaction	 up	 3	 points	 to	 +43	 and	 Value	 ahead	 7	 points	 to	 +27.	 Although	 it	 still	 ranks	 only	 number	 17	 out	 of	 all	 the	 brands	 in	 the	 survey	 for	 Value,	 it	 has	 moved	 up	 30	 places,	 compared	 with	 last	 year’s	 47th	 position.
	 www.yougov.com	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 07 Questions and Answers
Q&A
How would you summarise the achievements 
of 2006/07?
This	year	has	been	a	period	of	considerable	organic	growth,	with	 the	integration	of	our	acquisition	of	Siraj,	our	Dubai	based	research	 agency	into	our	existing	operations	and	continued	growth	in	the	 	 UK.	We	have	also	been	busy	in	the	search	for	new	partners	in	 	 our	priority	hubs	in	different	regions	around	the	world.	We	took	our	 initial	stake	in	Polimetrix	in	December	2006	and	have	cemented	 	 our	investment	post	year	end	by	acquiring	the	balance.	We	have	 also	expanded	through	acquisition	into	Germany,	the	2nd	largest	 European	research	market	and	also	into	Scandinavia.	We	are	now	 focused	on	integrating	these	great	agencies	into	the	enlarged	 YouGov	Group.
You utilise the joint venture model more than 
your competitors. Why is this?
We	 have	 always	 been	 both	 prudent	 and	 opportunistic	 in	 our	 approach	 to	 new	 ventures.	 We	 utilise	 the	 joint	 venture	 vehicle	 where	 we	 believe	 t h a t 	 t h e r e 	 i s 	 a 	 t r u e 	 b e n e fi t 	 f r o m 	 t e a m - w o r k i n g 	 w i t h 	 o u r 	 p a r t n e r s . 	 W e		 do	 not	 enter	 joint	 ventures	 lightly,	 and	 we	 believe	 that	 the	 partnerships	 we	 have	 developed	 are	 important	 for	 wider	 strategic	 reasons.	 The	 l o w e r 	 l e v e l 	 fi n a n c i a l 	 i n v e s t m e n t 	 i n 	 j o i n t 	 v e n t u r e s 	 a l l o w s 	 u s 	 t o 	 p u r s u e	
o p p o r t u n i t i e s 	 t h a t 	 e n d 	 u p 	 b e i n g 	 e x t r e m e l y 	 p r o fi t a b l e 	 l i k e 	 Y o u G o v S i r a j .	
During	 2006/07	 we	 set	 up	 2	 new	 joint	 ventures:
YouGovCentaur	–	focusing	on	B2B	research	leveraging	 Centaur’s	active	readership	base.
YouGovStone	–	converting	Carole	Stone’s	30,000	panel	to	an	 online	opinion	formers	panel.
What is the outlook for the market research 
sector?
Global	market	research	turnover	grew	to	approximately	$24.6bn	in	 2006	(up	5.1%	on	2005)	and	is	expected	to	reach	$25.5bn	in	2007	 (up	3.7%	on	2006).	63%	of	global	market	research	turnover	is	 controlled	by	the	top	25	global	market	research	agencies.	However,	 organic	growth	(excluding	acquisitions)	within	these	agencies	 stands	at	only	1.7%.	This	trend	is	expected	to	continue	in	2007	 	 and	2008	which	points	to	the	competitive	performance	of	medium-
s i ze d ,	s m a l l e r	‘ b o u t i q u e ’	a g e n c i e s	f o c u s e d	o n	s p e c i fi c	m e t h o d s		 (i.e.	online	or	qualitative),	industry	sectors	or	research	types	 	 (e.g.	brand),	analytics	and	consultancy	services.
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08	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 www.yougov.com A s i a	P a c i fi c	a n d	t h e	M i d d l e	E a s t	c o nt i n u e	t o	r e g i s t e r	t h e	h i g h e s t	
year-on-year	growth	compared	to	all	other	regions,	while	growth	 rates	in	Europe	and	the	US	have	stabilised.	China	has	registered	 net	growth	of	over	15%	in	2006	and	is	expected	to	enter	the	top	 	 5	markets	for	market	research	within	5	years	if	it	continues	to	grow	 a t	t h e	s a m e	r a t e .	A t	t h e	s a m e	t i m e	a	n u m b e r	o f	i n d i v i d u a l	L a t i n	
American	markets	will	grow	by	an	average	of	12%	over	the	next	 	 2	years.
Online	research	accounted	for	16%	of	global	market	research	 turnover	in	2006	and	is	expected	to	exceed	18%	in	2007	($4.8bn)	 and	reach	20%	($6bn)	in	2008	registering	an	overall	increase	of	 about	50%	in	3	years.
Has your mission changed since the 
beginnings of YouGov in 2000?
Our	mission	remains	the	same,	to	be	the	leader	and	innovator	in	 online	research.	Our	recent	corporate	activity	is	a	stepping	stone	 	 to	creating	an	integrated	global	online	research	business.
Tell us more about your operations in 
America, Scandinavia and Germany
W e	a r e	v e r y	e x c i t e d	t o	w e l c o m e	P o l i m e t r i x ,	Z a p e r a	a n d	
psychonomics	into	the	YouGov	Group.	Taking	each	one	in	turn:
Polimetrix	is	a	business	broadly	modelled	on	YouGov	plc,	as	 	 an	online	market	research	agency.	Polimetrix	boasts	a	panel	 	 of	1.1m	panellists	to	date.	It	was	founded	in	2004	by	Professor	 Doug	Rivers	and	has	focused	mainly	on	academic	and	political	 research.	The	client	base	has	been	broadened	in	recent	months	 by	the	introduction	of	commercial	research.	We	are	excited	that	 Polimetrix	is	to	be	branded	YouGovAmerica	Inc	whilst	trading	as	 YouGovPolimetrix.
Z a p e r a	i s	a	f u l l	s e r v i c e	o n l i n e	m a r k e t	r e s e a r c h	a g e n c y	o p e r a t i n g	
f r o m	h e a d q u a r t e r s	i n	C o p e n h a g e n,	D e n m a r k ,	w i t h	o f fi c e s	i n	
S w e d e n	a n d	N o r w a y .	Z a p e r a	h a s	o n l i n e	p a n e l s	a c r o s s	t h e	
N o r d i c	r e g i o n,	t o t a l l i n g	1 2 5 , 0 0 0	p a n e l l i s t s .	Z a p e r a	i s	t o	b e	
b r a n d e d	Y o u G o v Z a p e r a .
psychonomics	is	a	German	based	traditional	market	research	 agency,	with	an	embryonic	online	operation.	The	psychonomics	 brand	has	a	strong	presence	in	the	German	market	research	 i n d u s t r y ,	p a r t i c u l a r l y	i n	t h e	a r e a	o f	fi n a n c i a l	s e r v i c e s	a n d	
insurance.	We	are	working	on	the	branding	of	psychonomics,	 w h i c h	f o r	t h e	m e a nt i m e	w i l l	b e	‘ p s y c h o n o m i c s ,	p a r t	o f	t h e	
YouGov	Group’.
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What are your plans for 2007/08?
Clearly	we	have	a	lot	of	work	to	do,	to	integrate	the	newly	acquired	 entities,	in	Germany,	USA	and	Scandinavia.	We	have	made	 substantial	progress	to	date:	holding	conferences	for	CFOs,	CEOs	 and	CTOs	around	the	Group.	We	have	over	300	employees	as	at	 today’s	date,	all	of	whom	are	as	excited	as	we	are	about	making	 	 the	YouGov	Group	a	success.	Our	initial	plans	include	integration	 	 o f	o u r	fi n a n c i a l	s y s t e m s ,	p r o c e s s e s	a n d	c o nt r o l s ,	o u r	s u r v e y	
platform	and	our	technological	capabilities.	We	are	also	working	 	 on	our	branding	and	our	service	offerings	so	that	our	clients	 	 receive	a	global	service.	We	manage	our	business	through	 	 working	together	on	our	operational	board.
What were the benefits of dissolving 
YouGovExecution and creating YouGovAlpha?
W e	w o r k e d	w e l l	w i t h	o u r	j o i nt	v e nt u r e	p a r t n e r s ,	E x e c u t i o n	L i m i t e d ,	
during	the	18	months	that	the	joint	venture	operated.	However,	 	 both	parties	believe	that	their	core	businesses	will	be	better	served	 by	offering	independent	services	to	core	customers.	We	have	 enjoyed	our	joint	venture	and	have	learnt	a	lot	from	it.	We	remain	 	 o n	e x t r e m e l y	f r i e n d l y	t e r m s	w i t h	E x e c u t i o n	L i m i t e d ,	a n d	l o o k	
forward	to	a	long	and	prosperous	working	relationship	in	 	 the	future.
How are you different from competitors?
YouGov	remains	the	only	market	research	company	to	employ	 panel	recruitment	methods	that	ensure	we	can	robustly	represent	 our	communities,	as	well	as	continually	testing	our	accuracy	 	 against	real	outcomes.	This	is	essential	if	the	client	is	to	have	 c o n fi d e n c e	i n	t h e	q u a l i t y	o f	t h e	d a t a .	
Unlike	other	agencies,	we	don’t	regard	online	as	merely	another	 data	collection	platform	–	we	see	it	as	a	tool	for	understanding	 people’s	opinions	and	behaviours	in	a	way	that	is	different	and	 better	than	that	afforded	by	conventional	methodologies.	 YouGov	emphasises	innovative	product	design	that	leverages	the	 c o s t	e f fi c i e n c y	o f	t h e	o n l i n e	m e t h o d o l o g y ,	g e n e r a t i n g	d a t a	a n d	
insights	with	real-time	applications,	essential	for	today’s	fast-
changing	markets.
Now	 that	 YouGov	 has	 global	 reach,	 we	 believe	 we	 can	 offer	 a	 depth,	 accuracy	 and	 speed	 of	 service	 beyond	 that	 of	 our	 competitors.
	 www.yougov.com	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 09 Chief Executive’s Report
We	 believe	 that	 the	 future	 leaders	 of	 this	 industry	 are	 companies	 with	 great	 research	 brains	 and	 great	 technology.
The business and its objectives 
YouGov	 is	 a	 full	 service	 online	 research	 agency.	 YouGov	 uses	 proprietary	 methodologies	 to	 produce	 accurate,	 cost-
effective	 and	 representative	 research.	 We	 constantly	 strive	 to	 achieve	 better	 quality	 research	 using	 experienced	 researchers	 and	 smart	 technology.	 We	 believe	 that	 the	 future	 leaders	 of	 this	 industry	 are	 companies	 with	 great	 research	 brains	 and	 great	 technology.
Our	objectives	are	the	following:	 To	provide	high	quality	accurate	research	 to	our	customers.	 To	expand	our	offering	to	new	clients	 within	new	business	sectors.	 To	roll	out	new	products	and	services.	 To	internationalise	our	products	and	 business,	thus	providing	our	clients	with	 a	facility	to	use	YouGov	in	the	major	 business	hubs	of	the	world	where	 	 they	operate.	 D u r i n g	t h e	c u r r e nt	fi n a n c i a l	y e a r	w e	
operated	in	3	distinct	geographical	areas;	in	 the	UK,	the	Middle	East	and	North	America	 through	our	associate	Polimetrix.
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Review of operations 
YouGov’s	business	performance	throughout	 the	year	has	been	strong.	In	the	UK	we	 	 h a v e	m o v e d	t o	n e w	o f fi c e s ,	q u a d r u p l i n g		 our	capacity	to	allow	for	our	growth	in	 h e a d c o u nt	i n	t h e	f o r t h c o m i n g	fi n a n c i a l	y e a r .	
We	are	very	pleased	with	the	business	 performance	in	the	UK	and	the	Middle	East.
	 The	YouGov	brand	continues	to	obtain	 substantial	media	coverage	in	both	the	UK	 and	the	Middle	East.	We	continue	to	be	the	 most	quoted	market	research	agency	in	 these	territories.	Our	brand	is	strong	and	 	 we	strive	to	protect	it.
YouGov	 retains	 substantial	 intellectual	 capital,	 not	 only	 in	 terms	 of	 our	 unique	 technological	 solutions,	 but	 also	 in	 our	 methodology.	 We	maintain	an	ongoing	programme	of	 research	and	development	and	investment	 in	our	intellectual	capital.	Research	and	 development	is	a	priority	at	YouGov	hence	 its	leadership	by	Stephan	Shakespeare	 	 c o - f o u n d e r	a n d	C h i ef	I n n o v a t i o n s	O f fi c e r .
Our	 UK	 operations	 have	 grown	 strongly	 with	 revenues	 growing	 by	 65%	 from	 £4.8m	 in	 the	 y e a r 	 e n d i n g 	 3 1 	 J u l y 	 2 0 0 6 	 t o 	 £ 7 . 9 m 	 i n 	 t h e 	 y e a r	
e n d i n g 	 3 1 	 J u l y 	 2 0 0 7 . 	 T h i s 	 p e r f o r m a n c e	
r e fl e c t s 	 o u r 	 f o c u s 	 o n 	 o u r 	 c o m p l e m e n t a r y	
range	 of	 products:	 BrandIndex,	 Omnibus	 	 and	 our	 bespoke	 offering.
At	a	time	of	ongoing	investment	in	the	 business,	we	have	seen	no	margin	pressure	 in	our	business 	 overall	 as	 clients	 have	 continuously	 valued	the	quality	and	depth	of	 our	research	to	meet	their	business	needs.
In	the	Middle	East	operations	revenues	 have	grown	by	39%	from	£4.6m	in	the	year	 e n d i n g	3 1	J u l y	2 0 0 6	t o	£ 6 . 4 m	i n	t h e	y e a r	
e n d i n g	3 1	J u l y	2 0 0 7 .	T h i s	h a s	b e e n	d r i v e n	
b y	t h e	a c q u i s i t i o n	o f	S i r a j	i n	J u l y	2 0 0 6	a n d	
the	good	organic	growth	of	our	client	base.
A t	t h e	b e g i n n i n g	o f	t h e	l a s t	fi n a n c i a l	y e a r ,	
we	established	an	Operational	Board	which	 is	chaired	by	myself,	and	includes	our	Chief	 Fi n a n c i a l	O f fi c e r ,	C h i ef	I n n o v a t i o n s	O f fi c e r	
and	the	country	representatives.	This	 reorganisation	was	vital	to	allow	us	to	 manage	our	business	whilst	delivering	 growth	and	greater	internationalisation.
10	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 www.yougov.com We	launched	two	new	businesses	in	the	 year,	YouGovCentaur	and	YouGovStone	 which	are	both	contributing	as	expected.
YouGovCentaur	will	focus	on	the	lucrative	 area	of	specialist	panels	from	lawyers	to	 engineers	and	marketeers.	We	will	engage	 with	 these	 audiences	 so	 as	 to	 provide	 clients	 with	an	in	depth	research	and	product	 portfolio	that	meets	their	business	needs.	 YouGovStone	focuses	on	opinion	leader	 research.	More	and	more	companies	 	 and	organisations	are	seeking	ways	of	 understanding	how	opinion	leaders	affect	 the	world	we	live	in.
	 Following	the	year	end,	we	announced	that	 we	have	concluded	our	joint	venture	with	 Execution,	YouGovExecution,	and	launched	 YouGovAlpha,	YouGov’s	100%	subsidiary	to	 take	primary	research	for	the	investment	 community	forward.
We	 believe	 that	 companies	 are	 about	 people	 and	I	want	to	thank	everyone	who	has	 worked	so	hard	to	make	2007	a	success	 and	look	forward	to	a	successful	2008.
Our future strategy 
We	are	well	positioned	to	be	the	premier	 international	provider	of	market	and	opinion	 r e s e a r c h .	W e	a r e	f o c u s e d	o n	s p e c i fi c	
i n d u s t r y	s e c t o r s	s u c h	a s	m e d i a ,	fi n a n c i a l	
services,	brand,	health,	consumer,	 organisational	and	public	sector	research.	 We	will	continue	to	recruit	the	best	minds	 and	apply	our	technological	development	to	 support	our	growth.
We	will	roll	out	our	syndicated	research	with	 BrandIndex	being	launched	in	the	USA	and	 other	geographies.	Post	year	end,	we	have	 acquired	psychonomics,	a	top	10	agency	 	 i n	G e r m a n y ,	a n d	Z a p e r a ,	t h e	‘ j e w e l	o f	t h e	
Nordic	region’,	in	Scandinavia	and	exercised	 our	option	to	acquire	Polimetrix	in	the	USA.	 This	gives	us	a	presence	in	5	of	our	target	 hubs	around	the	world.	 As	well	as	in-depth	knowledge	within	 s p e c i fi c	i n d u s t r y	a r e a s ,	t h e	a c q u i s i t i o n s		 will	extend	YouGov’s	capability	in	target	 g e o g r a p h i e s	f o r	g r o w t h .	S i g n i fi c a nt	p a r t s		 of	the	acquired	businesses	will	be	moved	 	 to	YouGov’s	model	and	the	staff	will	be	 retained	for	their	sector	expertise.	 Ultimately	we	aim	to	provide	a	constant	 stream	of	primary	data	from	strategic	 business	hubs	around	the	world	with	a	 global	panel	and	a	global	set	of	syndicated	 p r o d u c t s :	‘ T h e	Y o u G o v	S c r e e n ’ .	T h e s e	
a c q u i s i t i o n s	a r e	a	s i g n i fi c a nt	s t e p	t o w a r d s	
beginning	to	achieve	that	goal.
