19th May 2022 12:12
(Alliance News) - Euromoney Institutional Investor PLC on Thursday reported healthy interim revenue growth, on increased events revenue, but a sharp fall in profit on higher costs.
The London-based financial information publisher and events organiser posted a pretax profit of GBP7.6 million in the six months to March 31, down 51% from GBP15.4 million in the same period a year before.
This is due to administrative expenses & distribution costs that rose 19% to GBP117.9 million from GBP99.0 million and exceptional items charges of GBP20.3 million, more than doubled from GBP8.0 million, related to property rationalisation costs.
Meanwhile, revenue grew 19% year-on-year to GBP184.6 million from GBP155.5 million.
The FTSE 250 listed credited this to events revenue that was up 59% in the first half. Further, it reported substantial revenue growth in its biggest division, Financial & Professional Services. It represents 44% of group revenue. Revenue grew 37% to GBP79.8 million from GBP58.3 million in this unit.
"Fastmarkets and Financial & Professional Services subscriptions grew strongly driven by increasing demand for our actionable data, analysis and intelligence," Chief Executive Andrew Rashbass said.
Euromoney declared an interim dividend of 6.1 pence per share, reflecting a 7.0% increase from 5.7p.
Euromoney Institutional said it expects its full-year results to be ahead of previous expectations. Further, it expects "significant" revenue and margin growth in the period to 2025.
This includes a high single to double-digit underlying revenue compound annual growth rate from 2022 to 2025 and a "significant" improvement in adjusted operating profit margin to the mid to high 20s by 2025.
"We have entered the second half with confidence. While we are mindful of the macro and geopolitical landscape, our specialist businesses are performing well and we expect results for the full year to be ahead of the board's previous expectations. Our confidence in our business supports a new medium-term outlook, targeting strong growth and a mid to high-20s operating margin by 2025," Rashbass added.
National Grid shares were trading 1.4% higher at 1,050.00 pence each in London on Thursday midday.
By Abby Amoakuh; [email protected]
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