UBM’s trading update:
UBM has performed in line with management expectations and the outlook for the full year is unchanged.
The largest events continue to drive performance, most notably Game Developers Conference, MAGICVegas, Enterprise Connect, MD&M West and Hotelex/FineFoods. As previously indicated, Ecobuild revenue declined owing to the challenges facing the UK solar industry and some smaller shows, particularly in the jewellery sector, are seeing some weakness. Other Marketing Services performed in line with expectations. The Advanstar business continues to perform ahead of its acquisition case.
Further progress has been made implementing the strategy with the first events transitioning onto the new Customer Relationship Management (CRM) platform and procurement savings on target. Integration of the recent Business Journals Inc acquisition is underway.
PR Newswire performed in line with expectations during the period. On 12 May UBM noted that Innodata Inc has agreed to acquire the assets and rights to PR Newswire’s Agility business. The sale of Agility is contingent on completion of the sale of PR Newswire to Cision, which remains subject to Hart-Scott-Rodino antitrust clearance in the US and the satisfaction of other customary closing conditions.
During the period UBM paid £17.5m to Axio Data Group Holdings to settle the warranty claim in relation to the sale of the Delta businesses in 2013.