Nadhim Zahawi
Group Chief Executive Officer
8	October	2007
	 www.yougov.com	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 11 Chief Financial Officer’ s Report
Group	 revenues	 have	 grown	 strongly,	 increasing	 by	 51%	 from	 £9.5m	 to	 £14.3m.	 T h e	fi n a n c i a l	y e a r	t o	3 1	J u l y	2 0 0 7	h a s	b e e n	
busy	in	terms	of	organic	expansion	and	 corporate	activity.	Twelve	months	ago	we	 operated	in	2	jurisdictions,	the	UK	and	the	 Middle	East,	with	a	headcount	of	59.	At	the	 t i m e	o f	w r i t i n g ,	w e	n o w	h a v e	s i g n i fi c a nt	
operations	in	3	additional	jurisdictions,	the	 USA,	Germany	and	Scandinavia	and	301	 talented	individuals	driving	our	expansion	 strategy.	This	has	been	achieved	by	a	 commitment	to	our	strategy	of	prudent	 organic	growth,	and	careful	acquisitions	 	 and	opportunity-led	joint	ventures.	 Results 
Revenues 
Group	 revenues	 have	 grown	 strongly,	 increasing	 by	 51%	 from	 £9.5m	 to	 £14.3m.	 The	 core	 UK	 business	 grew	 by	 65%	 to	 £7.9m	 from	 £4.8m	 whilst	 the	 Middle	 East	 business	 grew	 by	 39%	 from	 £4.6m	 to	 £6.4m.
YouGovStone	contributed	£68,000	to	Group	 revenues	and	YouGovExecution	contributed	 £270,000.
Profit before tax 
YouGov	 continues	 to	 generate	 strong	 margins	 across	 all	 of	 our	 operations.	 The	 Group	 margin	 was	 39%	 compared	 with	 43%	 l a s t 	 y e a r , 	 r e fl e c t i n g 	 t h e 	 s t ra t e g i c 	 i n v e s t m e n t	
i n 	 i n t r a s t r u c t u r e 	 a n d 	 s ig n i fi c a n t 	 r e v e n u e	
generating	 headcount	 across	 all	 businesses.
Taxation 
T a x a t i o n	r e fl e c t s	c h a r g e s	a t	t h e	ef f e c t i v e	
rate	of	30%	for	UK	operations	and	zero	for	 our	Middle	East	operations,	which	operate	 i n	t h e	F r e e	Z o n e	i n	D u b a i .	T h e	ef f e c t i v e	
Group	taxation	rate	is	11%	(2006:	13%).	 Assets 
T a n g i b l e	fi x e d	a s s e t s	h a v e	i n c r e a s e d	b y	
2 5 0 %	f r o m	£ 0 . 2 m	t o	£ 0 . 7 m	r e fl e c t i n g	a n	
ongoing	investment	in	infrastructure	such	 	 as	our	new	survey	platform	iPollster.
I n t a n g i b l e 	 fi x e d 	 a s s e t s , 	 i n c l u d i n g 	 go o d w i l l	
from	 our	 associate,	 have	 increased	 by	 208%	 t o 	 £ 3 . 7 m	 f ro m 	 £ 1 . 2 m . 	 T h i s 	 r e fl e c t s 	 a 	 n e t	
increase	 of	 £2.5m	 relating	 to	 goodwill	 and	 £0.3m	 of	 technological	 infrastructure	 costs.
The	Group’s	share	of	net	assets	of	 YouGovExecution,	YouGovCentaur	 	 and	Polimetrix	is	£111,000,	£16,000	and	 £1.1m	respectively.	 Group	net	assets	have	increased	by	56%	 from	£6.8m	to	£10.6m.	 Working capital 
Debtors 
Trade	debtors	have	increased	by	40%	from	 £ 3 . 5 m	t o	£ 4 . 9 m	r e fl e c t i n g	i n c r e a s e d	a c t i v i t y	
and	debtor	days	remain	consistent	at	94	 debtor	days	(2006:	90	days).
Creditors 
Group	 creditors	 have	 increased	 by	 32%	 from	 £ 2 . 8 m	 t o 	 £ 3 . 7 m	 w h i c h 	 r e fl e c t s 	 t h e 	 a d d i t i o n a l	
costs	 being	 borne	 by	 the	 business	 as	 investment	 is	 made	 to	 the	 infrastructure.
Cash 
The	Group	cash	position	has	fallen	 	 25%	from	£5.5m	to	£4.1m	as	a	result	 	 of	investments	made	during	the	period.
Cash	generation	remains	strong	and	 	 £4.8m	of	funds	were	generated	from	 operating	activities	during	the	period.
Facility 
We	have	an	agreement	in	principal	with	 	 The	Royal	Bank	of	Scotland	for	a	facility	of	 £11.5m	for	working	capital	and	acquisition	 fi n a n c e .
Capital and equity
Share split 
On	10	April	2007	the	Company	undertook	a	 5:1	share	split	to	create	greater	liquidity	for	 YouGov	plc	shares.
12	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 www.yougov.com 50
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July 07 April 07 January 07 October 06 July 06
YOUGOV FTSE AIM 100 FTSE AIM ALL-SHARE
Share price performance
Earnings per share 
E a r n i n g s 	 p e r 	 s h a r e 	 f o r 	 t h e 	 y e a r 	 t o 	 3 1 	 J u l y 	 2 0 0 7	
are	 6.1p,	 an	 increase	 of	 36%	 from	 4.5p	 (adjusted	 for	 the	 5:1	 share	 split	 on	 10	 April	 2 0 0 7 ) 	 f o r 	 t h e 	 y e a r 	 t o 	 3 1 	 J u l y 	 2 0 0 6 . 	 T h i s	
demonstrates	 the	 success	 of	 the	 strategies	 the	 Board	 have	 implemented	 during	 the	 current	 year	 and	 have	 put	 in	 place	 for	 the	 future.
Shareholder return 
YouGov	has	seen	its	share	price	rise	from	 £0.98	(adjusted	for	the	5:1	share	split	on	 	 1 0	A p r i l	2 0 0 7 )	a t	3 1	J u l y	2 0 0 6	t o	£ 1 . 4 9	a t		 3 1	J u l y	2 0 0 7 ,	a n	i n c r e a s e	o f	5 2 % .	T h e	
graph	above	highlights	YouGov’s	continued	 out	performance	against	the	AIM	index	as	a	 whole	and	also	the	top	100	AIM	companies.	 	 Risks 
Our	business,	as	any	other,	faces	 substantial	risks,	which	the	Directors	 	 work	hard	to	mitigate	and	address.	 	 Risks	are	discussed	in	greater	detail	 	 on	page	21.
Post balance sheet – share issue 
On	6	September	2007	we	undertook	a	 placing	for	cash	of	19,285,714	new	0.2p	 ordinary	shares	to	institutional	investors	at	 £1.40	share.	In	addition	we	issued	shares	 and	granted	options	of	an	aggregate	value	 of	£11.3m.	This	was	undertaken	to	fund	the	 acquisitions	outlined	above.
Accounting policies 
We	apply	a	suite	of	regular	accounting	 p o l i c i e s	t o	a s s i s t	u s	i n	r e p o r t i n g	o u r	fi n a n c i a l	
position	and	results.	Accounting	policies	are	 discussed	 in	 more	 detail	 on	 pages	 24	 and	 25.
International Financial  
Reporting Standards 
The	Directors	are	aware	that	the	Company	 has	passed	the	transition	date	for	reporting	 c o m p a r a t i v e	fi g u r e s	u n d e r	I nt e r n a t i o n a l	
Financial	Reporting	Standards	(IFRS).	The	 A u d i t	C o m m i t t e e	h a s	a	c a r ef u l l y	d e fi n e d	
plan	to	manage	the	implementation	of	IFRS.
	 In	so	doing	we	have	considered	the	impact	 t h a t	I F RS	w i l l	h a v e	u p o n	o u r	fi n a n c i a l	
statements	and	the	Board	believes	that	this	 impact	will	not	be	material.	A	reconciliation	 from	UK	GAAP	to	IFRS	will	be	presented	 with	our	interim	report	for	the	period	to	 J a n u a r y	2 0 0 8 .
Corporate finance activity 
During	 the	 period	 we	 launched	 two	 joint	 ventures,	 YouGovCentaur	 and	 YouGovStone.	 In	 March	 2007	 YouGov	 plc	 and	 Centaur	 plc	 took	 a	 50%	 stake	 in	 YouGovCentaur,	 each	 contributing	 £30,000	 capital	 and	 £70,000	 in	 loans.	 YouGovStone	 was	 set	 up	 with	 Carole	 S t o n e , 	 L o n d o n ’ s 	 ‘ q u ee n 	 o f 	 n e t w o r k i n g ’ ,	
bringing	 YouGov’s	 research	 expertise	 to	 Carole’s	 existing	 panel	 of	 30,000	 contacts.	 	 In	 December	 2006	 we	 acquired	 a	 32%	 stake	 in	 a	 US	 based	 company,	 Polimetrix	 Inc	 for	 	 a	 consideration	 of	 $7.5m	 with	 a	 conditional	 option	 to	 acquire	 the	 remaining	 share	 capital.
Post	 year	 end	 we	 have	 also	 been	 busy,	 announcing	 3	 acquisitions,	 Polimetrix,	 Z a pe ra 	 a n d 	 p s y c h o n o m i c s 	 a n d 	 h a v e 	 f o r m e d	
a	 100%	 owned	 subsidiary;	 YouGovAlpha.	 Following	the	year	end,	YouGov	acquired	 the	remaining	68%	of	the	share	capital	of	 Polimetrix	for	$2.10	per	share.	The	total	 consideration	is	$24.1m	of	which	$8.6m	was	 s a t i s fi e d	i n	c a s h	w i t h	t h e	r e m a i n i n g	$ 1 5 . 5 m	
b e i n g	s a t i s fi e d	b y	t h e	a l l o t m e nt	o f	s h a r e s	
and	by	the	grant	of	options	($2.7m).
At	the	same	time	we	acquired	100%	of	the	 s h a r e	c a p i t a l	o f	Z a p e r a ,	a	S c a n d i n a v i a n	
online	research	agency,	for	£5.3m	of	which	 £ 4 . 9 m 	 w a s 	 s a t i s fi e d 	 i n 	 c a s h 	 w i t h 	 t h e 	 r e m a i n i n g	
£ 0 . 4 m	b e i n g	s a t i s fi e d	t h r o u g h	t h e	a l l o t m e nt	
of	shares.	A	further	£2m	was	used	to	settle	 liabilities	and	a	further	£2.25m	may	become	 payable	to	the	sellers	subject	to	certain	 fi n a n c i a l	h u r d l e s	f o r	t h e	1 2	m o nt h	p e r i o d	t o	
3 1	J u l y	2 0 0 8	b e i n g	m e t .	A n	e a r n - o u t	h a s	
a l s o	b e e n	p u t	i n	p l a c e	f o r	t h e	2	fi n a n c i a l	
y e a r s	e n d i n g	3 1	J u l y	2 0 1 0 .	U n d e r	t h i s	e a r n -
o u t ,	b a s e d	o n	fi n a n c i a l	t a r g e t s	b e i n g	m e t ,	a	
maximum	of	£1.25m	will	be	payable,	50%	in	 cash	and	50%	in	Ordinary	Shares.	 O n	2 7	J u l y	2 0 0 7	w e	a n n o u n c e d	t h e	
acquisition	of	the	entire	issued	share	capital	 o f	p s y c h o n o m i c s	f o r	€ 2 0 . 7 5 m	o f	w h i c h	
€ 1 5 . 7 5 m	w a s	s a t i s fi e d	i n	c a s h	a n d	t h e	
r e m a i n i n g	€ 5 m	b e i n g	s a t i s fi e d	t h r o u g h	t h e	
allotment	of	shares.	The	psychonomics	 sellers	are	entitled	to	be	paid	the	pre-
c o m p l e t i o n	p r o fi t s	o f	p s y c h o n o m i c s	f o r		 t h e	c u r r e nt	y e a r	c a p p e d	a t	€ 1 . 5 m .	A n		 earn-out	has	also	been	put	in	place	for	the	 	 2	fi n a n c i a l	y e a r s	e n d i n g	3 1	D e c e m b e r	2 0 0 8 .	
U n d e r	t h i s	e a r n - o u t ,	b a s e d	o n	fi n a n c i a l	
targets	being	met,	a	maximum	of	a	further	 € 3 m	w i l l	b e	p a y a b l e ,	e i t h e r	i n	c a s h	o r	
shares.	The	acquisition	did	not	become	 unconditional	until	after	the	period	end	and	 so	was	not	consolidated	in	the	current	 reporting	period.
YouGovAlpha	rose	from	the	cessation	of	 YouGovExecution.	YouGov	plc	has	agreed	 to	cover	working	capital	requirements	in	the	 short	term.
Katherine Lee
Chief Financial Officer
8	October	2007
	 www.yougov.com	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 13 Roger Parry
Non-Executive Chairman
Roger	began	his	career	as	a	journalist	working	at	the	BBC	and	ITV.	 He	worked	subsequently	for	McKinsey,	WCRS	and	Aegis	Group	 plc.	He	was	Chief	Executive	of	More	Group	plc	when	it	was	sold	to	 Clear	Channel	and	went	on	to	become	Chairman	and	CEO	of	Clear	 C h a n n e l	I nt e r n a t i o n a l .	Ro g e r	i s	c u r r e nt l y	C h a i r m a n	o f	J o h n s t o n	
Press	plc,	Future	plc,	Media	Square	plc	and	Mobile	Streams	plc.	 He	is	also	Chairman	of	Shakespeare’s	Globe	Trust.
Katherine Lee
Group Chief Financial Officer
K a t h e r i n e	i s	r e s p o n s i b l e	f o r	t h e	d a y - t o - d a y	fi n a n c i a l	s t e w a r d s h i p	o f	
C o m p a n y	r e s o u r c e s	a n d	f a c i l i t a t e s	e x t e r n a l	a n d	i nt e r n a l	fi n a n c i a l	
r e p o r t i n g .	S h e	p r e v i o u s l y	w o r k e d	a t	G r a nt	T h o r nt o n	U K	L L P	w h e r e	
she	worked	in	Transaction	Services,	Corporate	Finance.	Prior	to	 j o i n i n g 	 G r a n t 	 T h o r n t o n , 	 K a t h e r i n e 	 q u a l i fi e d 	 a s 	 a 	 c h a r t e r e d 	 a c c o u n t a n t	
w i t h	P r i c e w a t e r h o u s e C o o p e r s	i n	S h ef fi e l d	a n d	L e e d s	b ef o r e	b e i n g	
s e c o n d e d	t o	S y d n e y ,	A u s t r a l i a .	K a t h e r i n e	g r a d u a t e d	f r o m	S h ef fi e l d	
University	with	a	BSc	in	Psychology.
Peter Bazalgette
Non-Executive Director
P e t e r	i s	C h i ef	C r e a t i v e	O f fi c e r	o f	T h e	E n d e m o l	G r o u p	w h e r e	h e	
oversees	the	creation	of	content	across	the	international	television	 and	multimedia	production	company.	He	sits	on	the	Endemol	 Group	executive	board.	He	is	a	former	Non-Executive	Director	of	 Channel	Four	Television	Corporation.	Peter	graduated	with	a	BA	 	 i n	L a w	f r o m	C a m b r i d g e	U n i v e r s i t y	i n	1 9 7 6 .	
Nadhim Zahawi
Group Chief Executive Officer and Co-founder
Nadhim	was	educated	at	Kings	College	School	and	University	 C o l l e g e	L o n d o n	( B S c	C h e m i c a l	E n g i n e e r i n g ) ,	a n d	a f t e r	g r a d u a t i n g	
h e	w o r k e d	i n	S a l e s	a n d	M a r k e t i n g .	N a d h i m	h a s	s p e c i fi c	e x p e r i e n c e	
in	planning	and	education	consultation,	panel	recruitment	and	 management.	He	co-founded	YouGov	in	April	2000.
Board of Directors
14	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 www.yougov.com Stephan Shakespeare
Group Chief Innovation Office and Co-founder
Stephan	 is	 responsible	 for	 developing	 new	 research	 methodologies.	 Stephan	has	an	MA	from	Oxford	University.	He	was	a	headmaster	 i n	L o s	A n g e l e s	a n d	a	h e a d	o f	s p e c i a l	n e e d s	i n	a	L a m b e t h	
comprehensive.	He	has	written	extensively	on	education	policy	for	 a	variety	of	national	newspapers.	Immediately	prior	to	setting	up	 YouGov,	he	was	a	political	campaigner.
Panos Manolopoulos
Managing Director International Business Development
Panos	Manolopoulos	is	responsible	for	business	development	 	 and	market	research	services.	Panos	is	a	client-focused	market	 research	professional,	with	an	established	track	record	in	business	 development,	key	account	and	project	management	and	team	 leadership.	He	has	previously	worked	for	NOP,	Taylor	Nelson	 S o f r e s	( T N S )	a n d	s e t	u p	L i g ht s p e e d	R e s e a r c h	i n	E u r o p e	–	t h e	
WPP	online	research	agency.	He	has	worked	for	clients	in	the	 T e l e c o m s ,	I T ,	Fi n a n c i a l ,	T r a v e l	&	L e i s u r e ,	F M C G ,	M e d i a / N e w	
Media,	Utilities,	Automotive	and	Consumer	Products	verticals	 	 and	has	obtained	an	understanding	of	the	business	drivers	in	 	 these	industry	sectors.	 Anthony Foye
Non-Executive Director
Tony	is	Finance	Director	of	Informa	plc	having	joined	Taylor	&	 Francis	in	1987	as	Group	Chief	Accountant.	He	was	made	Finance	 Director	in	1994	and	remained	in	the	role	following	the	merger	with	 I n f o r m a .	A nt h o n y	q u a l i fi e d	a s	a	c h a r t e r e d	a c c o u nt a nt	w i t h	H a i n e s	
Watts	in	1986	and	has	a	BA	in	Accountancy	Studies	from	 H u d d e r s fi e l d	P o l y t e c h n i c .	
