According to Informa plc:
2015 – A Year of Progress and Performance
KEY FINANCIAL HIGHLIGHTS
* Accelerating Revenue Growth: +6.6% to £1,212.2m (2014: £1,137.0m), +1.0% organic
* Strong Adjusted Operating Profit growth: +9.5% to £365.6m (2014: £334.0m)
* Higher Statutory Profit before Tax: £219.7m (2014: Statutory loss of £31.2m)
* Growth in Adjusted Earnings per Share: +4.6% to 42.9p (2014: 41.0p)
* Increased Dividend: up 4.1% to 20.1p (2014: 19.3p)
* Improving Free Cash Flow: +30% to £301.1m (2014: £232.5m)
* Robust Balance Sheet: Net debt/EBITDA 2.2 times (2014: 2.2 times)
This financial performance was combined with continued progress in the implementation of the 2014-2017 Growth Acceleration Plan (“GAP”), designed to enhance capabilities and stimulate growth across the Group:
* Progress - significant operational and financial momentum through GAP:
o Portfolio Management: Increased focus at Business Intelligence and Knowledge & Networking through selective disposals, latterly our Russian conference business;
o Investment: More than 20 GAP organic initiatives launched, with over £25m deployed; margin impact offset by trading momentum and strong acquisition returns;
o Operating Structure: Improved performance in Business Intelligence and operational progress in Knowledge & Networking following introduction of new operating model; simplified structure also launched in Academic Publishing;
o Acquisition Strategy: Returns enhanced by targeted US expansion and strengthened capability in execution and integration; North America now 42% of Group revenue;
o Funding: Improved operating performance, combined with discipline on working capital and cash management leads to increase in minimum Dividend growth commitment from 2% to 4% in 2016 and 2017, the last two years of GAP.
* Performance – improving trading trends in all four Operating Divisions:
o Global Exhibitions: Double-digit revenue growth following robust underlying performance and improved returns from US expansion;
o Academic Publishing: Consistent revenue growth reflecting focus on Upper Level Academic Market and continued investment in content and technology; o Business Intelligence: Return to positive organic revenue growth in the fourth quarter amid greater focus on subscription renewals and key customer management;
o Knowledge & Networking: Streamlined operating structure, improved capabilities and increased focus drives improving trend through year-end.
Stephen A. Carter, Group Chief Executive, said: “Informa made significant progress in 2015. We have delivered growth in Revenues, Earnings, Free Cash Flow and Dividends, whilst investing for future capability and further growth. Our results reflect the benefits of the Growth Acceleration Plan, our cost discipline and the effective integration and operation of recently acquired businesses.”
He added: “Our ambitions for 2016, Year Three of the Growth Acceleration Plan, are to remain highly disciplined in the continued delivery of that programme, while continuing to expand the scale and quality of our businesses in North America and in the wider Exhibitions market. We anticipate a further period of earnings and cash flow growth in 2016, including a full year of positive organic revenue growth in Business Intelligence.”
He concluded: “For Informa, 2015 was a year of both Progress and Performance. Our ambition for 2016 is for it to be a year of Disciplined Delivery.”
