Informa delays £1bn profit target

Informa, the events and academic publishing group, has rowed back from its ambition of reporting an annual profit of up to £1 billion.
The FTSE 100 company now expects 2024 adjusted operating profit of more than £975 million, compared with the previous forecast of over £970 million with a potential to reach up to £1 billion.
The world’s largest exhibition group posted a 10.7 per cent rise in revenue for the first ten months of this year, driven by its live events businesses. The events sector has experienced a resurgence over the past two years as businesses have resumed in-person conferences and exhibitions, steadily rebounding from the pandemic-induced downturn.
London-based Informa also nudged up its annual cashflow forecast to more than £750 million, including its deal to buy its rival Ascential, from more than £740 million before. The company reaffirmed its full-year guidance, citing robust forward bookings that position it for continued momentum into next year.
“There may well be a lull in positive catalysts for a time now, and with significant US/China exposure, fears over future tariffs or trade disruption in 2025 could weigh on sentiment,” Investec analysts said in a note.
Shares in Informa closed down 10¾p, or 1.2 per cent, to 844½p.
Stephen Carter, chief executive, said: “Informa continues to deliver a strong performance in 2024, with forward bookings providing momentum into 2025.”
The demand for high-quality face-to-face events remained a significant driver, the company said, particularly in transaction-led live events, which delivered 13.5 per cent growth, and technology-focused business-to-business events and digital services, which rose by 11.2 per cent.
Informa enjoyed growth across all major regions, with the Americas contributing 45 per cent of group revenue and Asia 25 per cent.
Expansion in India, the Middle East and Africa was supported by infrastructure investments in high-growth markets such as Saudi Arabia and the UAE. The second edition of Cityscape Global in Riyadh, a real estate event, attracted more than 170,000 participants and generated more than $61 billion in transactions.
In the academic markets division, Informa benefited from the diversification of revenue streams, including growth in researcher services, open access and advanced learning. The company reported $75 million in revenue from artificial intelligence partnerships during the year.