Peter Kellner
President
During	the	past	30	years	Peter	has	been	a	columnist	on	a	variety	 	 of	newspapers,	including	the	Times,	Sunday	Times,	Independent,	 Observer,	Evening	Standard	and	New	Statesman.	He	has	also	 been	a	regular	contributor	to	Newsnight	(BBC2),	A	Week	in	Politics	 (Channel	Four),	Powerhouse	(Channel	Four),	Analysis	(Radio	Four)	 and	election	night	results	programmes	on	television	and	radio.	He	 h a s	w r i t t e n,	o r	c o nt r i b u t e d	t o ,	a	v a r i e t y	o f	b o o k s	a n d	l e a fl e t s	a b o u t	
politics,	elections	and	public	affairs.	Peter	graduated	from	 Cambridge	with	a	BA.
	 www.yougov.com	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 15 16	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 www.yougov.com
The Directors present their report and the audited financial 
statements	for	the	year	ended	31	July	2007.
Principal activities
YouGov	carries	out	online	research	using	proprietary	software	 to	produce	accurate	market	research,	political	and	media	 opinion	polling	and	stakeholder	consultation.	The	use	of	 internet-based	research	enables	YouGov	to	produce	accurate	 research	using	larger	sample	sizes	while	keeping	costs	lower	 than	traditional	research	companies	that	use	telephone	and	 face-to-face	interview	techniques.
Financial summary
The financial summary is discussed in the Chief Financial 
Officer’s Report on page 12.
Future developments
Future developments are discussed in more detail in the 
Chairman’s Statement on page 3.
Post balance sheet events
Post	balance	sheet	events	are	discussed	in	more	detail	in	 	 note 25 on pages 46 and 47 and in the Chairman’s Statement 
on	page	3.
Directors
Directors	at	any	point	during	the	year	were:
Stephan Shakespeare
Nadhim	Zahawi
Katherine	Lee
Panos	Manolopoulos
Peter	Kellner
Peter	Bazalgette
Anthony Foye
Roger	Parry
All	Directors	served	throughout	the	year,	with	the	exception	of	 Roger	Parry,	who	was	appointed	on	12	January	2007.
Directors’ interests in shares
The interests of the Directors in the shares of the Company at 
31	July	2007	and	31	July	2006	were	as	follows:
	 	 	 31 July	 31 	 July	 	 2007	 2006*	 	 	 Number	 Number 	 	 	 of shares	 of 	 shares
Stephan Shakespeare
1
	 	 13,457,760	 13,457,760
Peter	 Kellner	 	 898,670	 1,148,670
Nadhim	 Zahawi
2
	 	 540,010	 540,010
Katherine	 Lee	 	 52,000	 52,000
Peter	 Bazalgette	 	 200,945	 168,335
Anthony Foye  140,065	 112,565
Panos	 Manolopoulos	 	 66,910	 –
Roger	 Parry	 	 25,000	 –
*	 Restated	to	take	account	of	10	April	2007	share	split.
1 Includes 5 Ordinary Shares held by Stephan’s wife, Rosamund.
2 Includes 540,000 Ordinary Shares held by Nadhim’s wife, Lana Saib.
Directors’ interests in share options
	 Number	 of	 	 	 Ordinary Shares Exercise Exercise	 Name	 under	 option	 period	 price
Peter	 Kellner	 	 Until	 	 1,898,735	 4 	 June	 2013	 10p
Panos	 Manolopoulos	 	 Until 	 31	 	 	 December	 	 566,910	 2014	 18p
Katherine	 Lee	 700,000	 Until	 	 	 31 	 October	 34p 	 and
	 	 2015	 29.5p
Total	 3,165,645	 	 Further detail is provided in the remuneration report on page 18.
No	Director	had,	during	or	at	the	end	of	the	year,	a	material	 interest in any contract which was significant in relation to the 
Company’s business.
Employee involvement 
The Company has continued its practice of keeping employees 
informed of matters affecting them as employees and the financial 
and economic factors affecting the performance of the Company. 
Applications	for	employment	by	disabled	persons	are	given	full	 and	fair	consideration	for	all	vacancies	in	accordance	with	their	 particular	aptitudes	and	abilities.	In	the	event	of	employees	 becoming	disabled,	every	effort	is	made	to	retrain	them	in	order	 that their employment with the Company may continue.
It is the policy of the Company that training, career development 
and	 promotion	 opportunities	 should	 be	 available	 to	 all	 employees.
Employee involvement and communication
Employees are encouraged to own shares in the Company, 	 and	4	employees	are	shareholders	and/or	hold	options	under	 the Company’s share option schemes. Information about the 
Company’s affairs is communicated to employees through 
regular	management	meetings,	our	newsletter,	intranet	and	 social	events.
Policy on supplier payments
The Company aims to pay all its suppliers within a reasonable 
period	 of	 their	 invoices	 being	 received	 and	 approved,	 provided	 that	 the	 supplier	 has	 performed	 in	 accordance	 with	 the	 relevant	 terms	 and	 conditions.	 At	 31	 July	 2007	 the	 number	 of	 days	 credit	 taken	 for	 purchases by the Company was 35 days (2006: 36 days).
Directors’
Report 	 www.yougov.com	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 17
Substantial shareholders 
At 31 July 2007 the following had notified the Company of 
disclosable	interests	in	3%	or	more	of	the	nominal	value	of	the	 Company’s shares:
Name   Shareholding %
Directors	 	 15,381,210	 22.81
Balshore	 Investments	 	 13,047,600	 19.35
Fidelity Investments  6,053,870 8.98
Brewin	 Dolphin	 	 3,059,667	 4.54
Baillie	 Gifford	 	 2,470,500	 3.66
Rathbones	 	 2,416,700	 3.58
Schroder Investment Management  2,200,000 3.26
Placing of shares 
On 3 September 2007, the shareholders approved the placing 
of	25,215,543	shares	of	0.2p	each	to	fund	the	acquisition	 	 of Polimetrix, psychonomics and Zapera. Following their 
admission to trading on 6 September 2007 the Company’s 
share	capital	is	92,638,113.
Key performance indicators
Key	performance	indicators	are	discussed	in	more	detail	on	 page	2.
Financial risks
The financial risks facing the Group are discussed in more 
detail	on	page	21.
Social responsibility
The Company recognises the importance of respecting and 
supporting	the	communities	in	which	it	operates	and,	thus,	 improving	the	positive	impact	of	business	in	society.
Ethical behaviour
YouGov	expects	its	employees	to	exercise	high	ethical	and	 moral standards at all times whilst representing the Company.
The environment
The Company recognises that the wise use of resources 
delivers both environmental and financial benefits. As part of 
our overall approach to Corporate Responsibility we aim to 
promote	the	maintenance	of	a	healthy	environment	through	 responsible	and	sustainable	consumption	and	production.	 Our operations are predominately office based, and here we try to 
minimise	 our	 impacts	 where	 practicable.	 As	 part	 of	 this	 policy	 we:
ensure	that	all	waste	is	stored	and	disposed	of	responsibly,	 and	recycle	where	possible;
ensure	that	paper	used	comes	from	reputable	managed	 forests;	and
comply, where required, with the Packaging (Essential 
Requirements) Regulations and the Packaging Waste 
Regulations.
•
•
•
Health and safety
The Company takes all reasonable and practicable steps to 
safeguard	the	health,	safety	and	welfare	of	its	employees	and	 recognises	its	responsibilities	for	the	health	and	safety	of	others	 who	may	be	affected	by	its	activities.
Diversity in the workplace
The Company is committed to providing a working environment 
in	which	its	employees	are	able	to	realise	their	potential	and	to	 contribute	to	business	success	irrespective	of	gender,	marital	 status,	ethnic	origin,	nationality,	religion,	disability,	sexual	 orientation	or	age.
Charitable and political contributions 
Donations to charitable organisations amounted to £nil (2006: £5).
Donations to political organisations amounted to £nil (2006: £nil). 
Insurance of Company officers
The Company has maintained insurance throughout the year for 
its Directors and officers against the consequences of actions 
brought against them in relation to their duties for the Company.
Going concern
Having	made	enquiries,	the	Directors	have	a	reasonable	 expectation that the Company has sufficient resources to 
continue	in	operational	existence	for	the	foreseeable	future.	 	 For this reason, they continue to adopt the going concern basis 
in	preparing	the	accounts.
Auditors
Grant	Thornton	UK	LLP	were	appointed	auditors	on	30	March	 2005 in accordance with section 388(1) of the Companies Act 
1985. Special notice pursuant to section 388(3) having been 
given,	a	resolution	to	reappoint	Grant	Thornton	UK	LLP	as	 auditors	will	be	proposed	at	the	Annual	General	Meeting	to	be	 held	on	7	December	2007.
Annual General Meeting 
The Annual General Meeting of the Company will be held 	 on 7 December 2007 at 50 Featherstone Street, London 	 EC1Y 8RT. 
Katherine Lee
Chief Financial Officer and Company Secretary
On	behalf	of	the	Board
8	October	2007 18	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 www.yougov.com
The Remuneration Committee comprised at 8 October 2007 	 the two Non-Executive Directors, Peter Bazalgette and 	 Anthony Foye.
Remuneration Report
A	resolution	will	be	put	to	the	shareholders	at	the	Annual	 General	Meeting	to	be	held	on	7	December	2007	inviting	 	 them	to	consider	and	approve	this	report.
Compliance
The constitution and operation of the Committee is in 
compliance	with	the	principles	and	best	practice	provisions	 	 as set out in the Combined Code, and full consideration was 
given	to	these	in	determining	the	remuneration	packages	 	 for the Executive Directors for 2007/08.
This is not a Remuneration Report as defined by Company law.
Policy on remuneration of Executive Directors
The Remuneration Committee reviews the performance of 
Executive Directors and sets the scale and structure of their 
remuneration	 and	 the	 basis	 of	 their	 service	 agreements	 with	 	 due	 regard	 to	 the	 interests	 of	 shareholders.	 In	 determining	 that	 remuneration the Remuneration Committee seeks to offer a 
competitive	 remuneration	 structure	 to	 maintain	 the	 high	 calibre	 of	 its executive board. The Committee believes that maintaining the 
Company’s business growth and profit record requires an overall 
compensation	 policy	 with	 a	 strong	 performance-related	 element.
The main components of the Executive Directors’ 	 remuneration	 are:
1. Basic salary
	 Basic	salary	for	each	Director	is	determined	by	the	 Remuneration Committee taking into account the 
performance	of	the	individual	and	external	market	data.	 	 The Committee’s policy is to review salaries annually.
2. Share options
 The Company believes that share ownership by non-
business	owner	executive	Directors	strengthens	the	link	 between	their	personal	interests	and	those	of	the	 shareholders	in	respect	of	shareholder	value.	 Directors’ service contracts
On 18 April 2005 the Company entered into a service 
agreement	with	Peter	Kellner.	The	contract	provides	for	Peter	to	 act as the President of the Company, working four days a week 
at a salary of £138,000 per annum. The contract has no fixed 
term and is terminable by 12 months’ notice in writing by either 
party.	Under	the	contract,	Peter	is	entitled	to	25	paid	working	 days	holiday	each	year.	He	is	subject	to	non-competition	 covenants	for	a	period	of	6	months	and	non-solicitation	 covenants	for	a	period	of	12	months	following	termination	 	 of his employment with the Company and to a confidentiality 
undertaking	that	is	without	limit	in	time.
On 18 April 2005 the Company entered into a service 
agreement	with	Nadhim	Zahawi	on	terms	identical	to	those	of	 Peter	Kellner	set	out	in	the	paragraph	above	save	that	Nadhim	 was appointed as the Chief Executive Officer of the Company 
working	5	days	a	week	on	a	salary	of	£138,000.
On 18 April 2005 the Company entered into a service 
agreement with Stephan Shakespeare on terms identical to 
those of Peter Kellner save that Stephan was appointed as the 
Chief Innovations Officer of the Company working 5 days a 
week	on	a	salary	of	£138,000.
On 18 April 2005 the Company entered into a service agreement 
with	 Panos	 Manolopoulos	 on	 terms	 identical	 to	 those	 of	 Peter	 Kellner	 save	 that	 Panos	 was	 appointed	 as	 the	 Managing	 Director	 International Business Development of the Company working 5 
days	 a	 week	 on	 a	 salary	 of	 £109,000	 and	 the	 contract	 is	 terminable	 by 6 months’ notice in writing by either party.
On 25 July 2005 the Company entered into a service 
agreement	with	Katherine	Lee	on	terms	identical	to	those	of	 Peter Kellner save that Katherine was appointed as the Chief 
Financial Officer of the Company working 5 days a week on a 
salary of £95,000 and the contract is terminable by 12 months’ 
notice	in	writing	by	either	party.
Peter Bazalgette is engaged by the Company as a Non-
Executive Director on the terms of a letter of appointment dated 
2 March 2005 for an initial fixed term of 3 years and terminable 
on 30 days’ notice from either party. Peter receives a fee of 
£23,000	per	annum.
Anthony Foye is engaged by the Company as a Non-Executive 
Director	on	the	terms	of	a	letter	of	appointment	dated	1	March	 2005 for an initial fixed term of 3 years and terminable on 	 30 days’ notice from either party. Anthony receives a fee of 
£23,000	per	annum.
On 12 January 2007 the Company announced the appointment 
of Roger Parry as Non-Executive Chairman. Roger receives 	 a	fee	of	£50,000	and	a	bonus	of	£25,000	at	the	discretion	of	 	 the	Board.	 Save as set out above, there are no existing or proposed 
service	contracts	between	any	of	the	Directors	and	the	 Company or any member of the Company.
The total aggregate remuneration (including benefits in kind and 
pension contributions) paid to the Directors by all members of 
the Company for the year ending 31 July 2007 amounted to 
£1,269,000 (2006: £741,000).
No	Director	has	or	has	had	any	interest	in	any	transaction	which	 is	or	was	unusual	in	its	nature	or	conditions	or	which	is	or	was	 significant in relation to the business of the Company and 	 which was effected by the Company either: (i) during the 	 current or immediately preceding financial year; or (ii) during 
any earlier financial year and which remains in any aspect 
outstanding	or	unperformed.
Policy on remuneration of Non-Executive Directors
The remuneration of the Non-Executive Directors is set by the 
Board	as	a	whole.
Remuneration
Report 	 www.yougov.com	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 19
Directors’ emoluments 
Directors’ emoluments including benefits in kind and pension 
contributions paid by the Company during the financial year are 
disclosed	below:
	 	 2007	 2006	 	 	 £’000 £’000
Emoluments  1,269	 741
	 	 1,269	 741
Peter Kellner, the President of the Company has share options 
on 1,898,735 Ordinary Shares at an exercise price of £0.10 per 
share.	These	options	were	granted	in	2003	with	a	10	year	 period	and	can	be	exercised	at	any	time	within	that	period.	 Panos	 Manolopoulos,	 the	 Managing	 Director	 International	 Business	 Development,	 at	 the	 start	 of	 the	 period	 had	 share	 options	 over 1,133,820 Ordinary Shares at an exercise price of £0.18 per 
share.	 The	 options	 became	 exercisable	 in	 4	 equal	 tranches	 of	 283,455 Ordinary Shares. On 19 January 2007 and 10 April 2007 
the Company approved the exercise of the first two tranches. 
These	 shares	 commenced	 trading	 on	 25	 January	 2007	 and	 	 16	 April	 2007	 respectively.	 On	 19	 April	 2007	 Panos	 sold	 500,000	 shares at £1.80. Following this sale Panos owns 66,910 shares. 
Panos	 retains	 options	 for	 the	 third	 and	 fourth	 tranches	 of	 283,455	 shares	 exercisable	 on	 31	 October	 2006	 and	 31	 October	 2007	 respectively.
Katherine Lee, the Chief Financial Officer of the Company, has 
share options over 700,000 Ordinary Shares at an exercise 
price	of	£0.341	and	£0.295	per	share.	The	options	became	 exercisable	on	31	October	2005	and	31	October	2006.	The	 other	2	tranches	become	exercisable	on	31	October	2007	 	 and	31	October	2008.
The	amounts	set	out	above	include	remuneration	in	respect	of	 the	highest	paid	Director	as	follows:
	 	 2007	 2006	 	 	 £’000 £’000
Emoluments  276	 175
	 	 20	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 www.yougov.com
The Board
At 31 July 2007 the Board consisted of 5 Executive Directors 
and 3 Non-Executive Directors, including a senior Non-
Executive Director. The names of the Directors and their 
respective	responsibilities	are	shown	on	pages	14	and	15.
The	Board	operates	both	formally,	through	Board	and	 Committee meetings, and informally, through regular contact 
amongst	Directors.	High	level	decisions	on	such	matters	as	 strategy, financial performance and reporting, dividends, risk 
management,	major	capital	expenditure,	acquisitions	and	 disposals are reserved for the Board or Board Committees. 	 For its regular formal meetings, the Board receives appropriate 
information	in	advance	from	management.
The	 Directors	 can	 obtain	 independent	 professional	 advice	 at	 the	 Company’s own expense in performance of their duties as Directors.
The	Board	formally	approves	the	appointment	of	all	new	 Directors.	All	Directors	are	required	to	submit	themselves	for	 	 re-election at the first Annual General Meeting following their 
appointment	and	subsequent	to	this	at	the	Annual	General	 Meeting	on	a	rotational	basis,	which	ensures	that	each	Director	 is	submitted	for	re-election	approximately	every	3	years.	 Proposals to re-elect Directors are set out in the Directors’ 
Report	on	pages	16	and	17,	and	in	the	Notice	of	Annual	 	 General	Meeting	on	page	48.
Board Committees
Remuneration Committee – The Remuneration Committee 
was established at the time of flotation. The composition of the 
Remuneration Committee is shown below and the statement 	 of the remuneration policy developed by the Committee and 
details of each Director’s remuneration are given within the 
Directors’ Remuneration Report set out on pages 18 and 19.
