UBM’s profit up 25% in 2017

London, 28th February: This week, UBM Plc announced its annual results for the year ended 31st December 2017. The company reported revenues of £1.0 billion (US$1.4 billion), an increase of 16% year-on-year. Adjusted operating profits increased by 25% to £294 million (US$397 million).

 

Revenues from annual events were £781 million (US$1.05 billion), representing an adjusted underlying growth of 5.3%. While biennial events in 2017 generated revenues of £86 million (US$116 million), up 3.7% compared to the biennial events in 2015. Management attributed the growth in the annual events to strong growth in Asia. Growth from launches and at Allworld events was also cited. The growth at biennial events in part as due to the inclusion of revenue from Allworld’s biennial events, HOFEX and Food & Hotel Indonesia.

 

Tim Cobbold, CEO of UBM plc stated, “Over the last three years, Events First has focused UBM on the attractive events market and the team has built a high-quality events business with geographic breadth and strong brands, serving a wide range of industry sectors. In 2017 we delivered a strong financial performance with Annual Events adjusted underlying revenue growth accelerating to 5.3%, further margin expansion and strong cashflow. We saw excellent growth in Asia in particular and growth in all our major verticals bar Fashion.”

 

Source: UBM press release

Tarsus’ revenues jump 35% in 2017

London, 28th February: London-based Tarsus Group, also announced its year-end results for 2017 this week. The group reported revenues of £118 million (US$159 million) – up 35% compared with the results in 2015. In 2017, the company recorded 53% growth of adjusted profit before tax compared with 2015, reaching £40 million (US$55 million). Key highlights include 7% visitor growth across the group’s portfolio and recently completed acquisitions of Connect, Hometex and Intex.

 

In Asia, total revenues in 2017 were £23 million (US$32 million), up from £9.4 million (US$13 million) recorded in 2015. In China, the newly acquired Hometex and Intex shows both performed well, while the biennial Labelexpo Asia recorded strong growth. In South East Asia, where Tarsus’ portfolio performed well, especially the IIICE (Infrastructure) event in Indonesia.

 

Douglas Emslie, Group Managing Director of Tarsus, commented, “2017 was a record year for Tarsus. It saw the culmination of the first phase of our Quickening the Pace strategy, which over the past few years has transformed the business and produced strong returns for our shareholders. The Group has grown significantly, both organically and through carefully targeted acquisitions and over the next four years of our strategy we will build further on the strong foundations we have laid down.”

 

Source: Tarsus press release

Mega Expo’s revenues fall in first half

Hong Kong, 23rd February: Last week, Mega Expo, formerly known as Kenfair, a Hong Kong-based exhibition organiser, reported its interim results for the six months ended on 31st December 2017. The company reported revenues of US$9.4 million, down by 20% year-on-year. However, Mega Expo posted a net profit of US$5.8 million in the six-month period, compared with a loss of US$1.5 million in the previous year. Earnings per share for the half year were HK$0.0328 (US$0.0042).

 

More than 75% of Mega Expo’s revenues were generated from its exhibition organising business, amounting US$7.1 million. This represents a decrease of 40% year-on-year. The remaining revenues were generated through its brand management services (US$2.2 million).

 

Mega Expo’s management attributed the drop in revenue to stronger competition, increased costs and fewer growth opportunities in Hong Kong. Management stated its intention to stay focused on its core exhibition in Hong Kong, the Mega Show while exploring opportunities in Mainland China.

 

Source: Mega Expo announcement

Nearly 1,400 MICE events held in Macau in 2017

Macau, 27th February: Macau’s Statistics and Census Service (DSEC) recently released its MICE statistics for the fourth quarter as well as the full year of 2017. In 2017, a total of 1,381 MICE events were held in Macau. That is 105 events more than in 2016. The total number of participants increased 10% to approximately 1,901,000 in the year.

 

According to DSEC, a total of 1,285 meetings and conferences were held in 2017 – up by 90 events compared with the year before. The total number of participants was 245,000, representing a year-on-year increase of 39%. A total of 51 exhibitions were held in 2017 – down four events compared to 2016. However, the number of attendees increased by 7.2%, reaching 1,608,000. The total gross size occupied by the exhibitions fell 2.7%, to 302,000 m2.

 

In the fourth quarter of 2017, DSEC reported that 378 MICE events were held in the city, up seven events. The total number of participants and attendees was 694,000, up 42% compared to the same quarter last year.

 

Source: DSEC announcement

HKTDC’s jewellery shows feature 4,550+ exhibitors

Hong Kong, 22nd February: This week, the Hong Kong Trade Development Council (HKTDC) opened two major jewellery trade shows, the Hong Kong International Diamond, Gem and Pearl Show and the Hong Kong International Jewellery Show. The two shows feature a record number of exhibitors (4,550) from 50 countries and regions.

 

The Diamond, Gem and Pearl Show, now in its fifth edition, ran from 27th February to 3rd March at AsiaWorld-Expo (AWE). Some 1,970 exhibitors from 40 countries and regions attended the show, with first time exhibitors from Belize and Turkey, showcasing an assortment of jewellery raw materials including diamonds, precious and semi-precious stones and pearls.

 

The 35th Jewellery Show takes place at the Hong Kong Convention and Exhibition Centre (HKCEC), running from 1st to 5th March. Featuring finished fine jewellery, the show will feature more than 2,580 exhibitors from 39 countries and regions, including new exhibitors from Lebanon, Sweden and Ukraine.

 

Benjamin Chau, Acting Executive Director of the HKTDC, stated, “This year’s Hong Kong International Diamond, Gem and Pearl Show continues to attract jewellers, trade associations and organisations from around the world. The participation of exhibitors is the highest on record. It is a testament to Hong Kong’s standing as a key sourcing platform for the global jewellery industry… To help industry players meet demand, this year’s Hong Kong International Jewellery Show has launched and IT Solution for Jewellery zone… The new zone aims to help industry players leverage new technologies and applications to develop innovative designs and services to enhance competitiveness.”

 

Sources: HKTDC press release [1], HKTDC press release [2], HKTDC press release [3]

Shenyang New World EXPO announces strong results

Shenyang, 28th February: Shenyang New World EXPO, now in its second year of operations, announced that in 2017, the venue hosted nine major events, featuring over 1,700 exhibiting companies and attracting 220,000 visitors. In addition, the venue will hold three major recurring events during March and April. EXPO hosted those three events for the first time last year. Management also announced that adjacent to the venue, two adjoining hotels, a shopping mall, three residential towers and two office towers will open in the coming year.

 

Diane Chen, EXPO’s General Manager, commented, “The success of EXPO’s initial exhibitions during the first year and the interest created by the exhibitors and visitors alike the ongoing potential of EXPO’s future exhibition business. Additionally, regional and national conferences are finding the venue most attractive.”

 

Source: Asia Today article

Share price movement in B2B media companies involved in Asia

Table 1: Stock price of selected media companies, as of 27 February 2018

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Table 2: Share price movement in B2B media companies involved in Asia

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Table 3: PE Ratios of listed Asian B2B media companies

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Figure 1: BSG B2B Media Index vs. All Tracked B2B Stocks (price movement over past 12 months)

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Figure 2: BSG B2B Media Index vs. All Tracked B2B Stocks (price movement since January 2018)

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