Informa Plc · LSE:INF
Informa — Corporate Update (April 2020)
27 slides from Informa's corporate update, Apr 16, 2020
Slide 1: Stability & Strength: 2020 COVID-19 Action Plan
Stability & Strength 2020 COVID-19 Action Plan April 2020 www.informa.com
Slide 2: Disclaimer
Disclaimer This document is not for release, publication or distribution (in whole or in part), directly or indirectly and does not constitute an offer of securities for sale, in, into or from the United States (including its territories and possessions, any state of the United States and the Distri
Slide 3: Stability & Strength to the Other Side of the COVID-19 Global Pandemic
STABILITY & STRENGTH TO THE OTHER SIDE OF THE COVID-19 GLOBAL PANDEMIC COVID-19 COVID-19 Market Disruption Informa Action Plan • Temporary control measures • Attractive, growing information markets • Lean into strength of subscriptions- • Temporary travel restrictions • International reach & balance
Slide 4: Fast & Targeted Response to COVID-19, Six Consecutive Years of Growth
2019 Full Year Results on 10 March Fast & Targeted Response to COVID-19, Six Consecutive Years of Growth with early 2020 impacts LEADERSHIP TEAM FOCUSED ON LONG-TERM MARKET, BRAND & CUSTOMER VALUE Informa: Stability & Strength 4
Slide 5: The COVID-19 Pandemic
The COVID-19 Pandemic COVID-19 Market Realities Gradual & Phased Return in China • Scale and breadth of COVID-19 pandemic more far • Phased Return: COVID-19 Emergency Response Levels reaching than initially thought and control measures being eased gradually • Region by Region: Pace of exit varies by
Slide 6: Q1 2020 Trading Update: Steady Performance
Q1 2020 Trading Update: Steady Performance • Subscriptions-related businesses (c.35% revenue) performing well: • Resilient and predictable performance • Strong renewal rates and steady new business at Informa Intelligence, with particular strength in Pharma • Consistent performance at Taylor & Franc
Slide 7: Enhanced COVID-19 Action Plan
Enhanced COVID-19 Action Plan • Fast and targeted action through launch of COVID-19 Action Plan in January MANAGEMENT ACTIONS • Enhanced Cost Management Measures delivering annualised direct/indirect savings of £130m+ • Enhanced Financing Control Measures, including temporary Dividend suspension & U
Slide 8: 2020 COVID Outlook: The Operating Case & The Vigilant Case
2020 COVID Outlook: The Operating Case & The Vigilant Case1 2020 COVID 2020 COVID THE OPERATING CASE THE VIGILANT CASE (“Base Case”) (“Downside Case”) The Operating Case assumes a phased and The Vigilant Case assumes a more prolonged gradual return for our Events brands: return for our Events brands
Slide 9: COVID Operating Model: Vigilant Case Impact
COVID Operating Model: Vigilant Case Impact Domestic Exhibitors Int’l Exhibitors Region (% of H2 Rev) Mar Apr May Jun Jul Aug Sep Oct Nov Dec Mainland China 2020 THE VIGILANT CASE (10%+) (“Downside Case”) Hong Kong (<10%) Zero events until October Singapore (<5%) Rest of ASEAN Total Revenue Reductio
Slide 10: COVID Operating Model: Vigilant Case Impact
COVID Operating Model: Vigilant Case Impact Early Jan 2020 THE VIGILANT CASE Versus 2019 2019 “Downside Case” Reported 2020 THE 2020 Actual VIGILANT CASE Consensus1 Events already cancelled: (“Downside Case”) £150m+ Revenue reduction Group Revenue £2,890m £2,915m Further Events assumed to be cancell
Slide 11: Updated COVID-19 Action Plan: Targeted response
Updated COVID-19 Action Plan: Targeted response COVID-19 ACTION PLAN Prioritise Colleagues, Brands, Customers & Markets Strict adherence to Government and health authority guidance Targeted Measures supporting near-term pressure created by COVID-19, protecting long-term strength and value 1. Financi
Slide 12: Financing Control Measures: Extended
1 Financing Control Measures: Extended COVID-19 ACTION PLAN 1. FINANCING CONTROL MEASURES Temporary Dividend Covenant Waiver Liquidity Backstop Equity Support Suspension • Withdrawal of 2019 Final • Constructive discussions with • Surplus Committed Credit Facility • Proposed c£1bn equity issue to Di
Slide 13: Long-term balance sheet strength
1 Long-term balance sheet strength Pro-forma debt maturity as at 31 Dec 2019 (£m)1 Balanced mix of secure, long-term funding 1000 900 Substantial liquidity & cash 800 (£2.3bn+ headroom post placing) 700 600 No No near-term debt maturities 500 Maturities 400 until 2022 Resilient Subscriptions cash fl
