Record revenues at biz publisher Euromoney despite credit crunch

Business publisher Euromoney has had a record six months in terms of revenues, according to interim results released today.

The company, which focuses on the international finance, metal and commodities sectors, has seen revenues rise by 7 per cent in the last six months to a record £154.8m.

Adjusted profit before tax was up 23 per cent year-on-year to £30.5m, also a record.

The global credit crunch was only having ‘a limited impact’on the company’s results, it said in a statement announcing the results to 31 March.

The company credited the revenue rise with its subscription-driven model. Subscriptions accounted for 37 per cent of total revenues compared to 30 per cent in 2003.

The company’s dependency on advertising revenues has declined with advertising dropping year-on-year from 34 per cent of revenues to 18 per cent in the same period this year.

Income from events accounted for 40 per cent of revenues, as did income from publishing.

The company said its dependency on global financial institutions, particularly for advertising revenue, had declined.

It acknowledged that growth in advertising and sponsorship revenues has slowed but said that delegate revenue and demand for subscription products had remained strong.

In financial publishing, the company’s advertising revenues fell across most titles as financial institutions cut marketing costs with exceptions such as Euromoney and Asiamoney, both of which derive a significant proportion of their advertising from emerging markets.

Subscription revenues for most products increased, reflecting both increases in print subscriptions and the gradual migration of print products to electronic platforms.

In business publishing, revenues increased by 13 per cent to £22.8 million, buoyed by what the company termed ‘excellent performances’from Legal Publishing and TelCap, the publisher of Capacity magazine, and margin improvements from Metal Bulletin.

There was a 4 per cent decline in revenues in the UK and US, while emerging markets were ‘a key driver of the group’s growth’with revenues from them increasing by 25 per cent.

On future prospects, the company said April’s profits were ahead of the same period in 2007 and the outlook for the third quarter was ‘positive”.

Euromoney has made no acquisitions since 2006 but it said it was still in the market for small acquisitions to drive ‘strong organic growth”.

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