According to UBM plc:
Highlights
* Transformational steps taken during 2015:
o PR Newswire (PRN) disposal for $841m announced
o Advanstar acquisition – integration progressing well with a first year return on investment of 10.3%, ahead of acquisition case
* Excellent progress with ‘Events First’ strategy implementation:
o Margin-enhancing portfolio rationalisation
o Invested in three bolt-on event acquisitions
* Continuing revenue up 39.9% principally reflecting Advanstar acquisition
o Events revenue growth (on an underlying basis and adjusted for rationalisation) of 3.9%
o ‘Major’** annual events, our principal area of focus, grew 5.0%
o Strong odd-year biennial performance with revenues of £48.6m (2014: £21.3m)
o OMS revenue (on an underlying basis and adjusted for rationalisation) down 4.8% as expected
* Continuing adjusted operating profit* margin up 1.1%pts to 25.6%
* Strong cash conversion of 107%; net debt reduced to 1.8 times EBITDA
Tim Cobbold, Chief Executive Officer, commented: “UBM has taken significant steps in its transformation in 2015. We’ve integrated Advanstar, announced the sale of PRN, successfully begun implementing ‘Events First’ and delivered an operational performance ahead of expectations. Looking forward, UBM is now a focused business with more than 82% of revenues derived from events across a range of industry verticals and geographies."
“The Board expects continued good growth (excluding the impact of biennials and ongoing portfolio rationalisation) although it remains conscious of the global macroeconomic uncertainty. It also expects further margin progress although this will be offset by the even-year biennial effect.”
“Our ‘Events First’ strategy will deliver growth, margin and, we believe, create the best platform in the industry.”