Audit Committee – The composition of the Audit Committee 	 is shown below. The Audit Committee operates under terms 	 of	reference	agreed	by	the	whole	Board	and	meets	with	the	 auditors to consider the Company’s financial reporting in 
advance	of	its	publication.
Board and committee attendance
The	following	table	sets	out	the	attendance	of	Directors	at	 Board	and	committee	meetings	during	2006/07.
	 Board	 Remuneration	 Audit	 meetings Committee Committee	 	 maximum	 11	 meetings	 meetings 	 Director (incl 3 by phone) maximum 2 maximum 3
Stephan Shakespeare 10 1 –
Nadhim	 Zahawi	 11	 –	 –
Katherine	 Lee	 11	 2	 3
Panos	 Manolopoulos	 10	 1	 –
Peter	 Kellner	 9	 1	 –
Peter	 Bazalgette	 10	 2	 3
Anthony Foye 8 2 3
Roger	 Parry	 7	 –	 –
Shareholder communications
The Board’s assessment of the Company’s position and 
prospects are set out in the Chairman’s Statement on page 3 
and the Chief Financial Officer’s Report on pages 12 and 13.
The Executive Directors meet regularly with institutional 
shareholders to discuss the Company’s performance and 	 future	prospects.	At	these	meetings	the	views	of	institutional	 shareholders	are	canvassed	and	subsequently	reported	back	 	 to	the	Board.	The	Annual	General	Meeting	is	used	as	a	forum	 for	communication	with	private	shareholders.
Compliance with the Combined Code
The	Board	considers	that	the	Group	continues	to	work	hard	 towards compliance with the Combined Code. Full compliance 
has not yet been achieved and the Board and Audit Committee 
monitor the Company’s compliance on a regular basis. YouGov 
does not need to comply with the Combined Code due to 	 being	listed	on	the	AIM	Index.	The	Directors	have	completed	 	 a	detailed	review	of	the	effectiveness	of	the	systems	of	internal	 control, including financial, operational, compliance and risk 
management.	This	assessment	has	resulted	in	a	detailed	action	 plan, which is substantially implemented. We continue to work 
towards	full	compliance.
Audit Committee
The Audit Committee comprises the 2 Non-Executive Directors, 
Anthony Foye (its Chairman) and Peter Bazalgette. All members 
of the Committee have relevant financial experience due to the 
senior	positions	they	hold	or	have	held	in	the	past.
The Audit Committee reports to the Board on any matters in 
respect	of	which	it	considers	that	action	or	improvement	is	 needed,	and	makes	recommendations	as	to	the	steps	to	be	 taken. In particular the Committee is responsible for:
ensuring that the financial performance of the Group is 
properly	monitored	and	reported;
monitoring the formal announcements relating to financial 
performance;
meeting	the	auditors	and	agreeing	audit	strategy;
reviewing	reports	from	the	auditors	and	management	relating	 to	accounts	and	internal	control	systems;	and
making	recommendations	to	the	Board	in	respect	of	external	 auditor	appointment	and	remuneration.
The	 effectiveness	 of	 the	 internal	 control	 systems	 is	 under	 constant	 review	 and	 a	 formal	 assessment	 of	 internal	 controls	 has	 commenced.	 The	 audit	 committee	 will	 monitor	 the	 implementation	 of	 a	 series	 of	 detailed	 steps	 to	 improve	 the	 control	 environment.	 Although	 there	 was	 no	 formal	 internal	 audit	 during	 the	 year,	 the	 accounting	 functions	 were	 subject	 to	 periodic	 internal	 review.	 As	 the business continues to grow we keep the Group’s need for an 
internal	 audit	 function	 under	 constant	 review.
Key controls and procedures
The	Board	maintains	full	control	and	direction	over	appropriate	 strategic, financial, organisational and compliance issues, and 
has put in place an organisational structure with defined lines of 
responsibility	and	delegation	of	authority.
The	 annual	 budget	 and	 forecasts	 are	 reviewed	 by	 the	 Board	 prior	 to approval being given. This includes the identification and 
assessment	 of	 the	 business	 risks	 inherent	 in	 the	 Group	 and	 the	 media sector as a whole along with associated financial risks.
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Corporate Governance
Report 	 www.yougov.com	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 21
The system of internal financial control is designed to provide 
reasonable,	but	not	absolute,	assurance	against	material	 	 misstatement	or	loss.	The	key	procedures	include:
detailed	budgeting	programme	with	an	annual	budget	 approved	by	the	Board;
regular	review	by	the	Board	of	actual	results	compared	with	 budget	and	forecasts;
regular	reviews	by	the	Board	of	year	end	forecasts;
establishment	 of	 procedures	 for	 acquisitions,	 capital	 expenditure	 and	 expenditure	 incurred	 in	 the	 ordinary	 course	 of	 business;
detailed	budgeting	and	monitoring	of	costs	incurred	on	the	 development	of	new	products;
reporting	to,	and	review	by,	the	Board	of	changes	in	 legislation	and	practices	within	the	sector	and	accounting	 and legal developments pertinent to the Company; and
appointing experienced and suitably qualified staff to take 
responsibility	for	key	business	functions	to	ensure	 maintenance	of	high	standards	of	performance.
Auditor independence
The Audit Committee also undertakes a formal assessment of 
the auditors’ independence each year which includes:
confirmation of the auditors’ objectivity and independence in 
the provision of non-audit services to the Company by the use 
of	 separate	 teams	 to	 provide	 such	 services	 where	 appropriate;
discussion	 with	 the	 auditors	 of	 a	 written	 report	 detailing	 relationships with the Company and any other parties that 
could	 affect	 independence	 or	 the	 perception	 of	 independence;
a review of the auditors’ own procedures for ensuring 
independence of the audit firm and partners and staff involved in 
the	 audit,	 including	 the	 regular	 rotation	 of	 the	 audit	 partner;	 and
obtaining written confirmation from the auditors that, in their 
professional	judgement,	they	are	independent.
Any analysis of the fees payable to the external audit firm in 
respect	of	both	audit	and	non-audit	services	during	the	year	 	 is	set	out	in	Note	1	to	the	accounts.
Risk management
The	Board	reviews	risks	facing	the	business	on	a	regular	 	 basis.	The	following	paragraphs	demonstrate	the	key	areas	 	 of identified risk. 
Early stage of development – Although the Company has 
grown	substantially	since	it	was	formed	7	years	ago,	it	remains	 a	relatively	small	company	in	an	early	stage	of	development.	 The Company faces competition from both large established 
international	companies	as	well	as	small	local	businesses	 operating	in	the	same	sector.
Middle East – We now undertake business in the Middle East 
region. This exposes the Group to currency risk, inflationary risk 
and	political	instability	risk.	In	addition,	we	have	a	concentration	 of revenue in a small number of high value contracts. We 
manage	those	risks	by	investing	in	the	local	currency	of	Dubai	 and by having influential local partners. We keep abreast of the 
local	political	situation.
Projected growth – The Company’s plans incorporate 
substantial	growth	in	the	coming	years.	This	growth	will	be	 	 in	part	dependent	on	the	marketing	and	research	budgets	 	 of	target	clients	over	which	YouGov	has	little	control.	 •
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Competition	 –	 YouGov	 has	 developed	 an	 internet	 based	 research	 strategy	 which	 other	 large	 and	 established	 research	 organisations	 are also beginning to adopt. Some of these more established 
research	 organisations	 have	 well	 developed	 brands	 and	 substantial	 resources	 and	 may	 be	 able	 to	 use	 these	 to	 compete	 very	 effectively	 in	 developing	 online	 panels	 and	 competing	 software.
Staff – The success of YouGov will be influenced by the 
recruitment and retention of high calibre staff. Senior staff 	 that	manage	key	client	relationships	and	those	with	software	 expertise	are	particularly	important	to	the	continuing	 development and smooth running of the Company. To mitigate 
this	risk,	YouGov	is	building	account	and	project	management	 teams	for	key	clients	and	larger	research	projects.	In	this	way	 the	client	relationship	and	project	related	knowledge	are	shared	 among	a	number	of	individuals	rather	than	concentrated	with	 	 1	person.
Internationalisation	 –	 YouGov	 now	 has	 wide	 geographical	 spread. Monitoring and reporting these businesses’ performance 
relies	 upon	 the	 operation	 of	 key	 controls.	 There	 is	 a	 risk	 that	 these	 controls	 may	 not	 operate	 effectively	 in	 each	 jurisdiction.
Acquisitions	 –	 The	 Directors	 plan	 to	 expand	 and	 develop	 	 the	 business	 through	 a	 strategy	 of	 targeted	 acquisitions.	 The	 	 risk	 exists	 that	 integration	 of	 any	 acquired	 business	 will	 be	 unsuccessful	 or	 that	 key	 employees	 or	 clients	 of	 the	 acquired	 business	 will	 be	 lost.	 Directors	 will	 attempt	 to	 mitigate	 this	 risk	 by	 careful	 due	 diligence	 and	 communication	 with	 the	 clients	 of	 target	 companies. The Directors will also seek to communicate YouGov’s 
strategy	 to	 staff	 and	 ensure	 that	 levels	 of	 remuneration	 and	 benefits are appropriate to retain key employees.
The Company may be unable to agree suitable terms with the 
shareholders	of	a	target	company	and	be	forced	to	abandon	an	 attempted	takeover.	This	may	happen	after	management	have	 invested significant amounts of time and effort as well as 
accruing advisers’ fees.
Integration risk – We have invested in 3 new businesses 
during the 2006/07 financial year. There is a risk that our 
integration plans fail or are delayed. We have mitigated this risk 
through	the	appointment	of	a	specialist	integration	manager.
Technology and risk	 –	 A	 strong	 software	 platform	 is	 essential	 for	 carrying	 out	 online	 research.	 This	 software	 must	 be	 reviewed	 and	 updated	 on	 a	 regular	 basis	 to	 ensure	 that	 it	 does	 not	 become	 superseded	 by	 newer	 technologies	 in	 other	 companies.	 YouGov	 has	 sought	 to	 remain	 competitive	 in	 this	 area	 by	 recruiting	 an	 experienced	 team	 of	 software	 specialists	 with	 responsibility	 for	 developing the proprietary software systems. Employees in this 
area must provide 3 months’ notice on departure and YouGov 
has developed a succession planning document with sufficient 
detail	 on	 the	 structure	 of	 proprietary	 software	 applications	 and	 the	 IT	 infrastructure	 to	 assist	 in	 an	 orderly	 transition	 period	 in	 the	 event	 of	 staff	 leaving.	 A	 disaster	 recovery	 plan	 is	 in	 place	 and	 is	 reviewed by the Audit Committee annually.
Chairman’s commitments – Our Chairman is engaged as 
Executive Chairman for Media Square plc. This consumes 	 a substantial amount of Roger Parry’s time, but this time 
commitment does not interfere with Roger’s ability to be 	 Non-Executive Chairman for YouGov plc. 22	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 www.yougov.com
The	Directors	are	responsible	for	preparing	the	annual	report	 and the financial statements in accordance with applicable law 
and regulations. Company law requires the Directors to prepare 
financial statements for each financial year. Under that law 	 the Directors have elected to prepare financial statements 	 in accordance with United Kingdom Accounting Standards 
(United Kingdom Generally Accepted Accounting Practice). 	 The financial statements are required by law to give a true 	 and fair view of the state of affairs of the Company and the 
Group as at the end of the financial period and of the profit 	 or	loss	of	the	Group	for	that	period.
In preparing those financial statements, the Directors are 
required	to	select	suitable	accounting	policies	and	then	apply	 them	consistently:
make	judgements	and	estimates	that	are	reasonable	and	 prudent;	and
state	whether	applicable	accounting	standards	have	been	 followed,	subject	to	any	material	departure	disclosed	and	 explained in the financial statements prepare the financial 
statements	on	the	going	concern	basis,	unless	it	is	 inappropriate	to	presume	that	the	Group	will	continue	 	 in	business.
The	Directors	are	responsible	for	keeping	proper	accounting	 records	which	disclose	with	reasonable	accuracy	at	any	time	 the financial position of the Company and the Group and to 
enable them to ensure that the financial statements comply 	 with the Companies Act 1985. They are also responsible for 
safeguarding the assets of the Company and the Group and 
hence	for	taking	reasonable	steps	for	the	prevention	and	 detection	of	fraud	and	other	irregularities.
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Statement of 
Directors’ Responsibilities
The	Directors	are	responsible	for	the	maintenance	and	integrity	 of the corporate and financial information included on the 
Company’s website. Legislation in the United Kingdom 
governing the preparation and dissemination of financial 
statements	may	differ	from	legislation	in	other	jurisdictions.
In	so	far	as	the	Directors	are	aware:	there	is	no	relevant	audit	 information of which the Company’s auditors are unaware; and 
the	Directors	have	taken	all	steps	that	they	ought	to	have	taken	 to	make	themselves	aware	of	any	relevant	audit	information	and	 to	establish	that	the	auditors	are	aware	of	that	information.
On	behalf	of	the	Board
Katherine Lee
Chief Financial Officer 
and Company Secretary
8	October	2007 	 www.yougov.com	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 23
We have audited the Group and parent company financial 
statements (the ‘financial statements’) of YouGov plc for 	 the	year	ended	31	July	2007	which	comprise	the	principal	 accounting policies, the Group Consolidated Profit and Loss 
Account, the Consolidated Statement of Total Recognised 
Gains and Losses, the Group Consolidated and Company 
Balance Sheets, the Group Consolidated Cash Flow Statement, 
and notes 1 to 26. These financial statements have been 
prepared	under	the	accounting	policies	set	out	therein.
This report is made solely to the Company’s members, as a 
body, in accordance with Section 235 of the Companies Act 
1985.	Our	audit	work	has	been	undertaken	so	that	we	might	 state to the Company’s members those matters we are required 
to state to them in an auditor’s report and for no other purpose. 
To	the	fullest	extent	permitted	by	law,	we	do	not	accept	or	 assume responsibility to anyone other than the Company and 
the Company’s members as a body, for our audit work, for this 
report,	or	for	the	opinions	we	have	formed.
Respective responsibilities of Directors and auditors
The Directors’ responsibilities for preparing the Annual Report, 
the Directors’ Remuneration Report and the financial statements 
in	 accordance	 with	 United	 Kingdom	 law	 and	 Accounting	 Standards (United Kingdom Generally Accepted Accounting 
Practice) are set out in the Statement of Directors’ Responsibilities. 
Our responsibility is to audit the financial statements in accordance 
with	 relevant	 legal	 and	 regulatory	 requirements	 and	 International	 Standards on Auditing (UK and Ireland).
We report to you our opinion as to whether the financial 
statements	 give	 a	 true	 and	 fair	 view	 and	 whether	 they	 have	 been	 properly prepared in accordance with the Companies Act 1985.
We also report to you whether in our opinion the information 
given in the Directors’ Report is consistent with the financial 
statements. The information given in the Directors’ Report 
includes that specific information presented in: the Chief 
Financial Officer’s Report that is cross referred from the 
financial summary section; the Chairman’s Report that is cross 
referred	from	the	future	developments	and	the	post	balance	 sheet	events	sections;	the	key	performance	indicators	that	is	 cross	referred	from	the	key	performance	indicators	section;	and	 the Corporate Governance Report that is cross referred from 
the financial risks section of the Directors’ Report.
In addition we report to you if, in our opinion, the Company has 
not	kept	proper	accounting	records,	if	we	have	not	received	all	 the	information	and	explanations	we	require	for	our	audit,	or	if	 information specified by law regarding Directors’ remuneration 
and	other	transactions	is	not	disclosed.
We read other information contained in the Annual Report and 
consider whether it is consistent with the audited financial 
statements. The other information comprises only the Directors’ 
Report, the Chairman’s Statement, the Chief Executive’s Report, 
the	 key	 performance	 indicators,	 the	 Questions	 and	 Answers,	 the	 Chief Financial Officer’s Report, the Remuneration Report and the 
Corporate Governance Report. We consider the implications for 
our	 report	 if	 we	 become	 aware	 of	 any	 apparent	 misstatements	 	 or material inconsistencies with the financial statements. Our 
responsibilities	 do	 not	 extend	 to	 any	 other	 information.
Report of the Independent Auditors 
to the Members of YouGov plc
Basis of audit opinion
We conducted our audit in accordance with International 
Standards on Auditing (UK and Ireland) issued by the Auditing 
Practices	Board.	An	audit	includes	examination,	on	a	test	basis,	 of	evidence	relevant	to	the	amounts	and	disclosures	in	the	 financial statements. It also includes an assessment of the 
significant estimates and judgements made by the Directors in 
the preparation of the Group’s and parent company financial 
statements,	and	of	whether	the	accounting	policies	are	 appropriate to the Group’s and Company’s circumstances, 
consistently	applied	and	adequately	disclosed.
We planned and performed our audit so as to obtain all 	 the	information	and	explanations	which	we	considered	 necessary in order to provide us with sufficient evidence 	 to give reasonable assurance that the financial statements 	 are	free	from	material	misstatement,	whether	caused	by	 	 fraud	or	other	irregularity	or	error.	In	forming	our	opinion	 	 we	also	evaluated	the	overall	adequacy	of	the	presentation	 	 of information in the financial statements.
Opinion
In	our	opinion:
the financial statements give a true and fair view, in 
accordance	with	United	Kingdom	Generally	Accepted	 Accounting Practice, of the state of the Group’s and 
Company’s affairs as at 31 July 2007 and of the Group’s 
profit for the year then ended;
the financial statements have been properly prepared in 
accordance with the Companies Act 1985; and
the information given in the Directors’ Report is consistent 
with the financial statements.
Grant Thornton UK LLP
Registered Auditors
Chartered Accountants
London
8	October	2007
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• 24	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 www.yougov.com
Basis of preparation
The financial information has been prepared in accordance with 
applicable	United	Kingdom	accounting	standards	and	under	the	 historical	cost	convention.
