Revenue down at Informa

Specialist business publisher and events organiser Informa said revenue was down across the first nine months of the year but it was trading in line with expectations.

Specialist business publisher and events organiser Informa said revenue was down across the first nine months of the year but it was trading in line with expectations.

In a trading update the firm said nine month organic revenue was down 2% on the previous year due to the effects of the tough trading environment.

However, the company said the visibility and resilience of its cashflow remained strong and it was on track to report another year of 100% cash conversion.

This should leave Informa's leverage ratio well within its target range of 2.0 to 2.5x net debt to EBITDA, even after recent bolt-on activity, the firm said.

The company said total revenue in its Academic Information business was up 5.5% over there period, with like-for-like revenue up 2.2%.

Professional and Commercial Information was hit by tough trading and asset sales, with revenues dropping 4.7%.

Its Events and Training arm was down 2.6% after nine months, with small conferences in Europe hit hardest.

The company put the weakness in corporate training down to a lack of corporate confidence, particularly in the US, where the Presidential election was further discouraging companies from committing to new projects in the short-term.

It also noted that a recent strengthening of Sterling against the US Dollar and the Euro was unhelpful to its reported financial results as most of its earnings were made overseas.

However, Informa said the current environment meant it could pick up high quality assets relatively cheaply.

"We are well placed, both strategically and financially, to capitalise on this trend through selective bolt-on acquisitions," the firm said.

"While these are likely to continue to be relatively small-scale, the pipeline is healthy."

Recommended

Britain’s ten most-hated shares – w/e 9 August
Stocks and shares

Britain’s ten most-hated shares – w/e 9 August

Rupert Hargreaves looks at Britain's ten most-hated shares, and what short-sellers are looking at now.
10 Aug 2022
Aviva: One for income investors to tuck away
Share tips

Aviva: One for income investors to tuck away

Insurance giant Aviva is one of the highest yielding stocks in the FTSE 100 – and it’s cheap, too, making it a tempting target for income investors. R…
10 Aug 2022
Director dealings w/e 5 August: what company insiders are buying and selling
Stocks and shares

Director dealings w/e 5 August: what company insiders are buying and selling

Directors’ share dealings can often give investors an insight into the sentiment of company insiders. Here are some of the biggest deals by company di…
9 Aug 2022
Britain’s most-bought shares w/e 5 August
Stocks and shares

Britain’s most-bought shares w/e 5 August

A look at Britain’s most-bought shares as of 5 August, providing an insight into how investors are thinking and where opportunities may lie.
9 Aug 2022

Most Popular

Are UK house prices finally heading for a crash?
House prices

Are UK house prices finally heading for a crash?

The latest house price figures show a fall of 0.1% in July. With interest rates rising, inflation hitting double figures and a recession on the cards,…
5 Aug 2022
Brace yourself for the return of rationing
Economy

Brace yourself for the return of rationing

Russia is turning off the cheap energy. That is already leading to belt-tightening, says Matthew Lynn. Who will suffer most, and which sectors will th…
5 Aug 2022
Fear of missing out – what should investors do now?
Investment strategy

Fear of missing out – what should investors do now?

Markets have rallied from their mid-June lows. But if you missed out, as most investors did, what should you do now? Max King explains.
8 Aug 2022