Informa Confident £20 Million Savings Can Protect Profits

Informa's Lloyd's List magazine

Lloyd’s List publisher Informa made “considerably lower” revenues in the first half of 2009 than it did in H108 but is on course to make savings of £20 million this year alone. In a market update ahead of its its half-year results on July 28, the company says that trading was in line with market expectations despite “very challenging” conditions.

Restructuring costs will be approximately £10 million for 2009 — but if you add last year’s annualised savings of £33 million, Informa is set to shave £53 million from its running costs in two years. The group says this will help maintain profits margins at 2008 levels. Release.

An interim management statement in May promised “significant cost savings” this year, a cause which is helped by the company’s departure from the UK tax system. The company says its publishing division, which accounts for 60 percent of operating profits, continues to grow despite the downturn, while its events and trading division has reduced its workload “to protect profitability in the face of weak demand”.

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