Reed Elsevier records hike in profits and revenues

Publishing and events group Reed Elsevier reported a rise in revenues for 2012, driven by volume growth, new products and expansion in lucrative markets.

Publishing and events group Reed Elsevier reported a rise in revenues for 2012, driven by volume growth, new products and expansion in lucrative markets.

Revenue came to £6.1bn for the year to December 31st, up 2.0% from £6.0bn in 2011. Adjusted pre-tax profit grew 8.0% to £1.4bn for the period while adjusted operating profit jumped 5.0% to £1.7bn.

Reed also reduced its net debt by £0.3bn to £3.1bn.

During the year the group acquired small content and data assets including EDIWatch, Atira and Alcantara Machado, the leading exhibitions organiser in Brazil.

The company recommended an ordinary dividend of 23.0p per share, a 7.0% increase from 21.5p the previous year.

"In 2012 we made good progress on our strategy to systematically transform our business into a professional information solutions provider that combines content and data with analytics and technology in global platforms," said Chief Executive Officer Erik Engstrom.

"We continued to do this primarily through organic development, with acquisitions limited to small content and data assets across markets and assets in high growth geographies.

"We also accelerated the evolution of our portfolio by disposing of businesses that no longer fit our strategy, using the proceeds to buy back shares. As a result of these actions we are continuing to improve the quality of our earnings, to deliver more predictable revenues, a higher growth profile, and improving returns."

He also said while the outlook for the the macro environment and its impact on customer markets is mixed, the company has entered 2013 with positive momentum and expects another year of underlying revenue, profits and earnings growth.

Shares rose 1.57% to 710.00p at 08:09.

RD

Recommended

Broker safety – your questions answered
Investment strategy

Broker safety – your questions answered

Cris Sholto Heaton answers more of your questions about the safety of stockbroker accounts
25 Mar 2020
How demographics affects stock valuations
Investment strategy

How demographics affects stock valuations

New research suggests that stock and bond valuations are driven by the age of the population – at least in the US.
24 Feb 2020
Do you own shares in Sirius Minerals? Here’s what you need to do now
Stocks and shares

Do you own shares in Sirius Minerals? Here’s what you need to do now

Mining giant Anglo American has proposed a cash takeover of Yorkshire-based minnow Sirius Minerals. Unhappy shareholders must decide whether to accept…
20 Feb 2020
Why investors should be “cautiously bullish” for 2020
Stockmarkets

Why investors should be “cautiously bullish” for 2020

Analysts have been out in force making rosy predictions for stockmarkets in 2020, but while there is certainly a case for optimism, investors should r…
17 Jan 2020

Most Popular

Here’s why you really should own at least some bitcoin
Bitcoin

Here’s why you really should own at least some bitcoin

While bitcoin is having a quiet year – at least in relative terms – its potential to become the default cash system for the internet is undiminished, …
16 Sep 2020
Will a second wave of Covid lead to another stockmarket crash?
Stockmarkets

Will a second wave of Covid lead to another stockmarket crash?

Can we expect to see another lockdown like in March, and what will that mean for your money? John Stepek explains.
18 Sep 2020
James Ferguson: How bad data is driving fear of a second wave of Covid-19
UK Economy

James Ferguson: How bad data is driving fear of a second wave of Covid-19

Merryn and John talk to MoneyWeek regular James Ferguson about the rise in infections in coronavirus and what the data is really telling us.
17 Sep 2020