The	principal	accounting	policies	of	the	Group	have	been	 applied	consistently	in	dealing	with	items	which	are	considered	 material in relation to the Group’s financial information. 
The	principal	accounting	policies	of	the	Group	have	remained	 unchanged except for the adoption of Financial Reporting 
Standard 20 ‘share-based payments’. 
The impact of the change in accounting policy relating to FRS 
20 has been reflected in the profit and loss account and did not 
give	rise	to	a	material	charge.	A	prior	year	adjustment	has	not	 been	made	as	the	adjustment	was	not	material.	The	change	in	 policy did not result in any change in shareholders’ equity.
The	impact	of	the	revision	of	an	accounting	estimate	under	 	 FRS 10 is disclosed under the heading ‘goodwill and intangible 
fixed assets’.
Consolidation policy
The	Group	reports	its	interests	using	the	acquisition	method	of	 consolidation	and	combines	all	of	the	assets,	liabilities,	income	 and	expense	with	the	equivalent	items	in	the	consolidated	 financial statements on a line-by-line basis.
The	minority	interests	in	the	net	assets	of	the	consolidated	 subsidiary are identified separately from the Group’s equity 	 and	consist	of	the	amount	of	those	interests	at	the	date	of	the	 original	business	combination	plus	their	share	of	changes	in	 equity	since	that	date.
A	joint	venture	is	a	contractual	arrangement	whereby	the	Group	 and	other	parties	undertake	an	economic	activity	that	is	subject	 to	joint	control	whereby	the	strategic	and	operating	policy	 decisions	require	the	unanimous	consent	of	the	parties	sharing	 control.	The	arrangements	the	Group	has	entered	into	involve	 the	establishment	of	a	separate	entity	in	which	each	venturer	 has	an	interest.	The	Group	reports	its	interest	using	the	gross	 equity	method.
Investments	in	associated	undertakings	are	carried	in	the	 consolidated balance sheet at the Group’s share of their net 
assets	at	the	date	of	acquisition	and	of	their	post-acquisition	 retained profits or losses together with any goodwill arising on 
the acquisition, net of amortisation. The investors’ share of the 
results is included within the consolidated profit and loss.
Turnover
Turnover	is	the	total	amount	receivable	by	the	Group	for	 services	provided,	excluding	VAT	and	trade	discounts.	Revenue	 is recognised on the date on which the delivery of findings is 
presented	to	a	customer.	 Where a contract extends over an accounting period, revenue is 
recognised	 on	 a	 proportion	 of	 completion	 basis.	 Amounts	 invoiced	 in	advance	are	recorded	as	deferred	revenue	and	are	released	 to	revenue	upon	the	stage	of	completion	of	the	contract.
BrandIndex	contracts	are	for	a	period	of	12	months.	Revenue	 	 is	recognised	in	equal	instalments	over	the	contract.	 Polling fees
The Company invites Polling Club members to fill out polls for 	 a	cash	incentive.	Although	these	amounts	are	not	paid	until	 	 a predetermined target value has accrued on a Polling Club 
member’s account, an assessment of incentives likely to be 
paid	is	made	and	is	recognised	as	a	cost	of	sale	in	the	period	 	 in	which	the	service	is	provided.	 Investments
Investments	are	included	at	cost	less	amounts	written	off.	 	 The	carrying	value	is	considered	annually	by	the	Directors	 	 in	comparison	against	the	potential	net	realisable	value.
Tangible fixed assets and depreciation
Tangible fixed assets are stated at cost, net of depreciation and 
any	provision	for	impairment.
Depreciation	is	calculated	to	write	down	the	cost	less	estimated	 residual value of all tangible fixed assets by annual instalments 
over	their	estimated	useful	economic	lives.	The	rates	generally	 applicable	are:
Leasehold	 property	 and	 improvements	 on	 a	 	 straight-line 	 basis	 over	 the	 life	 of	 the	 lease	 	 10%
Fixtures and fittings on a reducing balance basis  25%
Computer software and hardware on a straight-line 	 	 basis	 	 	 10%–33%
Motor	 vehicles	 on	 a	 straight-line	 basis	 	 25%
Costs that are directly attributable to the development of new 
business	 application	 software	 and	 which	 are	 incurred	 during	 the	 period	 prior	 to	 the	 date	 the	 software	 is	 placed	 into	 operational	 use are capitalised as software development costs. External 
costs	 and	 internal	 costs	 are	 capitalised	 to	 the	 extent	 they	 generate future economic benefit for the business, whilst internal 
costs	 are	 only	 capitalised	 if	 they	 are	 incremental	 to	 the	 Group.	 Once	 the	 new	 business	 application	 software	 is	 operational,	 these	 costs	 are	 transferred	 to	 computer	 software	 and	 hardware	 costs	 and	 depreciated	 at	 the	 rate	 set	 out	 in	 the	 above	 table.
Leased assets – operating leases
Operating leases are charged to the profit and loss account on 
a	straight-line	basis	over	the	lease	term.
Leased assets – finance leases
Tangible fixed assets acquired under finance leases and hire 
purchase	 contracts	 are	 capitalised	 at	 the	 estimated	 fair	 value	 at	 the	 inception of the lease or contract. The total finance charges are 
allocated	 over	 the	 period	 of	 the	 lease	 or	 contract	 in	 such	 a	 way	 as	 to	 give	 a	 constant	 periodic	 charge	 on	 the	 outstanding	 liability.
Principal Accounting
Policies 	 www.yougov.com	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 25
Deferred taxation
Deferred	tax	is	recognised	on	all	timing	differences	where	the	 transactions or events that give the Company an obligation to 
pay	more	tax	in	the	future,	or	a	right	to	pay	less	tax	in	the	future,	 have	occurred	by	the	balance	sheet	date.	Deferred	tax	assets	 are	recognised	when	it	is	more	likely	than	not	that	they	will	be	 recovered.	Deferred	tax	is	measured	using	rates	of	tax	that	 have	been	enacted	or	substantively	enacted	by	the	balance	 sheet	date.	The	deferred	tax	provision	is	held	at	its	current	 value	and	not	discounted.
Retirement benefits
The Company did not operate a pension scheme during the period.
Foreign currencies
Transactions	 in	 foreign	 currencies	 are	 translated	 at	 the	 exchange	 rate	 ruling	 at	 the	 date	 of	 the	 transaction.	 Monetary	 assets	 and	 liabilities	 in	 foreign	 currencies	 are	 translated	 at	 the	 rates	 of	 exchange ruling at the balance sheet date. The financial 
statements	 of	 foreign	 subsidiaries	 are	 translated	 at	 the	 rate	 	 of	 exchange	 ruling	 at	 the	 balance	 sheet	 date.	 The	 exchange	 differences	 arising	 from	 the	 retranslation	 of	 the	 opening	 net	 investment in subsidiaries are taken directly to reserves. Where 
exchange	 differences	 result	 from	 the	 translation	 of	 foreign	 currency	 borrowings	 raised	 to	 acquire	 foreign	 assets	 they	 are	 taken	 to	 reserves	 and	 offset	 against	 the	 differences	 arising	 from	 the	 translation	 of	 those	 assets.	 All	 other	 exchange	 differences	 are dealt with through the profit and loss account.
Research and development
Research expenditure is charged to profits in the period in 
which it is incurred. Development costs incurred on specific 
projects	are	recognised	to	the	extent	that	they	comply	with	 	 the requirements of SSAP 13 i.e. when recoverability can 	 be	assessed	with	reasonable	certainty	and	amortised	in	line	 with	the	expected	sales	arising	from	the	projects.	All	other	 development	costs	are	written	off	in	the	year	of	expenditure.
Goodwill and intangible fixed assets
Goodwill	arising	on	consolidation	represents	the	excess	of	 	 the	fair	value	of	the	consideration	given	over	the	fair	values	 	 of the identifiable net assets acquired.
The	cost	of	acquisitions	comprises	the	fair	value	of	the	 	 initial	consideration,	deferred	consideration	paid	or	accrued	 	 and	professional	and	other	costs	directly	associated	with	 	 the	acquisition.	 Amortisation	of	goodwill	occurs	over	the	period	in	which	the	 investment	will	generate	value.	This	estimate	has	been	revised	 by	 the	 Board	 from	 5	 to	 20	 years	 on	 review	 of	 the	 useful	 economic	 life over which YouGov plc expects to derive economic benefits 
from	the	asset.	The	change	in	accounting	estimate	has	been	 reflected in the profit and loss account. The change in the current 
year	is	a	reduction	in	goodwill	of	£168,000	from	£224,000	to	 £56,000,	for	the	investment	in	our	subsidiary	and	a	reduction	 	 in	goodwill	of	£227,000,	from	£303,000	to	£76,000,	for	the	 investment	in	our	associate.
Panel acquisition costs reflect the direct cost of recruiting new 
panel	 members.	 A	 formula	 based	 on	 panel	 churn	 for	 the	 preceding	 12	 months	 determines	 the	 element	 which	 is	 enhancement	 and	 	 that	 which	 is	 maintenance.	 Only	 enhancement	 is	 capitalised	 at	 cost	 to	 the	 Group	 less	 accumulated	 amortisation.	 Amortisation	 is	 charged	 so	 as	 to	 write	 off	 the	 panel	 acquisition	 costs	 over	 5	 years,	 this being the Directors’ estimate of the average active life of a 
panel	 member.
Trademark costs reflect the direct cost of trademarks acquired 
to	protect	the	YouGov	brand	and	its	products.	Amortisation	is	 not charged as trademarks are infinite in their longevity. We 
conduct	an	annual	impairment	review	to	ensure	all	trademarks	 are	carried	at	appropriate	values.
Share-based payments
All	share-based	payment	arrangements	granted	after	 	 7	November	2002	that	had	not	vested	prior	to	1	August	2006	 are recognised in the financial statements.
All	goods	and	services	received	in	exchange	for	the	grant	of	 any	share-based	payment	are	measured	at	their	fair	values.	 Where employees are rewarded using share-based payments, 
the fair values of employees’ services are determined indirectly 
by	reference	to	the	fair	value	of	the	instrument	granted	to	the	 employee.	This	fair	value	is	appraised	at	the	grant	date	and	 excludes the impact of non-market vesting conditions (for 
example, profitability and sales growth targets).
All	equity-settled	share-based	payments	are	ultimately	 recognised as an expense in the profit and loss account 	 with a corresponding credit to ‘current liabilities’.
If	vesting	periods	or	other	non-market	vesting	conditions	apply,	 the	expense	is	allocated	over	the	vesting	period,	based	on	the	 best	available	estimate	of	the	number	of	share	options	expected	 to vest. Estimates are revised subsequently if there is any 
indication	that	the	number	of	share	options	expected	to	vest	 differs	from	previous	estimates.	Any	cumulative	adjustment	 prior	to	vesting	is	recognised	in	the	current	period.	No	 adjustment	is	made	to	any	expense	recognised	in	prior	 	 periods	if	share	options	that	have	vested	are	not	exercised.
Upon	exercise	of	share	options,	the	proceeds	received	net	of	 attributable	transaction	costs	are	credited	to	share	capital,	and	 where	appropriate	share	premium. 26	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 www.yougov.com
	 	 	 	 	 	 2007	 2006	 	 	 	 	 	 Note	 £’000 £’000
Turnover:	 Group	 and	 share	 of	 joint	 ventures	 	 	 	 	 14,573	 9,567
Less: share of joint ventures’ turnover      (270) (95)
Group turnover – continuing operations*	 	 	 	 1	 14,303	 9,472
Cost of sales     2	 (2,647) (2,153)
Gross profit	 	 	 	 	 11,656	 7,319
Other	 operating	 income	 and	 charges	 	 	 	 	 2	 (6,061) (3,466)
Group operating profit before amortisation of goodwill     5,595	 3,853
Amortisation	 of	 goodwill	 of	 subsidiary	 	 	 	 8	 (56)	 Amortisation	 of	 goodwill	 of	 associate	 	 	 	 10	 (76)	 –
Group operating profit – continuing operations	 	 	 	 	 5,463	 3,853
Share of operating (loss)/profit in joint ventures     (4)	 9
Share of operating loss in associate     (172)	 –
	 	 	 	 	 	 5,287	 3,862
Other income
Management	 fee	 	 	 	 	 10	 –
	 	 	 	 	 1	 5,297	 3,862
Interest
Interest	 receivable	 	 	 	 	 188	 192
Interest	 payable	 	 	 	 	 (2) (1)
Net	 interest	 	 	 	 3	 186	 191
Share of interest in joint ventures     1	 –
Share of interest in associate     36	 –
	 	 	 	 	 	 223	 191
Profit on ordinary activities before taxation	 	 	 	 1	 5,520	 4,053
Tax on profit on ordinary activities     (623) (542)
Share of tax in joint ventures     2	 –
Share of tax in associate     (1)	 –
	 	 	 	 	 5	 (622) (542)
Profit on ordinary activities after taxation 	 	 	 	 	 4,898	 3,511
Minority	 interests	 –	 equity	 	 	 	 	 (794) (521)
Retained profit on ordinary activities after taxation and minority interests	 	 20	 4,104	 2,990
Basic	 earnings	 per	 share**	 	 	 	 7	 6.1	 4.5
Diluted	 earnings	 per	 share**	 	 	 	 7	 5.8	 4.2
* All operations are continuing. The full integration of the trade and assets of Siraj Marketing and Research Agency means that acquisitions have not been 	 reported	separately.
**	 Restated	for	the	5:1	share	split	on	10	April	2007.
The accompanying accounting policies and notes form an integral part of these financial statements. 
Consolidated Profit and Loss Account 
For the year ended 31 July 2007 	 www.yougov.com	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 27
Consolidated Statement of Total  
Recognised Gains and Losses 
For the year ended 31 July 2007
	 	 	 	 	 	 2007	 2006	 	 	 	 	 	 	 £’000 £’000
Exchange difference on translation of foreign operations     (360)	 –
Net	 loss	 recognised	 directly	 in	 equity	 	 	 	 (360)	 –
Profit for the year     4,104	 2,990
Total	 recognised	 gains	 and	 losses	 for	 the	 period	 	 	 	 	 3,744	 2,990 28	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 www.yougov.com
	 	 	 	 	 	 2007	 2006	 	 	 	 	 	 Note	 £’000 £’000
Fixed assets
Intangible	 assets	 	 	 	 	 8	 1,177	 1,171
Tangible	 assets	 	 	 	 9	 699	 158
Investments	 general	 	 	 	 10	 685	 –
Investment	 in	 joint	 ventures:
 Share of gross assets     288	 123
 Share of gross liabilities     (161) (13)
	 	 	 	 	 10	 127	 	 110
Investment	 in	 associate	 	 	 	 10	 3,651	 –
	 	 	 	 	 	 6,339	 1,439
Current assets
Debtors	 	 	 	 11	 5,699	 3,699
Cash at bank and in hand     4,061	 5,546
	 	 	 	 	 	 9,760	 9,245
Creditors: amounts falling due within one year 	 	 	 	 12	 (3,665) (2,796)
Total assets less current liabilities	 	 	 	 	 12,434	 7,888
Creditors: amounts falling due after more than one year	 	 	 	 13	 (334) (365)
Provisions for liabilities	 	 	 	 15	 (56) (12)
Minority	 interests	 –	 equity	 	 	 	 	 (1,460) (743)
	 	 	 	 	 1	 10,584	 6,768
Capital and reserves
Called up share capital    16	 135	 134
Share premium account    18	 3,026	 2,943
Profit and loss account    18	 7,423	 3,691
	 	 	 	 	 20	 10,584	 6,768
The accompanying accounting policies and notes form an integral part of these financial statements.
The financial statements were approved by the Board of Directors on 8 October 2007
Katherine Lee
Chief Financial Officer
Consolidated Balance Sheet 
As at 31 July 2007 	 www.yougov.com	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 29
	 	 	 	 	 	 2007	 2006	 	 	 	 	 	 Note	 £’000 £’000
Fixed assets
Intangible	 assets	 	 	 	 8	 63	 –
Tangible	 assets	 	 	 	 9	 603	 108
Investments	 	 	 	 	 10	 820	 106
	 	 	 	 	 	 1,486	 214
Current assets
Debtors	 	 	 	 	 11	 6,758	 1,534
Cash at bank and in hand     3,994	 5,107
	 	 	 	 	 	 10,752	 6,641
Creditors: amounts falling due within one year	 	 	 	 12	 (5,682) (1,928)
Net current assets	 	 	 	 	 5,070	 4,713
Total assets less current liabilities	 	 	 	 	 6,556	 4,927
Provisions for liabilities 	 	 	 	 15	 (56) (12)
	 	 	 	 	 	 6,500	 4,915
Capital and reserves	 	 	 	 Called up share capital    16	 135	 134
Share premium account    18	 3,026	 2,943
Profit and loss account    18	 3,339	 1,838
Shareholders’ funds	 	 	 	 	 6,500	 4,915
The accompanying accounting policies and notes form an integral part of these financial statements.
The financial statements were approved by the Board of Directors on 8 October 2007
Katherine Lee
Chief Financial Officer
	 Company Balance Sheet
As at 31 July 2007 30	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 www.yougov.com
	 	 	 	 	 	 2007	 2006	 	 	 	 	 	 Note	 £’000 £’000
Net cash inflow from operating activities	 	 	 	 	 19	 4,806	 2,896
Returns on investments and servicing of finance
Interest	 received	 	 	 	 234	 181
Interest	 paid	 	 	 	 	 (2) (1)
Net cash inflow from returns on investments and servicing of finance	 	 	 	 232	 180
Taxation	 	 	 	 	 (960) (318)
Capital expenditure and financial investment
Purchase of intangible fixed assets     (168) (806)
Purchase of tangible fixed assets      (682) (133)
Cost of investment in subsidiary      (5)	 –
Cost of investment in joint venture     (34) (100)
Cost of investment in associate     (3,727)	 –
Cost of investment completed post year end     (676)	 –
Net cash outflow from capital expenditure and financial investment	 	 	 	 (5,292) (1,039)
Financing
Issue	 of	 shares	 	 	 	 	 1	 1
Premium	 on	 issue	 of	 shares	 	 	 	 	 102	 30
Expenses offset against share premium account     (19)	 –
Net cash inflow from financing	 	 	 	 	 84	 31
(Decrease)/increase in cash    21	 (1,130)	 1,750
The accompanying accounting policies and notes form an integral part of these financial statements. 
