Slide 1: 2011 Half Year Results
Informa Bringing Knowledge to Life 2011 Half Year Results Peter Rigby Adam Walker 26 July 2011 1
Slide 2: Half Year Highlights
Half Year Highlights Good set of results Subscription based publishing resilient and growing Large scale events growing well Emerging market growth Strategic acquisitions completed 2
Slide 3: History of Growth and Value Creation
History of Growth and Value Creation Rights Issue Source BAML July 2011 3
Slide 4: Strategic Cornerstones
Strategic Cornerstones New products & organic growth High quality subscription revenue Digital excellence Emerging market growth Resilient events 4
Slide 5: Organic Growth 2011
Organic Growth 2011 Publishing • 1,445 new books published • 97 new subscription products • 13 newly launched Academic journals • AI revenue growth of 11% in emerging markets Geo Cloned Events • 9 new exhibitions launched (6 geo-clones) • Super Return • Anti-ageing Aesthetics • Health and Hospital B
Slide 6: Growth through Acquisition
Growth through Acquisition and more ... 6
Slide 7: Growth through Acquisition
Growth through Acquisition Brasil Trade Shows • Total consideration £62.5m • 12 exhibitions • Food and food technology vertical Informa annualised food sector revenue £51m 7
Slide 8: Growth through Emerging Markets
Growth through Emerging Markets H1 2011 H1 2010 2010 2009 H1 Revenue from 16% 13% 12% 11% Emerging Markets Geo Cloning Rev Growth (ex Ipex) Brazil 251% Russia 50% India 51% China 6% 8
Slide 9: Quality and Resilience
Quality and Resilience 75% of publishing revenues delivered digitally (2005: 47%) Over 35,000 digital books available (+17%) High subscription renewal rates 69% of publishing revenue from subscriptions (2010 H1: 67%) Continual margin increase H1 2011 H1 2010 H1 2009 Operating Margin % 25.1 24.5 23.0
Slide 10: Quality and Resilience
Quality and Resilience Psyc Ps ychology Press Taylor & Francis Group L iMoney\\ct Cit ne Intelligence Solutions BROADBAND <LDFORUM2010 Routledge & W Taylor & Francis Group WV. MIDDLE EAST <7 ELECTRICITY CED , International 2012 WORLO PHARMACEUTICAL NEWS informa 4 aa." global markets ABES ershij NORD
Slide 11: Quality and Resilience
Quality and Resilience Launch & innovation of the year – SIPA awards Social Media Innovation of the year - SIPA awards Best tradeshow exhibition – June 2011 Best New Conference Launch - June 2011 Britain’s Top Employers - March 2011 Top 20 Training Content Development Companies 2011 11
Slide 12: Financial Highlights
Financial Highlights Organic revenue growth of 3.1% (ex IPEX) Adjusted organic operating profit growth of 5.1% (ex IPEX) Adjusted operating profit margin increased to 25.1% (24.5%) Adjusted EPS up to 6% to 17.7p Dividend increased by 11% to 5.0p 12
Slide 13: Income Statement
Income Statement H1 2011 H1 2010 £m £m Revenue 634.8 624.0 Adjusted operating profit 159.1 152.7 Amortisation -63.9 -61.5 Other adjusting items -7.3 -5.5 Interest (net) -20.0 -19.3 Tax -32.7 -33.4 Profit for the period 106.4 100.0 13
Slide 14: Divisional Summary
Divisional Summary Organic H1 2011 H1 2010 Actual Organic (Ex IPEX) Revenue £m £m % % % Academic 145.1 141.5 2.5 5.1 Information PCI 181.6 178.5 1.7 3.3 Events and 308.1 304.0 1.3 -3.7 2.0 Training Total 634.8 624.0 1.7 0.3 3.1 Actual Organic Adjusted OP H1 H1 % % Academic 47.0 45.5 3.3 5.5 Informat
Slide 15: Event & Training Evolution
Event & Training Evolution 15
Slide 16: Operating Cash Flow
Operating Cash Flow H1 2011 H1 2010 £m £m Adjusted operating profit 159.1 152.7 Depreciation 3.2 3.8 Software amortisation 6.5 7.3 Share based payments 1.6 0.9 EBITDA 170.4 164.7 Net capital expenditure -11.5 -11.9 Working capital movement -70.2 -54.1 Operating cash flow 88.7 98.7 16
Slide 17: Net Funds Flow
Net Funds Flow H1 2011 H1 2010 £m £m Operating cash flow 88.7 98.7 Restructuring and reorganisation cash flow -5.3 -6.8 Net interest -22.5 -18.6 Taxation -6.8 -25.9 Free cash flow 54.1 47.4 Acquisitions less disposals -103.0 -17.0 Dividends -57.1 -48.0 Net issue of shares 0.2 4.1 Net funds flow -105
Slide 18: Quality of Earnings
Quality of Earnings Improvement in adjusted operating margin Booked and deferred income 70% of FY expected revenues Deferred income up 8% Robust renewal rates 18
Slide 19: Outlook
Outlook Global economic environment uncertain Integration of recent acquisitions Datamonitor / IBI integration Subscription products / emerging markets Confidence around full year outlook 19
Slide 20: Appendices
Appendices e informa bringing knowledge to life
Slide 21: Balance Sheet
Balance Sheet June 2011 June 2010 £m £m Intangibles and Goodwill 2,850.6 2,842.9 Fixed Assets 19.6 18.1 Other Non-Current Assets 5.5 31.9 Current Assets 279.4 273.2 Other Current Liabilities -664.4 -619.1 Net Debt -877.7 -905.7 Other Non-Current Liabilities -215.5 -256.9 1,397.5 1,384.4 21
Slide 22: Tax
Tax Effective tax PBT Tax Charge rate £m £m % Tax on adjusted results 139.1 32.7 23.5 Adjusted for: Intangible asset amortisation -63.9 -15.8 Other adjusting items -8.7 -2.1 Deferred tax credit arising from UK corporation 0.0 -3.5 tax rate change Tax on statutory profit 66.5 11.3 17.0 22
Slide 23: Foreign Currency
Foreign Currency YTD Average Rates Closing Rates 2011 2010 H1 2011 H1 2010 USD 1.62 1.53 1.60 1.50 EUR 1.14 1.15 1.10 1.22 23
Slide 24: Revenue Distribution
Revenue Distribution Revenue by Type Revenue by Customer Location 5% 4% 2% @ Subscriptions @ Delegates @ United Kindom Copy sales @ North America @ Exhibition Continental Europe l@ Sponsorship @ Rest of World @ Consulting @ Advertising informa bringing knowledge to life
Slide 25: Deferred Income
Deferred Income H1 2011 H1 2010 Growth Organic £m £m % % Events 93.6 77.1 21 9 Publishing 183.1 178.1 3 4 Total Deferred Income 276.7 255.2 8 5 25
Slide 26: Operating adjusting items
Operating adjusting items 2010 2010 £m £m Restructuring 6.4 - Impairment - 5.0 Acquisition costs 1.0 0.5 Remeasurement of contingent consideration -0.1 - Intangible amortisation 63.9 61.5 Total 71.2 67.0 26