Euromoney Institutional pleased with first-half strategic progress

The FTSE 250 firm said that on an adjusted basis, operating profit was 5% higher at £49m, while profit before tax also rose 5% to £49.1m.

Its diluted earnings per share were 32.7p - an increase of 9% on the first half of 2016.

On a statutory basis, operating profit plunged to £15.6m from £26m, while profit before tax was down to £15.6m from £23.4m.

Statutory diluted earnings per share were 11.4p, reducing from 13.4p.

Net debt stood at £83.6m at period end, swinging from net cash of £55.9m.

The board still declared a 26% rise in the interim dividend to 8.8p per share.

“The first-half results reflect good progress with our strategy - investing in strategic themes, creating a best-of-both-worlds operating model which combines Euromoney's well-known entrepreneurial culture with the benefits of a more corporate approach; and active portfolio management,” said CEO Andrew Rashbass.

“DMGT's sell-down has helped us accelerate this strategy.

“We are already seeing payback from our investments last year.”

During the first half, Rashbass said the company continued to invest for growth and to address the drag from “cyclically and structurally challenged” businesses.

“Although headwinds remain for our customers and therefore for us, particularly in asset management, the commodities and banking & finance markets are showing signs of improving.

“The progress we are seeing gives us confidence that we will meet the board's expectations for the full year.

“It is in this context that the board has changed its dividend policy to increase the dividend to approximately 40% of adjusted earnings each year.”