Management at exhibitions and publishing specialist United Business Media (UBM) urged caution about the economic recovery with these figures, even though the events arm followed the lead set by Reed Elsevier and beat analysts' forecasts. Forward bookings for its biggest 20 trade shows grew an underlying 12 per cent in the period, with delegate income £1m higher at £17.8m. Overall, and despite flat revenues, adjusted group operating profit grew 6 per cent to £83.2m.
The events business - which includes the Jewellery and Gem Fair in Hong Kong - did particularly well in Asia, and also experienced a recovery at its US technology shows. So divisional operating profit rose 8 per cent to £40.7m. Meanwhile, the magazine arm's profits jumped 12 per cent to £3.7m after it closed four titles - reflecting the shift away from print. The data and services side saw operating profits jump 6 per cent to 20.3m, while the online business moved nearer to break even - losses there fell from £3.1m to just £500,000. UBM has also continued its acquisition spree and spent £43.5m on 12 acquisitions during the half. China now generates 16 per cent of group profits.
Numis Securities expects full-year pre-tax profits of £140.1m, giving EPS of 46.3p (2009: £165.1m/55.1p).
UNITED BUSINESS MEDIA (UBM) | ||||
|---|---|---|---|---|
| ORD PRICE: | 545p | MARKET VALUE: | £1,331m | |
| TOUCH: | 545-546p | 12-MONTH HIGH: | 580p | 366p |
| DIVIDEND YIELD: | 4.4% | PE RATIO: | 18 | |
| NET ASSET VALUE: | 152p* | NET DEBT: | 82% | |
| Half-year to 30 Jun | Turnover (£m) | Pre-tax profit (£m) | Earnings per share (p) | Net div per share (p) |
|---|---|---|---|---|
| 2009 | 435 | 59.5 | 19.9 | 6.00 |
| 2010 | 434 | 58.1 | 18.7 | 6.00 |
| % change | - | -2 | -6 | - |
Ex-div:25 Aug Payment:14 Oct *Includes intangible assets of £993m, or 407p per share | ||||