Slide 14: COVID Operating Model: Vigilant Case Impact
COVID Operating Model: Vigilant Case Impact Early Jan 2020 THE VIGILANT CASE Versus 2019 2019 (“Downside Case”) Reported 2020 THE 2020 Actual VIGILANT CASE Consensus1 Events already cancelled: (“Downside Case”) £150m+ Revenue reduction Group Revenue £2,890m £2,915m Further Events assumed to be cance
Slide 15: Strength & Opportunities in a Post-COVID-19 World
Strength & Opportunities in a Post-COVID-19 World PENT-UP DEMAND A POST-COVID EXHIBITIONS INDUSTRY • Trade & Commerce: Exhibitions provide a highly efficient • Bio-Security: Enhanced hygiene measures likely to become platform for transactions and trade standard practise eg mobile data screening, on-
Slide 16: Pent-Up Demand & the Power of Major Tradeshow Brands
Pent-Up Demand & the Power of Major Tradeshow Brands The postponement of Vitafoods Europe Preparations for Jewellery & Gem World Hong Kong in September – the biggest was amongst the most acute indicators Cash collections across all of Informa’s and most important marketplace of its kind in the world
Slide 17: Stability & Strength to the Other Side of the COVID-19 Pandemic
STABILITY & STRENGTH TO THE OTHER SIDE OF THE COVID-19 PANDEMIC COVID-19 COVID-19 Market Disruption Informa Action Plan • Temporary control measures • Attractive, growing information markets • Lean into strength of subscriptions- • Temporary travel restrictions • International reach & balance (China
Slide 18: Appendix
Appendix Informa: Stability & Strength 18
Slide 19: Cost Management Measures: Extended
2 Cost Management Measures: Extended COVID-19 ACTION PLAN 2. COST MANAGEMENT MEASURES Recruitment Rewards Project Discretionary Employment Pause Phasing Review Costs Flexibility • Postponement of all • Postponement of • Postponement of all • Remove all non- • Unpaid leave through recruitment salary/
Slide 20: Operating Flexibility Measures: Extended
3 Operating Flexibility Measures: Extended COVID-19 ACTION PLAN 3. OPERATING FLEXIBILITY MEASURES The Postponement Programme: Further extended since 10 March 100+ 60+ 340+ 60+ Brands run Large Brands agreed or in Smaller Brands agreed or Brands Re-Phased to 2021 successfully in process of rescheduli
Slide 21: Colleague Support Measures: Extended
4 Colleague Support Measures: Extended COVID-19 ACTION PLAN 4. COLLEAGUE SUPPORT MEASURES In-Market Remote Working Digital & Regular Volunteering Colleague Support Capability Virtualisation Communications Flex Support Fund • Strict adherence to • Seamless move to • Effective platforms • Weekly CEO u
Slide 22: Informa Markets
Informa Markets Informa Markets creates platforms for industries and specialist markets to trade, innovate and grow. Through more than 450 c£1.5bn c.£0.5bn 450+ 5.8m+ Revenue Adj. Op Profit B2B Brands Attendees international B2B brands, we provide opportunities to engage, experience and do business
Slide 23: Informa Connect
Informa Connect Informa Connect is the Group’s Content, Connectivity and Data business, organising content-driven events, training and £275m+ £45m+ 45+ 700k+ Revenue Adj. Op Profit £1m+ Brands Delegates programmes that provide a platform for professional communities to meet, network and share knowle
Slide 24: Informa Intelligence
Informa Intelligence Informa Intelligence provides specialist data, intelligence and insight to businesses, helping them make better decisions, gain competitive c£350m £100m+ 100+ >30k Revenue Adj. Op Profit B2B Brands Subscribers advantage and enhance return on investment. Through a range of specia
Slide 25: Informa Tech Today
Informa Tech Today Informa Tech informs , educates and connects specialist Technology communities £250m+ £70m+ 100+ 3.8m around the world. Through more than 100 B2B Revenue Adj. Op Profit B2B Brands Monthly Readers brands, we provide specialist intelligence and knowledge, and build platforms for cus
Slide 26: Taylor & Francis Today
Taylor & Francis Today Taylor & Francis publishes peer-reviewed scholarly research and specialist reference- £560m+ c.£220m 2,500+ 150k+ led academic content across subject areas Revenue Adj. Op Profit Journal brands Book titles within Humanities & Social Sciences and Science, Technology and Medicin
Slide 27: Thank you
O informa Thank you Informa.com