Reed momentum continues in first quarter

Publishing and events group Reed Elsevier reported that good momentum has continued through the first quarter and that growth was in line with last year.

Publishing and events group Reed Elsevier reported that good momentum has continued through the first quarter and that growth was in line with last year.

The group's dominant scientific, technical and medical arm is on track to deliver another year of 'modest' growth, but the legal arm, second largest by revenue in 2012, sees limited scope for growth with customer markets subdued.

Good growth is expected in both risk solutions and business information units, although some uncertainty continues to dog the former.

The exhibitions division, the smallest by sales in 2012, is in a cycling-out year with fewer biennial shows so despite 5-6% lower revenues, good growth is expect in US and Japan to compensate for a weak Europe.

Reed stated that it continued to make good progress on its strategy to transform the business into a "professional information solutions provider" and to improve the quality of earnings through organic development, with the portfolio also continuing to evolve through several acquisitions and disposals already so far in the three months to the end of March.

With cash generation strong, so far £181m of the promised £400m of share buybacks have been completed, with balance sheet further improved with the replacement of high coupon debt with a new bond issue.

OH

Recommended

Avoid easyJet shares – there are better airlines to invest in
Share tips

Avoid easyJet shares – there are better airlines to invest in

EasyJet used to be one of Europe’s most impressive airlines. But now it is facing challenges on all fronts and losing out to the competition. Rupert …
16 May 2022
Britain’s ten most-hated shares – w/e 13 May
Stocks and shares

Britain’s ten most-hated shares – w/e 13 May

Rupert Hargreaves looks at Britain's ten-most hated shares, and what short-sellers are looking right now.
16 May 2022
Anna Macdonald and Mikhail Zverev: Investing in innovative new frontiers
Investment strategy

Anna Macdonald and Mikhail Zverev: Investing in innovative new frontiers

Merryn talks to Anna Macdonald and Mikhail Zverev of Amati about investing in growth-focused innovation in the teeth of a tech-stock selloff, and the …
12 May 2022
BT is making progress and the dividend is back – but is it time to buy yet?
Share tips

BT is making progress and the dividend is back – but is it time to buy yet?

Investors in telecoms giant BT have seen dismal returns over the last 15 years. But there are signs that it is starting to turn things around, says Ru…
12 May 2022

Most Popular

Get set for another debt binge as real interest rates fall
UK Economy

Get set for another debt binge as real interest rates fall

Despite the fuss about rising interest rates, they’re falling in real terms. That will blow up a wild bubble, says Matthew Lynn.
15 May 2022
High inflation will fade – here’s why
Inflation

High inflation will fade – here’s why

Many people expect high inflation to persist for a long time. But that might not be true, says Max King. Inflation may fall faster than expected – and…
13 May 2022
What the Ukraine crisis might mean for ESG investing
Advertisement Feature

What the Ukraine crisis might mean for ESG investing

The Ukraine crisis has brought many of the issues around ESG investing into sharper focus. Where does the sector go from here?
3 May 2022