UBM reports record earnings in 2011

UBM, the FTSE 250 events, marketing and publishing group, saw earnings per share (EPS) rise to a record 56.8p in 2011, helped by strong growth in Events and Online Marketing Services.

The group's strong performance has prompted the board to raise its final dividend by 1p to 20p per share, resulting in a record dividend of 26.3p per share for the year, up from 25p before.

Total revenues rose by 9.3% in the 12 months to December 31st, from £889.2m to £972.3m, helped by revenues at its Events division, UBM's largest, which increased by 28% to £396.9m (+14.6% on an underlying basis).

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As part of the group's strategy, it was able to increase its exposure to fast-growing economies, with emerging markets revenues accounting for 21.3% of total group sales, up from 18.7% the year before.

Meanwhile, Marketing Services revenues in Print slumped 22.2% during the year to £112.1m, as the group continues to shift into Online, a division which saw revenues jump 27.9% to £88.5m.

"Our Marketing Services businesses...continue to develop well, with the combined effects of continuing strong digital growth and print disposals likely to result in online revenues outstripping print revenues in 2012," Chief Executive Officer David Levin said.

Pre-tax profit fell from £115.5m to £102m during 2011, after the group took a financing expense worth £20.9m. Excluding exceptionals, pre-tax profit increased from £126.4m to £139.7m. Fully diluted adjusted EPS increased by 13.1%, or 6.6p, to 56.8p.

"An outstanding performance from our Q4 biennial events capped off a year of consistent delivery in which all our businesses met or exceeded their targets for the year," Levin said.

Cash generated from operations jumped 31.7% to £203.7m.

BC