19th Nov 2015 07:59
LONDON (Alliance News) - Euromoney Institutional Investor PLC Thursday announced a new board structure, spurred by a strategic review from recently appointed Executive Chairman Andrew Rashbass, who will now become the company's chief executive officer, as it reported a fall in adjusted pretax profit for its full year.
Rashbass, who took up the role of executive chairman at the beginning of October, has proposed that the company have a more traditional board structure, including the appointment of an independent non-executive chairman and creating the role of chief executive officer.
Senior non-executive director John Botts will serve as the company's interim non-executive chairman whilst the company seeks a new independent non-executive chairman, at which point Botts will return to his previous role.
For the full year to end-September the company reported a pretax profit of GBP123.3 million, up from GBP101.5 million a year before, boosted by exceptional gains from the company's sales of its interests in Capital DATA and Capital NET, as well as a number of print-based newsletters, magazines and some freehold and leasehold properties as part of the relocation of its London offices.
On an adjusted basis, stripping out amortisation and other exceptional items, pretax profit fell to GBP107.8 million from GBP116.2 million, on revenue of GBP403.4 million, down 1% from GBP406.6 million, in line with guidance the company gave in September.
The company said that trading had remained difficult, particularly in investment banking, which was compounded by weakness in the commodities sector. However, its asset management businesses remained "robust" throughout the year.
Euromoney said its first quarter has started "as expected", with challenging market conditions seen in the second half of its financial year 2015 continuing. It expects these conditions to continue "for the forseeable future".
Euromoney proposed a final dividend of 16.40 pence, taking its total dividend for the year to 23.40 pence, up from 23.00 pence a year before.
"Today's results reflect the strong headwinds, both cyclical and structural, facing many of our customers and our businesses. But they also show areas of real strength, for example around our asset-management-related businesses," Rashbass said in a statement.
"Following the completion of the strategy review which I am leading, we shall present an update to investors in early 2016. My initial impressions are that more active management of our portfolio and allocating our capital rigorously towards the best opportunities will allow us to grow existing businesses and invest in new areas too," Rashbass added.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
Copyright 2015 Alliance News Limited. All Rights Reserved.
Related Shares:
ERM.L