Reed Exhibitions has claimed strong performances across both mature and emerging markets and significant launch activity as highlights during its first half.
The publishing and events company’s exhibition business reported revenue of £368m (US$601.7m) for the six months to 30 June 2011, down four per cent year-on-year. Excluding impact of biennial show cycling, underlying revenues were up 10 per cent, the company claimed. Adjusted operating profits across exhibitions came in eight per cent lower at £113m and represented 15 per cent of Reed Elsevier’s overall operating profit. Adjusted operating margin meanwhile, was 30.7 per cent.
“Strong growth was seen in annual events in developed markets and particularly in emerging markets,” Reed said in its financial statement. “New show launch programmes also accelerated.”
Reed plans to launch 40 new shows in 2011, up from 35 in 2010. In addition, 25 of the 25 shows launched in 2010 are being repeated in 2011.
In its largest market Europe, underlying revenues excluding cycling were up seven per cent with Mipim and MipTV in France performing well, the company stated. The US business reported a 14 per cent revenue rise with growth buoyed by the JCK, National Hardware and ISC West shows.
Japan also saw good growth in the first half with strong performance from the renewable energy and spring IT events.
“The Japanese business received many plaudits in government and business circles for not cancelling any shows despite the effects of the March earthquake,” Reed stated.
Emerging markets were also key contributors with China, Brazil, Russia and the Middle East delivered very strong growth, Reed said. In particular, the company flagged World Future Energy Summit in the Middle East, the Brasilplast plastics show and Feimafe machine tools and quality control show in Brazil, and the Sino Corrugated Shanghai packaging show in China.
Overall, Reed’s total revenue was £2.9bn, down three per cent year-on-year, while pre-tax profits were up 16 per cent to £476m. Adjusted pre-tax profit came in at £662m, an increase of six per cent.
Reed acquired the European-based International Travel Catering Association in June to build its travel portfolio.
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