Consolidated Cash Flow Statement
For the year ended 31 July 2007 	 www.yougov.com	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 31
1 Turnover and profit on ordinary activities before taxation
Turnover	is	attributable	to	market	research.	An	analysis	of	turnover	by	geographical	market	is	given	below:
  Turnover  Profit before taxation  Net assets
	 	 2007	 2006	 2007	 2006	 2007	 2006	 	 	 £’000 £’000 £’000 £’000 £’000 £’000
UK	 7,880	 4,849	 2,724	 1,898	 5,160	 4,809
Middle East 6,423	 4,623	 2,825	 1,955	 1,646	 1,698
Middle East Acquisition –	 –	 –	 –	 –	 151
	 	 14,303	 9,472	 5,549	 3,853	 6,806	 6,658
Common costs   –	 –	 	 Operating profit   5,549	 3,853	 	 Share of turnover, operating profit and 	 net	 assets	 of	 joint	 ventures	 270	 95	 (4)	 9	 127	 110
Share of loss before tax and net assets of associate   (248)	 –	 3,651	 –
	 	 14,573	 9,567	 5,297	 3,862	 10,584	 6,768
Net	 interest	 	 	 223	 191	 	 Unallocated	 assets	 	 	 	 	 –	 –
Group	 turnover	 14,573	 9,567	 	 	 	 Group profit before taxation, minority interests and 	 extraordinary	 items	 	 	 5,520	 4,053	 	 Group	 net	 assets	 	 	 	 	 10,584	 6,768
All YouGov businesses are continuing operations. The old Siraj Marketing and Research business cannot be disaggregated from 
our operations in the Middle East as these have become fully integrated into our pre-existing Middle East business.
Barter transactions
YouGov entered into barter transactions in the UK totalling £237,000 (2006: £nil). In YouGovSiraj barter transactions totalled 
£155,000 (2006: £54,000). Barter transactions involving advertising totalling £392,000 (2006: £54,000) have been included in 
turnover as per UITF 26.
The profit on ordinary activities before taxation is stated after:
	 	 	 	 	 	 2007	 2006	 	 	 	 	 	 	 £’000 £’000
Auditors’ remuneration:  
 Fees payable to the Group’s auditors for the audit of the Group accounts    28	 27
 Fees payable to the Group’s auditors for the audit of the subsidiary accounts   3	 –
 Fees payable to the Group’s auditors for the audit of the associate accounts   1	 –
 Fees payable to the Group’s auditors for the audit of the joint ventures’ accounts   1	 –
 Fees payable to the Group’s auditors for tax compliance fees    7	 1
 Fees payable to the Group’s auditors for interim review fee     4	 4
 Fees payable to the Group’s auditors for other services     7	 1
 Audit fees for the individual accounts of YouGovM.E. FZ LLC    –	 1
Depreciation	 and	 amortisation:	 	 Goodwill	 	 	 	 	 132	 –
 Intangible fixed assets     9	 –
 Tangible fixed assets, owned     114	 34
	 Assets 	 under	 hire	 purchase	 	 	 	 	 12	 4
Loss on the disposal of fixed assets     13	 –
Other	 operating	 lease	 rentals:
	 Plant 	 and	 machinery	 	 	 	 	 3	 2
	 Land 	 and	 buildings	 	 	 	 	 243	 	 83
Notes to the Financial Statements 32	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 www.yougov.com
2 Cost of sales and other operating income and charges 
	 	 	 	 	 	 2007	 2006	 	 	 	 	 	 	 £’000 £’000
Cost of sales     2,647	 2,153
Other	 operating	 income	 and	 charges:
Selling and marketing     1,501	 347
Administrative	 expenses	 	 	 	 	 4,117	 2,941
Establishment costs     443	 178
	 	 	 	 	 	 6,061	 3,466
3 Net interest
	 	 	 	 	 	 2007	 2006	 	 	 	 	 	 	 £’000 £’000
Interest	 on	 hire	 purchase	 	 	 	 	 (2) (1)
Other	 interest	 receivable	 and	 similar	 income	 	 	 	 	 188	 192
	 	 	 	 	 	 186	 191
4 Directors and employees
Staff costs during the year were as follows:
	 	 	 	 	 	 2007	 2006	 The Group	 	 	 	 	 £’000 £’000
Wages and salaries     3,596	 1,864
Social security costs     275	 187
Share-based payments     37	 –
Other benefits     126	 –
	 	 	 	 	 	 4,034	 2,051
	 	 	 	 	 	 2007	 2006	 The Company	 	 	 	 	 £’000 £’000
Wages and salaries     2,833	 1,614
Social security costs     271	 187
Share-based payments     37	 –
Other benefits     9	 –
	 	 	 	 	 3,150	 1,801
The average number of employees of the Group during the year was 76 (2006: 42). The average number of employees of the 
Company during the year was 54 (2006: 34).
Remuneration	in	respect	of	Directors	was	as	follows:
	 	 	 	 	 	 2007	 2006	 	 	 	 	 	 	 £’000 £’000
Emoluments     1,269	 741
The	amounts	set	out	above	include	remuneration	in	respect	of	the	highest	paid	Director	as	follows:
	 	 	 	 	 	 2007	 2006	 	 	 	 	 	 	 £’000 £’000
Emoluments     276	 175
Notes to the Financial Statements
continued 	 www.yougov.com	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 33
The	aggregate	gain	made	by	Panos	Manolopoulos	on	the	exercise	of	his	share	options	is	set	out	below:
    No. Exercise Market Gain	 	 	 	 	 options	 price	 price	 £
Date	 of	 exercise
19	 January	 2007	 	 	 283,455	 £0.18	 £1.875	 480,456
10	 April	 2007	 	 	 283,455	 £0.18	 £1.885	 483,291
	 	 	 	 	 	 	 963,747
Directors’ emoluments include the amount of £52,246 paid to West Eight Investments Limited. This company is owned and 
controlled by Roger Parry, our Non-Executive Chairman.
	 5 Tax on profit on ordinary activities
The	tax	charge	represents:
	 	 	 	 	 	 2007	 2006	 	 	 	 	 	 	 £’000 £’000
Profit on ordinary activities before tax     5,520	 	 4,053
Profit on ordinary activities multiplied by the standard rate of corporation tax in the year   1,656	 1,216
Overseas	 earnings	 not	 assessable	 for	 UK	 corporation	 tax	 	 	 	 	 (1,026) (710)
United Kingdom corporation tax at 30% (2006: 30%)     630	 	 506
Adjustment	 in	 respect	 of	 prior	 period	 	 	 	 	 (19)	 14
Expenses not deductible for tax purposes     12	 17
Depreciation	 in	 excess	 of	 capital	 allowances	 	 	 	 	 (45)	 4
Total	 current	 tax	 	 	 	 	 	 578	 	 541
Origination	 and	 reversal	 of	 timing	 differences	 	 	 	 	 44	 1
Total	 deferred	 tax	 	 	 	 	 	 44	 1
Tax on profit on ordinary activities     622	 542
6 Profit for the financial year
The parent company has taken advantage of section 230 of the Companies Act 1985 and has not included its own profit and loss 
account in these financial statements. The parent company’s profit for the year was £1,501,000 (2006: £1,680,000). 34	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 www.yougov.com
7 Earnings per share
 2007  2006 
	 	 Weighted   Weighted 	 	 	 average Per share	 	 average	 Per 	 share	 	 	 Earnings number amount Earnings number amount	 	 	 £’000 of shares pence £’000 of shares* pence*
Profit attributable to shareholders 4,104  	 2,990	 	 Basic earnings per share	 	 	 	 	 	 Earnings attributable to ordinary shareholders  67,350,959 6.1	 	 66,790,785	 4.5
Dilutive effect of securities	 	 	 	 	 	 Options	 3,461,575 	 	 4,039,930	 Diluted earnings per share	 	 	 	 	 	 Adjusted	 earnings	 70,812,534 5.8	 	 70,830,715	 4.2
Adjusted profit attributable to shareholders 4,236  	 2,990	 	 Basic earnings per share	 	 	 	 	 	 Earnings attributable to ordinary shareholders  67,350,959 6.3	 	 66,790,785	 4.5
Dilutive effect of securities	 	 	 	 	 	 Options	 3,461,575 	 	 4,039,930	 Diluted earnings per share	 	 	 	 	 	 Adjusted	 earnings	 70,812,534 6.0	 	 70,830,715	 4.2
*Restated	for	the	5:1	share	split	on	10	April	2007.
The EPS calculation above does not take account of new shares issued as consideration by way of placing to satisfy the 
consideration	on	the	3	acquisitions	of	Zapera,	Polimetrix	and	psychonomics.
	 	 	 	 	 	 2007	 2006	 Reconciliation of profit and adjusted profit attributable to shareholders 	 	 	 £’000 £’000
Profit attributable to shareholders     4,104	 2,990
Add:	 amortisation	 of	 goodwill	 	 	 	 	 132	 –
Adjusted profit attributable to shareholders     4,236	 	 2,990
Notes to the Financial Statements
continued 	 www.yougov.com	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 35
8 Intangible fixed assets
	 	 	 	 	 Panel	 	 	 	 	 	 acquisition 	 	 	 	 	 Goodwill	 costs	 Trademarks	 Total	 The Group   £’000 £’000 £’000 £’000
Cost
At	 1	 August	 2006	 	 	 1,171	 –	 –	 1,171
Additions	 	 	 16	 124	 28	 168
Foreign exchange movement on retranslation   (97) – – (97)
At	 31	 July	 2007	 	 	 1,090	 124	 28	 1,242
Amortisation
At	 1	 August	 2006	 	 	 –	 –	 –	 –
Provided	 in	 the	 year	 	 	 56	 9	 –	 65
At	 31	 July	 2007	 	 	 56	 9	 –	 65
Net book amount at 31 July 2007	 	 	 1,034 115 28 1,177
Net	 book	 amount	 at	 31	 July	 2006	 	 	 1,171	 –	 –	 1,171
	 	 	 	 	 Panel	 	 	 	 	 	 acquisition 	 	 	 	 	 Goodwill	 costs	 Trademarks	 Total	 The Company   £’000 £’000 £’000 £’000
Cost
At	 1	 August	 2006	 	 	 –	 –	 –	 –
Additions	 	 	 –	 41	 25	 66
At	 31	 July	 2007	 	 	 –	 41	 25	 66
Amortisation	 	 	 	 At	 1	 August	 2006	 	 	 –	 –	 –	 –
Provided	 in	 the	 year	 	 	 –	 3	 –	 3
At	 31	 July	 2007	 	 	 –	 3	 –	 3
Net book amount at 31 July 2007	 	 	 – 38 25 63
Net	 book	 amount	 at	 31	 July	 2006	 	 	 –	 –	 –	 –
The valuation method for intangibles is arm’s length purchase price (less fair value of assets acquired, in the case of goodwill) for 
goodwill,	panel	acquisition	costs	and	trademarks.	 36	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 www.yougov.com
9 Tangible fixed assets
  Software  Computer  Leasehold 	  development Fixtures software and Motor property and 	  costs and fittings hardware vehicles  improvements Total	 The Group £’000 £’000 £’000 £’000 £’000 £’000
Cost       
At	 1	 August	 2006	 –	 52	 96	 22	 54	 224
Additions	 133	 138	 194	 28	 189	 682
Disposals – (5) (17) – (17) (39)
Reclassification – 30 – – (30) –
At	 31	 July	 2007	 133	 215	 273	 50	 196	 867
Depreciation	 	 	 	 	 	 At	 1	 August	 2006	 –	 16	 33	 4	 13	 66
Provided	 in	 the	 year	 –	 31	 56	 13	 26	 126
Disposals – (3) (15) – (6) (24)
Reclassification – 12 – – (12) –
At	 31	 July	 2007	 –	 56	 74	 17	 21	 168
Net book amount at 31 July 2007	 133 159 199 33 175 699
Net	 book	 amount	 at	 31	 July	 2006	 –	 36	 63	 18	 41	 158
Included within the NBV of £699,000 was £33,000 (2006: £18,000) relating to assets held under finance leases and hire purchase 
agreements. The depreciation charged to the financial statements in the year in respect of such assets was £12,000 (2006: £4,000).
   Software  Computer Leasehold 	   development Fixtures software and property and 	   costs and fittings hardware  improvements Total	 The Company  £’000 £’000 £’000 £’000 £’000
Cost       
At	 1	 August	 2006	 	 –	 41	 74	 47	 162
Additions	 	 133	 135	 160	 177	 605
Disposals  – – (17) (17) (34)
Reclassification  – 30 – (30) –
At	 31	 July	 2007	 	 133	 206	 217	 177	 733
Depreciation	 	 	 	 	 	 At	 1	 August	 2006	 	 –	 13	 29	 12	 54
Provided	 in	 the	 year	 	 –	 27	 47	 23	 97
Disposals  – – (15) (6) (21)
Reclassification  – 12 – (12) –
At	 31	 July	 2007	 	 –	 52	 61	 17	 130
Net book amount at 31 July 2007	 	 	 133 154 156 160 603
Net	 book	 amount	 at	 31	 July	 2006	 	 –	 28	 45	 35	 108
Notes to the Financial Statements
continued 	 www.yougov.com	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 37
10 Fixed asset investments
Total fixed asset investments comprise:
  The Group The Company
	 	 	 	 2007	 2006	 2007	 2006	 	 	 	 	 £’000 £’000 £’000 £’000
Interest in subsidiaries (a)   5	 –	 10	 6
Interest in joint ventures (b)   4	 –	 134	 100
Interest in associate (c)   –	 –	 –	 –
Interest	 in	 investment	 completed	 post	 year	 end	 	 	 676	 –	 676	 –
	 	 	 	 685	 –	 820	 106
The	value	of	investments	is	determined	on	the	basis	of	the	cost	to	the	Group.
Interest	in	investment	completed	post	year	end	represents	a	non-refundable	deposit	paid	to	psychonomics	shareholders.	 (a) Interests in subsidiaries 
At 31 July 2007 the Company had interests in the following subsidiaries:
	 	 	 	 	 Proportion	 held	   Country of Class of share by parent by the Nature of	  Subsidiary incorporation capital held Company Group business
YouGovM.E. FZ LLC Subsidiary United Arab Emirates Ordinary 78% 78% Market Research
YouGovStone Limited Subsidiary England Ordinary 51% 51% Market Research
YouGovAmerica LLC Subsidiary USA Ordinary 100% 100% Holding Co
YouGovEurope Holdings Limited Subsidiary England Ordinary 100% 100% Holding Co
YouGovAmerica Holdings Limited Subsidiary England Ordinary 100% 100% Holding Co
YouGovAlpha Limited Subsidiary England Ordinary 100% 100%  Market Research
YouGovEurope Holdings Limited, YouGovAmerica Holdings Limited and YouGovAlpha Limited were not active at 31 July 2007 and 
have therefore been excluded from the consolidated financial statements.
All	subsidiaries	have	co-terminous	year	ends.
	 (b) Interests in joint ventures 
At 31 July 2007 the Company had interests in the following joint ventures:
	 	 	 	 	 Proportion 	 held	  Joint Country of Class of share by parent by the Nature of Financial	  venture incorporation capital held Company Group business year end
YouGovExecution Limited JV England Ordinary 50% 50% Primary 31 July
	 	 	 	 	 	 	 research	 	 	 	 	 	 	 	 for 	 the	 	 	 	 	 	 	 	 investment	 	 	 	 	 	 	 	 community	 YouGovCentaur Limited JV England Ordinary 50% 50% Specialist 30 June
	 	 	 	 	 	 	 business 	 to	 	 	 	 	 	 	 	 business	 	 	 	 	 	 	 research	 Subsequent to the end of the financial year, the Board decided to cease trading in YouGovExecution. See note 25.
The Group’s share of the assets and liabilities of YouGovExecution Limited was: 
	 	 	 	 	 	 2007	 2006	 	 	 	 	 	 	 £’000 £’000
Fixed assets     6	 1
Current assets     174	 122
Liabilities	 due	 within	 one	 year	 	 	 	 	 (69) (13)
Liabilities	 due	 after	 one	 year	 or	 more	 	 	 	 	 –	 –
The principal place of business for YouGovExecution is 2nd Floor, Block D, The Old Truman Brewery, 91 Brick Lane, London E1 6QL. 38	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 www.yougov.com
10 Fixed asset investments continued
The Group’s share of the assets and liabilities of YouGovCentaur Limited was: 
	 	 	 	 	 	 2007	 2006	 	 	 	 	 	 	 £’000 £’000
Fixed assets     1	 –
Current assets     107	 –
Liabilities	 due	 within	 one	 year	 	 	 	 	 (21)	 –
Liabilities	 due	 after	 one	 year	 or	 more	 	 	 	 	 (71)	 –
The principal place of business for YouGovCentaur is 50 Poland Street, London W1F 7AX.
