14 November 2017: for immediate release

Strong trading for the year to date,

full year outlook on track

UBM plc today issues the following trading update for the current financial year to date.  

UBM's trading since the half year has been strong and the Group is on track to deliver significantly accelerated adjusted underlying revenue growth in annual events for the full year, of at least the Global B2B Exhibitions Industry average.

The September Hong Kong Jewellery & Gem, CBME, Furniture China, World Routes and Black Hat shows all performed strongly in the third quarter. In October, CPhI Worldwide and its co-located pharma events also delivered a strong performance.  Although the Fashion sector declined, it was broadly in line with expectations.  

The integration of Allworld is progressing to plan and performance continues to be ahead of the business case.

Life Sciences, the majority of which is in OMS, continues to experience softness as the industry adapts to changing market conditions in North America and drug approvals also remain slow.

Since the half year, two bolt-on acquisitions have been made in the fast-growing renewable energy and medical aesthetics sectors, both at attractive multiples. Total spend on bolt-on acquisitions in the year to date is £13.4m.  The pipeline remains good with further deals expected to close before the end of the year. During the period a small portfolio of UK assets was disposed of for £3.2m and further small disposals are being negotiated. 

Given the strength of the recent trading performance and notwithstanding the impact of more recent FX movements, the Board is confident of a full year out-turn at least in line with its expectations as communicated at the interim results.

The Board has concluded its review of the dividend policy. The updated policy, which will apply from 2018, is to pay a progressive dividend centred around 2x cover through economic and biennial cycles and taking into consideration impact from currency movements.

-  Ends   -

Contacts

Notes to Editors

UBM plc is the largest pure-play B2B Events organiser in the world.

In an increasingly digital world, the value of connecting on a meaningful, human level has never been more important.  At UBM, our deep knowledge and passion for the industry sectors we serve allow us to create valuable experiences where people can succeed. At our events people build relationships, close deals and grow their businesses.

Our 3,750+ people, based in more than 20 countries, serve more than 50 different industry sectors - from fashion to pharmaceutical ingredients.  Our global networks, skilled, passionate people and market-leading events provide exciting opportunities for business people to achieve their ambitions.  

For more information, go to www.ubm.com; for UBM corporate news, follow us on Twitter at @UBM.

Detail about acquisitions during the period

The MIREC (Mexico International Renewable Energy Congress) and AIREC (Argentinian International Renewable Energy Congress) events strengthen UBM's Latin American presence including a first step into Argentina.  The events are highly complementary to UBM's existing portfolio, which currently includes Renewable Energy India Expo, The Battery Show USA and a renewable energy event series in Southeast Asia.

The Aesthetic Show assets provide an attractive entry point to the fast-growing North American aesthetic medical event market.  It is a strong strategic fit with UBM's existing Life Sciences portfolio which already serves the aesthetics market through media brands such as Cosmetic Surgery Times and Dermatology Times.

On a combined basis, the bolt-on businesses acquired are expected to generate c£6m of revenue in 2017, of which c£1m will feature in UBM's 2017 reported revenues.