Informa reiterates full-year guidance as business information improves

20th Oct 2015 08:17

(ShareCast News) - Informa reported revenue growth of 6.9% in the nine months to the end of September thanks to the publishing, data and events group's "consistent performance", allowing management to reiterate full-year expectations.The FTSE 250 company said it achieved organic growth of about 2% after adjusting for the impact of events phasing, which reflects the absence of two major non-annual exhibitions and the movement of certain large conferences from the third to the fourth quarter.Informa said trading conditions continue to vary by region, with good strength in North America and the UK, which now represent around 60% of group revenue. However, it pointed to volatility across part of Europe, Latin America and Asia, reflecting a variety of challenges including currency weakness, political unrest and wider macro uncertainty.By market, the company said it was seeing growing and strong demand for exhibitions, as the value of face-to-face media continues to rise. Similarly, the market for specialist information services that support decision-making and efficiency remains strongInforma said the academic publishing market remains robust with consistent demand for high quality specialist academic content, albeit with some ongoing softness in the US medical books market.Business Information showed a much reduced third-quarter fall of 1.7% versus the 3.5% decline in the first half, and is expected to halve the 8.5% decline seen last year.The company said there was continued progress in implementing its growth acceleration plan, with close to 20 projects now underway and an estimated spend of £70m-£90m unchanged.Chief executive Stephen A Carter said: "Informa's continued and improving operational performance and ongoing progress in the implementation of our growth acceleration plan positions the group to deliver the improvements in operations and earnings targeted for 2015."Analysts at broker Peel Hunt said that academic looked flat in the third quarter but in line with previous guidance, but that "the hope that phasing will boost Q4 is a small concern to us". On Business Information, it said: "Watch out however for a weaker Q4 as one off sales fall away in line with the increased emphasis on subscription."At 0828 BST, Informa shares were up 1.3% at 7.89p.