If	the	investment	in	joint	ventures	had	been	included	at	cost,	they	would	have	been	included	at	the	following	amounts:
	 	 	 	 	 YouGov	 YouGov	 	     Execution Centaur Total  
The Group and the Company    £’000 £’000 £’000
Cost or valuation      
At	 1	 August	 2006	 	 	 	 100	 –	 100
Additions	 	 	 	 –	 34	 34
At	 31	 July	 2007	 	 	 	 100	 34	 134
Amounts	 written	 off	 	 	 	 	 	 At	 1	 August	 2006	 	 	 	 –	 –	 –
Provided	 in	 the	 year	 	 	 	 –	 –	 –
At	 31	 July	 2007	 	 	 	 –	 –	 –
Net book amount at 31 July 2007	 	 	 	 	 100 34 134
Net	 book	 amount	 at	 31	 July	 2006	 	 	 	 100	 –	 100
(c) Interests in associate
At 31 July 2007 the Company had interests in the following associate:
	 	 	 	 	 Proportion	 held	   Country of Class of share by parent by the Nature of	  Associate incorporation capital held Company Group business
Polimetrix Inc Associate USA Ordinary 0% 32% Market research
At 31 July 2007 YouGov held an option to acquire the balance of Polimetrix’s equity at an option price of $2.10 per share. Refer to 
note 25 ‘post balance sheet events’ for details of the option.
The principal place of business is 364 University Avenue, Palo Alto, CA 94301, USA.
     Share of  	 	 	 	 	 	 net 	 assets	 Goodwill	 Total	 The Group    £’000 £’000 £’000
Cost or valuation      
At	 1	 August	 2006	 	 	 	 –	 –	 –
Additions	 	 	 	 1,132	 2,595	 3,727
At	 31	 July	 2007	 	 	 	 1,132	 2,595	 3,727
Amounts	 written	 off	 	 	 	 	 	 At	 1	 August	 2006	 	 	 	 –	 –	 –
Provided	 in	 the	 year	 	 	 	 –	 76	 76
At	 31	 July	 2007	 	 	 	 –	 76	 76
Net book amount at 31 July 2007	 	 	 	 	 1,132 2,519 3,651
Net	 book	 amount	 at	 31	 July	 2006	 	 	 	 –	 –	 –
Notes to the Financial Statements
continued 	 www.yougov.com	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 39
11 Debtors
  The Group The Company
	 	 	 	 2007	 2006	 2007	 2006	 	 	 	 	 £’000 £’000 £’000 £’000
Trade	 debtors	 	 	 4,917	 3,547	 2,111	 1,395
Amounts	 owed	 by	 Group	 undertakings	 	 	 –	 –	 4,012	 36
Amounts	 owed	 by	 joint	 ventures	 	 	 139	 3	 139	 3
Other	 debtors	 	 	 36	 37	 8	 16
Prepayments	 and	 accrued	 income*	 	 	 607	 112	 488	 84
	 	 	 	 5,699	 3,699	 6,758	 1,534
* Additional expenditure of £260,000 (2006: £nil) with respect to acquisition costs for investments acquired after the year end has been included within prepayments. 
Additional	expenditure	represents	professional	fees	which	will	be	capitalised	as	part	of	the	investment	on	completion.
12 Creditors: amounts falling due within one year
  The Group The Company
	 	 	 	 2007	 2006	 2007	 2006	 	 	 	 	 £’000 £’000 £’000 £’000
Deferred	 income	 	 	 548	 361	 338	 316
Trade	 creditors	 	 	 490	 122	 408	 105
Amounts	 owed	 to	 Group	 undertakings	 	 	 –	 –	 2,727	 6
Corporation tax   147	 527	 147	 527
Social security and other taxes   377	 291	 372	 291
Other	 creditors	 	 	 162	 75	 162	 75
Accruals	 	 	 1,917	 1,292	 1,528	 608
Pre-acquisition profit distribution   –	 110	 –	 –
Amounts	 due	 under	 hire	 purchase	 contracts	 	 	 24	 18	 –	 –
	 	 	 	 3,665	 2,796	 5,682	 1,928
13 Creditors: amounts falling due after more than one year
  The Group The Company
	 	 	 	 2007	 2006	 2007	 2006	 	 	 	 	 £’000 £’000 £’000 £’000
Deferred	 consideration	 	 	 334	 365	 –	 –
	 	 	 	 334	 365	 –	 –
Deferred consideration relates to a payment to be made in respect of the acquisition of the trade and assets of Siraj. The payment 
will	be	made	on	30	July	2009. 40	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 www.yougov.com
14 Financial instruments 
The Company uses financial instruments, other than derivatives, comprising cash, liquid resources and various items, such as 
trade debtors, trade creditors etc, that arise directly from its operations. The Company has no borrowings. The main purpose of 
these financial instruments is to raise finance for the Company’s operations.
The main risks arising from the Group financial instruments are liquidity risk and foreign exchange risk. The Board reviews and 
agrees	policies	for	managing	this	risk	and	they	are	summarised	below.	This	policy	has	remained	unchanged	from	previous	years.	 It is, and has been throughout the year under review, the Group policy that no trading in financial instruments shall be undertaken.
Liquidity risk
The Group seeks to manage financial risk by ensuring sufficient liquidity is available to meet foreseeable needs and to invest cash 
assets safely and profitably.
Interest rate profile
The financial assets at 31 July 2007 comprised £4.1m of cash accruing interest. 
During	the	period	1	August	2006	to	31	July	2007	the	rates	applicable	varied	between	4.75%	and	5.75%.	The	rates	vary	in	line	with	 the Bank of England base rate (2006: 4.0%–4.75%).
In the U.A.E. interest has been earned at rates between 4.375% and 5.0% (2006: 4.675%–4.75%) depending upon the length of 
the	deposit	term.
Currency risk
The	Group	does	not	hedge	its	exposure	of	foreign	investments	held	in	foreign	currencies.
 Net foreign currency monetary assets
	 	 	 	 	 Sterling US dollar Euro Total 
Functional currency of operation   £’000 £’000 £’000 £’000
31	 July	 2007	 	 	 	 	 	 Sterling   – 1,514 1,462 2,976
Other	 currencies	 	 	 –	 2,036	 –	 2,036
    – 3,550 1,462 5,012
15 Provisions for liabilities
	 	 	 	 	 	 Deferred  
      taxation Total 
The Group     £’000 £’000
At	 1	 August	 2006	 	 	 	 	 12	 12
Provided during year in profit and loss account     44 44
At 31 July 2007	 	 	 	 	 56 56
	 	 	 	 	 	 Deferred  
      taxation Total 
The Company     £’000 £’000
At	 1	 August	 2006	 	 	 	 	 12	 12
Provided during year in profit and loss account     44 44
At 31 July 2007	 	 	 	 	 56 56
The deferred tax charge in the current and prior period represents accelerated capital allowances on fixed assets acquired.
Notes to the Financial Statements
continued 	 www.yougov.com	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 41
16 Share capital
	 	 	 	 	 	 2007 2006	 	 	 	 	 	 	 £	 £
Authorised
100,000,000 Ordinary Shares of 0.2p each     200,000	 –
20,000,000 Ordinary Shares of 1p each      –	 200,000
	 	 	 	 	 	 2007 2006	 	 	 	 	 	 	 £	 £
Allotted,	 called	 up	 and	 fully	 paid
At 1 August 2006, 13,369,557 (2005: 13,338,207) Ordinary Shares of 1p each   133,695	 133,381
New	 shares	 allotted,	 called	 up	 and	 fully	 paid	 in	 respect	 of	 share	 options	 	 	 	 1,150	 314
67,422,570 Ordinary Shares of 0.2p each (2006: 13,369,557 Ordinary Shares of 1p each)   134,845	 133,695
113,382 Ordinary Shares of 1p each were issued in the period in respect of the exercise of options by Panos Manolopoulos. 	 The	total	nominal	value	of	these	shares	was	£1,133.82	and	the	total	consideration	received	was	£102,043.80.	These	shares	 	 were	issued	prior	to	the	share	split	in	April	2007.
7,875 Ordinary Shares of 0.2p each were issued in the period in respect of an employee exercising options. The total nominal 
value	of	these	shares	was	£15.75	and	the	total	consideration	received	was	£1,417.50.
On 10 April 2007 the Company undertook a 5:1 share split which reduced the nominal value of each share from 1p to 0.2p.
17 Share-based payments 
Details of the number of share options and the weighted average exercise price (WAEP) outstanding during the year are as follows:
	 	 	 	  2007 WAEP  2006 WAEP 
Approved share option scheme   No.* £* No.*	 £*
Outstanding	 at	 the	 beginning	 of	 the	 year	 	 	 3,022,875 0.145	 2,729,625	 0.124
Granted	 during	 the	 year	 	 	 121,510 1.645	 293,250	 0.341
Exercised during the year   (563,430) 0.180	 –	 –
Lapsed	 during	 the	 year	 	 (166,125) 0.180	 –	 –
Outstanding	 at	 the	 end	 of	 the	 year	 	 	 2,414,830 0.210	 3,022,875	 0.145
Exercisable at the end of the year   2,146,665 0.120	 2,802,940	 0.130
     2007 WAEP  2006 WAEP 
Unapproved share option scheme   No* £* No.*	 £*
Outstanding	 at	 the	 beginning	 of	 the	 year	 	 	 985,015 0.227	 578,265	 0.180
Granted	 during	 the	 year	 	 21,346 1.645	 406,750	 0.295
Exercised during the year   (11,355) 0.180	 –	 –
Lapsed	 during	 the	 year	 	 – –	 –	 –
Outstanding	 at	 the	 end	 of	 the	 year	 	 995,006 0.258	 985,015	 0.227
Exercisable at the end of the year   486,830 0.228	 113,040	 0.283
Full details of the 1,898,735 share options pertaining to Peter Kellner, 566,910 share options pertaining to Panos Manolopoulos 
and	the	700,000	share	options	pertaining	to	Katherine	Lee	are	disclosed	as	part	of	the	Remuneration	Report	on	page	18.
Two schemes relating to employees are in place. The first covers 101,335 share options and are exercisable by employees at an 
exercise	price	of	£0.18	until	expiry.	The	second	covers	142,856	share	options	which	become	exercisable	in	the	following	tranches;	 47,620	on	10	April	2008,	47,618	on	10	April	2009	and	47,618	on	10	April	2010.	The	vesting	of	these	shares	is	dependent	upon	 specific targets being achieved. The exercise price of all 142,856 share options is £1.645.
Share options exercised in the current financial year were done so at prices between £1.875 and £2.025.
The profit and loss charge for share-based payments is disclosed in note 4. 42	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 www.yougov.com
Notes to the Financial Statements
continued
17 Share-based payments continued
The options outstanding as at 31 July 2007 have the following average exercise prices and expire in the following financial years.
     Exercise price 2007 2006 
Expiry    £* No.* No.*
31	 July	 2013	 	 	 	 0.180	 57,000	 231,000
31	 July	 2013	 	 	 	 0.100	 1,898,735	 1,898,735
31	 July	 2015	 	 	 	 0.180	 611,245	 1,178,155
31	 July	 2016	 	 	 	 0.341	 293,250	 293,250
31	 July	 2016	 	 	 	 0.295	 406,750	 406,750
31	 July	 2017	 	 	 	 1.645	 142,856	 –
	 	 	 	 	 3,409,836	 4,007,890
The fair value of equity-settled transactions is estimated at the date of grant. Fair values were determined according to the 	 Black-Scholes option pricing model using the following:
    2007 2007	 2006	 2006	 Scheme    EMI* Unapproved* EMI* Unapproved*
Number	 granted	 	 	 121,510 21,346	 293,250	 406,750
Weighted average share price at grant   £1.885 £1.885	 £0.341	 £0.341
Weighted average share exercise price   £1.645 £1.645	 £0.341	 £0.295
Weighted average expected volatility   29.9% 29.9%	 26.3%	 26.3%
Average expected life (years)   5 5	 5	 5
Weighted average risk free rate   5.2% 5.2%	 3.7%	 3.7%
Expected dividend yield   0.0% 0.0%	 0.0%	 0.0%
*Restated	for	the	5:1	share	split	on	10	April	2007.
18 Share premium account and reserves
      Share premium Profit and 
      account loss account 
The Group     £’000 £’000
At	 1	 August	 2006	 	 	 	 	 2,943	 3,691
Retained profit for the year     – 4,092
Other recognised gains and losses relating to the period     – (360)
Premium	 on	 allotment	 during	 the	 year	 	 	 	 	 102	 –
Cost of issue of shares     (19) –
At 31 July 2007	 	 	 	 	 3,026 7,423
      Share premium Profit and 
      account loss account 
The Company     £’000 £’000
At	 1	 August	 2006	 	 	 	 	 2,943	 1,838
Retained profit for the year     – 1,501
Premium	 on	 allotment	 during	 the	 year	 	 	 	 	 102	 –
Cost of issue of shares     (19) –
At 31 July 2007	 	 	 	 	 3,026 3,339 	 www.yougov.com	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 43
19 Net cash flow from operating activities
	 	 	 	 	 	 2007	 2006	 	 	 	 	 	 	 £’000 £’000
Net cash inflow from operating activities
Operating profit     5,301	 3,862
Amortisation of intangible fixed assets     141	 –
Depreciation of tangible fixed assets     126	 38
Loss on disposal of fixed assets     13	 –
(Increase) in debtors     (2,000) (2,930)
Increase	 in	 creditors	 	 	 	 	 1,225	 1,926
Net cash inflow from operating activities 	 	 	 	 	 4,806	 2,896
20 Reconciliation of movements in shareholders’ funds
	 	 	 	 	 	 2007	 2006	 	 	 	 	 	 	 £’000 £’000
Profit on ordinary activities after taxation	 	 	 	 4,898	 3,511
Minority	 interests	 –	 equity	 	 	 	 	 (794) (521)
Retained profits on ordinary activities after taxation and minority interests    4,104	 2,990
Dividends	 	 	 	 	 (12)	 –
Retained profit for the financial year     4,092	 2,990
Other	 recognised	 gains	 and	 losses	 relating	 to	 the	 period	 	 	 	 	 (360)	 –
Premium	 on	 issue	 of	 shares	 	 	 	 	 102	 30
Net	 issue	 of	 share	 capital	 	 	 	 	 1	 1
Offset	 expenses	 against	 share	 premium	 account	 	 	 	 	 (19)	 –
Net increase in shareholders’ funds     3,816	 3,021
Opening	 shareholders	 funds	 	 	 	 	 6,768	 3,747
Closing shareholders funds     10,584	 6,768
21 Reconciliation of net cash flow to movement in net debt
	 	 	 	 	 	 2007	 2006	 	 	 	 	 	 	 £’000 £’000
(Decrease)/increase in cash in the year     (1,130)	 1,750
Foreign exchange difference on the retranslation of overseas entities    (355)	 –
Movement	 in	 net	 cash	 in	 the	 year	 	 	 	 	 (1,485)	 1,750
Net	 cash	 at	 beginning	 of	 year	 	 	 	 	 5,546	 3,796
Net	 cash	 at	 end	 of	 year	 	 	 	 4,061	 5,546 44	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 www.yougov.com
Notes to the Financial Statements
continued
22 Acquisitions 
Siraj
On 30 July 2006 the Group acquired a 100% stake in the business, the assets and trade of Siraj Marketing and Research Consultancy 
(Siraj), through our subsidiary YouGovM.E. FZ LLC, for a consideration of £1.3m in cash. Goodwill arising on the acquisition has been 
capitalised	 and	 will	 be	 written	 off	 over	 its	 useful	 estimated	 life.	 The	 purchase	 has	 been	 accounted	 for	 by	 the	 equity	 method	 of	 accounting.	 We presented draft fair value estimates at 31 July 2006. No fair value adjustment was required. We have amended the value of 
acquisition	 costs	 capitalised.	 The	 impact	 of	 this	 was	 to	 increase	 the	 value	 of	 goodwill.
The assets and liabilities of Siraj acquired were as follows: 
     Accounting	 	 	 	 	 	 	 	 policy	 	 Other	 	   Book value Revaluation  adjustments  adjustments Fair value	   £’000 £’000 £’000 £’000 £’000
Tangible fixed assets  2 – – – 2
Current assets      
Trade	 debtors	 	 218	 –	 –	 –	 218
Bank	 and	 cash	 	 68	 –	 –	 –	 68
Total	 assets	 	 288	 –	 –	 –	 288
Other	 creditors	 	 45	 –	 –	 –	 45
Accruals	 	 92	 –	 –	 –	 92
Total	 liabilities	 	 137	 –	 –	 –	 137
Net	 assets	 	 151	 –	 –	 –	 151
Purchased	 goodwill	 capitalised	 	 	 	 	 	 1,171
Costs of acquisition capitalised       16
Total	 goodwill	 	 	 	 	 	 1,187
	 	 	 	 	 	 	 1,338
Satisfied by:
Cash       847
Deferred	 consideration	 	 	 	 	 	 	 475
Working capital       16
	 	 	 	 	 	 	 	 1,338 	 www.yougov.com	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 45
Polimetrix
On	22	December	2006	the	Group	acquired	a	32%	stake	in	Polimetrix	for	a	consideration	of	£3.8m.	Goodwill	arising	on	the	 acquisition	has	been	capitalised	and	will	be	written	off	over	its	useful	estimated	life.	The	purchase	has	been	accounted	for	by	the	 equity method of accounting. The stake held in Polimetrix was increased post year end. Full details of this are disclosed in note 25.
