Information services and events company Informa (INF) gained 4.3% to 559.8p as it guided for annual performance to hit guidance despite impact of the pandemic on its events businesses.
The company also confirmed the appointment of John Rishton as chair, succeeding Derek Mapp, starting June 2021.
Revenue outturn for 2020 was expected to be within the range of £1.65 billion to £1.68 billion and group adjusted operating profit within the range of £250 million to £270 million.
Its three event-led businesses - Informa Markets, Informa Connect and Informa Tech - all faced significant disruption to physical events activities in 2020, the company said.
But its subscription-led businesses performed well through 2020, with renewal rates remaining consistently over 90%, the company added.
‘RETURN’ RATHER THAN FULL RECOVERY FOR EVENTS
Looking ahead, the company said 2021 was ‘likely to be a year of return for physical events, rather than full rebound and recovery’.
Shore Capital analyst Roddy Davidson commented: ‘This morning’s release summarises a hugely challenging year for the business and the events industry as a whole with COVID-19 forcing the cancelation of physical gatherings across the globe and necessitating the rapid development of virtual alternatives.
‘Specifically, there is a reminder of the highly proactive manner in which Informa stabilised its finances (raising equity capital, rescheduling debt and driving c.£600 million of cost reductions), worked to maintain the long-term value of its exhibition brands and added a greater digital element to their offering.
‘Pleasingly, as previously reported, the group’s academic publishing and subscription businesses proved resilient during the period.
‘We like the events space and rate Informa as a high quality, well-managed business with a leading position and good medium-term growth prospects (both organic and through acquisitions).’
