Revenue Surges at Reed Exhibitions in 2005
Staff -- Tradeshow Week, 2/27/2006
Revenue at Reed Exhibitions last year increased by 11 percent, driven by strong demand around the world and recovery in some struggling sectors.
The exhibitions company, which produces more than 460 events annually in 38 countries, generated revenue of nearly €688 million ($817.2 million) last year, up from €619 million ($735.1 million) in 2004. Operating profit for 2005 increased by 11 percent over 2004.
"Excellent growth was seen in exhibitions and in online sales," said Mark Armour, CFO of Reed Elsevier, parent company of both Reed Exhibitions and Tradeshow Week.
Reed Exhibitions experienced encouraging growth levels in all regions, including the United States, Europe and Asia Pacific. Growth was highest in Japan, and in international entertainment and property shows. New launches and a turnaround in some sectors also helped exhibition results, company officials said.
Reed Exhibitions' joint venture with China's Sinopharm was singled out as an example of inroads being made in developing markets.
Reed Elsevier CEO Crispin Davis called the performance of the exhibitions unit very positive. "Exhibitions had a tremendous year. Right across the exhibitions spectrum we saw very good growth," he said during a conference call with investors.
Although exhibition demand remains strong, company officials, however, expect lower growth levels this year.