  	 	 	 Accounting	 	 	 	 	 	 	 	 policy	 	 Other	 	   Book value Revaluation  adjustments  adjustments Fair value	   £’000 £’000 £’000 £’000 £’000
Tangible fixed assets  32 – – – 32
Current assets      
Trade	 debtors	 	 81	 –	 –	 –	 81
Other	 debtors	 	 3	 –	 –	 –	 3
Bank	 and	 cash	 	 1,254	 –	 –	 –	 1,254
Total	 assets	 	 1,370	 –	 –	 –	 1,370
Trade	 creditors	 	 15	 –	 –	 –	 15
Other	 creditors	 	 42	 –	 –	 –	 42
Total	 liabilities	 	 57	 –	 –	 –	 57
Net	 assets	 	 1,313	 –	 –	 –	 1,313
Purchased	 goodwill	 capitalised	 	 	 	 	 	 2,521
Costs of acquisition capitalised       74
Total	 goodwill	 	 	 	 	 	 2,595
	 	 	 	 	 	 	 3,908
Satisfied by:      
Cash      3,834
Working capital      74
	 	 	 	 	 	 	 	 3,908
The results of Polimetrix for the period from the beginning of the subsidiary’s financial year to the date of acquisition and also the 
comparative	year	to	31	December	2005	are	as	follows:
	 	 	 	 	 1 January 2006–	 Year 	 ended	 	 	 	 	 	 21 December 	 31 	 December	 	 	 	 	 	 	 2006	 2005	 	 	 	 	 	 	 £’000 £’000
Turnover	 	 	 	 	 1,195	 349
Operating (loss)/profit     (754)	 31
(Loss)/profit before tax     (746)	 31
(Loss)/profit after tax     (747)	 31
23 Capital commitments
The Group and the Company had an outstanding commitment to procure software to the value of £109,709 at year end. By 31 July 2007 
£10,971 had been settled. The balance will be settled in equal instalments in stage payments during the financial year ending 31 July 2008. 
Purchase	 orders	 of	 £115,590	 have	 been	 approved	 but	 not	 accrued,	 where	 they	 relate	 to	 the	 period	 from	 1	 August	 2007	 onward.	 YouGov	has	committed	to	a	non-refundable	deposit	to	the	shareholders	of	psychonomics	of	£2.1m	of	which	£676,000	had	been	 paid by 31 July 2007. The balance was settled in August 2007. No capital commitments existed for the Group or the Company 	 at	31	July	2006. 46	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 www.yougov.com
Notes to the Financial Statements
continued
24 Leasing commitments
Operating lease payments amounting to £320,000 (2006: £102,000) are due within one year. The leases to which these amounts 
relate	expire	as	follows:
  2007 2006
	 	 	 	 Land and 	 Land 	 and	 	 	 	 	 	 buildings Other	 buildings	 Other	 	 	 	 	 £’000 £’000 £’000 £’000
In	 one	 year	 or	 less	 	 	 14 3	 47	 2
Between one and five years   – –	 53	 –
In five years or more   303 –	 –	 –
	 	 	 	 317 3	 100	 2
25 Post balance sheet events
We announced on 7 August 2007 that we proposed to raise approximately £27m by means of a placing for cash of 19,285,714 new 
Ordinary Shares to institutional investors at £1.40 per share, and to issue shares and to grant options of an aggregate value of 
£11.3m. Each of the psychonomics and Zapera Acquisition agreements contain earn-out provisions which, if met, will require 
YouGov	to	pay	an	estimated	amount	of	£6.5m	by	way	of	further	consideration.
Polimetrix
Under	the	terms	of	the	pre-existing	option,	YouGov	and	YouGovAmerica	had	the	right	to	purchase	the	68%	of	Polimetrix	not	 currently owned by YouGovAmerica. The merger resulted in the acquisition of such 68% at a price of $2.10 per share. Agreement 
was reached on 7 August 2007. The total consideration payable to Polimetrix is $24.1m (approximately £11.7m) of which $8.6m 
(approximately £4.2m) was satisfied in cash. The remaining $15.5m (approximately £7.5m) was satisfied by the allotment of shares 
and by the grant of options (to the value of approximately $2.7m (£1.3m)). A proportion of the Acquisition Shares will only be issued 
one year following completion provided there are no claims made by YouGov under the merger agreement. The Acquisition Shares 
are	subject	to	selling	restrictions	for	a	period	of	12	months	from	the	date	of	completion.
	 Zapera
Zapera is an online research agency with offices in Denmark, Sweden and Norway and specialises in healthcare, pharmaceutical 
and	brand	research.
The consideration payable on completion was £5.3m (subject to a net working capital adjustment) and is to be satisfied by a mixture 
of cash (£4.9m) and the allotment of 264,026 shares to the value of £400,000 (priced at 151.5p per Ordinary Share). In addition, 
YouGov	 applied	 £2m	 towards	 the	 repayment	 of	 loan	 capital,	 the	 acquisition	 of	 bank	 debt	 and	 the	 payment	 of	 deferred	 consideration	 pursuant	 to	 a	 previous	 acquisition	 made	 by	 Zapera.	 Additional	 consideration	 of	 £2.25m	 will	 become	 payable	 to	 the	 sellers	 subject	 to	 certain financial hurdles for the 12 month period to 31 July 2008 being met by Zapera. The 2 original founders are entitled to an earn-
out payment of (in aggregate) £1.25m depending on the financial performance for the 12 month periods to each of 31 July 2009 and 
2010. Any such earn-out payment to the founders will be satisfied 50% in cash and 50% in Ordinary Shares. 
psychonomics
The acquisition of psychonomics was announced on 27 July 2007. psychonomics was incorporated in 1992 and has its head office 
in Cologne with offices in Vienna and Berlin. 
The consideration payable on completion for the entire issued share capital of psychonomics was €20.75m (approximately £14.0m) 
and was satisfied by the issue of shares to the value of €5m (approximately £3.4m) with the balance being paid in cash. Of the initial 
cash consideration, €3.2m (approximately £2.1m) was paid as a non-refundable deposit. The psychonomics sellers are entitled to be 
paid the pre completion profits of psychonomics for the current year calculated in proportion to the number of months elapsed prior to 
completion. Such amount is capped at €1.5m (approximately £1m.) An earn-out has also been put in place for the 2 financial years 
ending 31 December 2008. Under this earn-out, based on financial targets being met, a maximum of a further €3m (approximately 
£2m) will be payable, either in cash or shares (priced at the average price of trading over the 30 dealing day period following 
publication of the audited financial statements for the financial year ending 31 December 2008). In addition to the purchase price 
payable, Ordinary Shares to the value of €500,000 will be issued for a psychonomics employee incentivisation programme.  	 www.yougov.com	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 47
YouGovExecution dissolved amicably
After 18 months of successful operations both YouGov and Execution have decided to amicably dissolve the YouGovExecution 
(YGX) joint venture with a view to each company independently pursuing aspects of the YGX business. We aim to complete the 
dissolution	by	the	time	we	report	our	interim	results	for	the	period	ended	31	January	2008.
Having established primary research services as a valuable resource for the investment community, both Execution and YouGov 
have	agreed	that	it	is	no	longer	in	the	interests	of	either	party	to	maintain	an	exclusive	relationship	with	each	other.
The two companies will continue to co-operate on certain existing YGX services, such as the YouGovExecution Clothing Retail 
Index,	and	in	the	future	where	there	is	a	relevant	business	opportunity	for	both.
YouGovAlpha
YouGov created YouGovAlpha, the UK’s only dedicated market research agency with services tailored to the specific needs of 
fund managers and investment professionals. Building on the recent success of YouGovExecution (YGX), YouGovAlpha provides 
a	competitive	advantage	to	its	clients	by	using	primary	research	to	gain	insights	into	the	marketplace	performance	of	sectors	and	 companies	ahead	of	trading	statements	and	publicly	available	information.	YouGovAlpha	commenced	trading	on	1	August	2007.
EGM
Further to the announcement, distribution of circular and notice of EGM of YouGov plc (the ‘Company’) on 7 August 2007 in 
connection with the cash placing to raise £27m and the issue of £10m Ordinary Shares as part consideration for 3 acquisitions in 
the US, Germany and Denmark, the Board of the Company is pleased to announce that all resolutions required to effect the cash 
placing and acquisitions were duly passed at the EGM on 3 September 2007. 25,215,543 Ordinary Shares, being the Placing 
Shares and Acquisition Consideration Shares, were admitted to trading on AIM on 6 September 2007. YouGov announced on 	 14 September 2007 that the psychonomics acquisition completed on 10 September 2007 whilst the Zapera and Polimetrix 
acquisitions completed on 11 September 2007.
26 Transactions with directors and other related parties 
There	have	been	no	transactions	with	directors	during	the	year.
During the year sales were made to Endemol UK totalling £2,600 (2006: £19,000). Endemol UK is a company which Peter 
Bazalgette, a Non-Executive Director of YouGov plc, is a director. The sale was made at an arm’s length and on usual commercial 
terms. As at 31 July 2007 Endemol UK owed YouGov plc £nil (2006: £22,325).
During the year goods and services were procured from IIR Limited totalling £5,293 (2006: £nil). IIR Limited is a company which 
Anthony Foye, a Non-Executive Director of YouGov plc, is a director. The purchases were made at an arm’s length and on usual 
commercial terms. As at 31 July 2007 YouGov plc owed IIR Limited £nil (2006: £nil).
During the year goods and services were procured from Hawkshead Limited totalling £nil (2006: £35,240). Hawkshead Limited is 	 a company which Peter Bazalgette, a Non-Executive Director of YouGov plc, is a director. The purchases were made at an arm’s 
length and on usual commercial terms. As at 31 July 2007 YouGov plc owed Hawkshead Limited £nil (2006: £nil). 
During the year, YouGov plc provided research services totalling £480,236 (2006: £nil) to Privero Capital, a US based investment 
fund. A minority stake in this fund is partially owned by Stephan Shakespeare and Balshore Investments (the family trust of Nadhim 
Zahawi’s family), each of whom control 18.75% of the fund. At 31 July 2007 Privero owed YouGov plc £480,236 (2006: £nil).
During the year sales were made to YouGovExecution totalling £315,654 (2006: £131,220). At 31 July 2007 YouGovExecution 
owed YouGov plc £52,122 (2006: £nil). 
During the year sales were made to YouGovStone totalling £57,166 (2006: £nil). At 31 July 2007 YouGovStone owed YouGov plc 
£67,170 (2006: £nil).
Trading	between	YouGov	plc	and	subsidiary	companies	is	excluded	from	the	related	party	note	as	this	has	been	eliminated	 	 on	consolidation. 48	 YouGov	 Annual	 Report	 and	 Accounts	 2007	 www.yougov.com
NOTICE IS GIVEN that the ANNUAL GENERAL MEETING of the Company will be held at 50 Featherstone Street, 	 London EC1Y 8RT, on 7 December 2007 at 10 a.m. for the following purposes:
1. To receive, approve and adopt the Company’s annual accounts for the financial year ended 31 July 2007, together with the 
directors’ report and the auditors’ report on those accounts. 
2. To reappoint Grant Thornton UK LLP as auditors to hold office from the conclusion of this meeting until the conclusion of the next 
annual general meeting of the Company at which accounts are laid and to authorise the Directors to fix their remuneration.
3. To reappoint Anthony Foye retiring by rotation in accordance with the Company’s articles of association.
4. To reappoint Peter Bazalgette retiring by rotation in accordance with the Company’s articles of association.
5.	 To 	 reappoint	 Roger	 Parry	 who,	 having	 been	 appointed	 a	 Director	 by	 the	 Directors	 since	 the	 last	 Annual	 General	 Meeting,	 would	 in accordance with the Company’s articles of association vacate office at the conclusion of this meeting unless reappointed.
To consider and, if thought fit, pass the following resolutions, of which resolution 6 will be proposed as an ordinary resolution and 
resolution	 7	 will	 be	 proposed	 as	 a	 special	 resolution:	 6.	 THAT:
6.1 the Directors be generally and unconditionally authorised under section 80 of the Companies Act 1985 (the ‘Act’) to 
exercise all the powers of the Company to allot relevant securities (as defined in that section) up to an aggregate 
nominal	amount	of	£61,758.74;
6.2 this authority shall expire (unless previously revoked by the Company) on 6 December 2012;
6.3 the Company may make an offer or agreement before this authority expires which would or might require relevant 
securities	to	be	allotted	after	it	has	expired	and	the	Directors	may	allot	relevant	securities	in	pursuance	of	any	such	 offer	or	agreement	notwithstanding	that	this	authority	has	expired;	and
6.4	 all	previous	authorities	to	allot	relevant	securities,	to	the	extent	unused,	be	revoked.
7.	 THAT:
7.1	 subject	to	the	passing	of	resolution	6,	the	Directors	shall	have	the	power	under	section	95	of	the	Act	to	allot	equity	 securities (as defined in section 94 of the Act) for cash under the authority conferred by resolution 6 as if section 89(1) 
of	the	Act	did	not	apply	to	the	allotment;	 7.2	 this	power	shall	be	limited	to:
7.2.1	 the	allotment	of	equity	securities	in	connection	with	an	offer	or	issue	of	such	securities	to	holders	of	ordinary	 shares on the register on a date fixed by the Directors, whether by way of rights issue, open offer or otherwise, 	 in proportion (as nearly as practicable) to their respective holdings on that date or in accordance with the rights 
attached	to	them	but	subject	to	such	exclusions	and	other	arrangements	as	the	Directors	may	consider	 appropriate	in	relation	to	fractional	entitlements	or	any	legal	or	practical	problems	under	the	laws	of	any	territory,	 or	the	requirements	of	any	regulatory	body	or	stock	exchange;	and
7.2.2 the allotment (other than under paragraph 7.2.1 above) of equity securities having, in the case of relevant shares (as 
defined for the purposes of section 89), a nominal amount or, in the case of other equity securities, giving the right to 
subscribe	 for	 or	 convert	 into	 relevant	 shares	 having	 a	 nominal	 amount,	 not	 exceeding	 in	 aggregate	 £9,263.81;
7.3	 this	power	shall	cease	to	have	effect	when	the	authority	given	by	resolution	6	is	revoked	or	expires;	 7.4 the Company may make an offer or agreement before this authority expires which would or might require equity 
securities	to	be	allotted	after	it	expires	and	the	Directors	may	allot	equity	securities	in	pursuance	of	that	offer	or	 agreement	notwithstanding	that	the	authority	has	expired;	and
7.5 this power applies in relation to a sale of shares which is an allotment of equity securities by virtue of section 94(3A) 	 of the Act as if in paragraph 7.1 the words ‘under the authority conferred by resolution 6’ were omitted.
By	order	of	the	Board	 Katherine Lee
Company Secretary
8	October	2007
YouGov	plc
50 Featherstone Street
London EC1Y 8RT
Notice of 
Annual General Meeting Washington
New York
Palo Alto
London
Jeddah
Malmo
Stockholm
Berlin
Dubai
Vienna
Cologne
Oslo
Copenhagen
Panel
Offices
Geographic Overview
New offices in New York, Berlin, Malmo, Oslo, 
Palo Alto, Washington, Stockholm, Copenhagen, 
Cologne, Vienna and Jeddah. Relocated UK  
offices in February 2007 , quadrupling capacity  
in the process.
96  
employees 
520  
customers 
1 .5m  
total panel size 
Notes to members
1.	 A 	member	entitled	to	attend	and	vote	at	the	meeting	is	also	entitled	to	appoint	one	or	more	proxies	to	attend	and,	on	a	poll,	vote	instead	of	him.	 The	proxy	need	not	 be	a	member	of	the	Company.
2.	 T o	be	ef fective,	the	instrument	appointing	a	proxy	and	any	authority	under	which 	it	is	executed	(or	a	notarially	certified	copy	of	such	authority)	must	be	deposited	at	
the	office	of	the	Company’ s	registrars,	Neville	Registrars,	at	Neville	House,	18	Laurel	Lane,	Halesowen,	W est	Midlands	B63	3DA 	not	less	than	48	hours	before	the	
time	for	holding	the	meeting.	 A	form	of	proxy	is	enclosed	with	this	notice.	Completion	and	return	of	the	form	of	proxy	will	not	preclude	shareholders	from	attending	and	 voting	in	person	at	the	meeting.		 3.	 In	accordance	with	Regulation	41	of	the	Uncertificated	Securities	Regulations	2 001,	only	those	members	entered	on	the	register	of	members	of	the	Company	as	at	
10	a.m.	on	5	December	2007	shall	be	entitled	to	attend	or	vote	at	the	meeting	in	respect	of	the	number	of	shares	registered	in	their	name	at	that	time.	Changes	to	
entries	on	the	register	of	members	after	this	time	shall	be	disregarded	in	determining	the	rights	of	any	person	to	attend	or	vote	at	the	meeting.		 Explanation of special business at the Annual General Meeting
Resolution	6	(authority	to	allot)	proposed	as	an	ordinary	resolution	would	give	the	directors	authority	to	allot	shares	up	to	a	maximum	nominal	amount	of	£61,758.74	 representing	one	third	of	the	Company’ s	current	issued	share	capital.	 The	existing	authority	would	be	revoked	and	this	new	authority	(unless	previously	revoked	by	the	
Company)	would	expire	on	6	December	2012.
Resolution	7	(Disapplication	of	pre-emption	rights)	proposed	as	a	special	resolution,	would	renew	the	power	of	the	Directors	to	allot	shares	for	cash	as	though	the	rights	
of	pre-emption	conferred	by	section	89	(1)	of	the	 Act	did	not	apply:
a)	 in	respect	of	the	whole	of	the	authorised	but	unissued	share	capital	in	connection	with	an	offer	to	existing	shareholders	in	proportion	to	their	existing	holdings	save	 that	the	directors	are	allowed	to	offer	shares	to	existing	shareholders	otherwise	than	strictly	in	proportion	to	their	holdings	where,	for	example,	overseas	regulations	 make	it	difficult	to	of fer	shares	pro	rata	to	existing	overseas	shareholders	or	when	dealing	with	fractions	of	shares;	and
b)		 up	to	a	nominal	amount	of	£9,263.81	representing	5%	of	the	current	issued	sha re	capital	of	the	Company	(to	give	the	directors	some	flexibility	in	financing	business	
opportunities	as	they	arise).
This	power	(unless	previously	revoked	by	the	Company)	would	expire	on	6	December	2012.
51 %  
revenue growth  R
Understanding People	 Annual	 Report	 and	 Accounts	 2007
Annual	 Report	 and	 Accounts	 2007
Understanding  
People
YouGov
50	 Featherstone	 Street
London	 EC1Y	 8RT
T.		 +44	 (0)20	 7012	 6000
F.		 +44	 (0)20	 7012	 6001
www.yougov.com