According to Informa:
Growth Acceleration Plan continues following delivery of improved earnings, increased dividends and stronger cash flow in 2014.
Financial Performance
* Group revenue increased to £1,137m (2013: £1,130m)
* Adjusted operating profit consistent at £334.1m (2013: £334.7m)
* Adjusted diluted EPS ahead at 40.3p (2013: 40.1p)
* Free cash flow strong at £232.5m (2013: £207.8m)
* Total dividend per share increased by 2% to 19.3p; final dividend of 12.9p (2013: 18.9p)
* Non-cash impairment of £219m leads to statutory pre-tax loss of £31.2m (2013: £115.4m profit)
Operational Performance
* 2014-2017 Growth Acceleration Plan (“GAP”) launched and implementation underway
* Strong organic growth in Global Exhibitions with revenues up 18.9%; expanding US presence
* Differentiated operating model delivering consistent organic growth in Academic Publishing
* Organic decline demands increased market and customer focus in Business Intelligence
* New management at Knowledge & Networking pursuing community engagement model
* Full portfolio review leads to exit from conference businesses and Chinese Pharma investment
* Balance sheet write down of underperforming Datamonitor information assets acquired in 2007
* Refinanced balance sheet, net debt / EBITDA ratio within target range of 2.0 to 2.5 times
Informa, the leading Business Intelligence, Knowledge and Events group, today reported adjusted operating profits of £334.1m on revenues of £1,137.0m for the 12 months to 31 December 2014, following a strong performance in its Global Exhibitions and Academic Publishing businesses and the launch of a comprehensive Growth Acceleration Plan designed to deliver growth and higher returns across all the Group businesses.
Stephen A. Carter, Group Chief Executive, said: “These results, achieved against significant currency headwinds, deliver on our promise of improved earnings, increased dividends and stronger cash flow in 2014”.
“To have achieved this outcome whilst implementing the first phase of our Growth Acceleration Plan – which included a new operating structure, balance sheet refinancing and several targeted acquisitions - is a testament to the quality of our people, improved operating discipline and a growing international presence. The underlying business performance, combined with initial momentum from our growth strategy, underpins the proposed increase to the final dividend.”
He added: “In 2014, we conducted a detailed portfolio review, leading to increased focus and simplification of our business operations. A review of our balance sheet has also led to the write down of certain underperforming Datamonitor assets. Following a year of Measured Change, we are now focused on accelerating growth in all four Operating Divisions. Assuming current exchange rates persist, in 2015 we intend to deliver another year of adjusted EPS growth alongside our commitment to further dividend growth and over £30m of investment into the Growth Acceleration Plan.”
Under the Growth Acceleration Plan, the Group’s simplified operating model will be fully implemented in 2015, led by strengthened Executive and Divisional Management teams and supported by a targeted investment programme across the Group. The Group will also continue with its disciplined acquisition strategy, accompanied by pro-active portfolio management, which may lead to the sale of the Consumer information and forecasting assets in 2015.
