Earnings Report: Europe Is Optimistic

Economic circumstances on this side of the pond may be gloomy in some sectors, but European show organizers and venues appear to have reason for optimism.

Several recently released first-quarter earnings reports and 2008 projections painted a mostly positive picture.

Messe Essen (Germany) predicted revenues of €70 million ($108.1 million) for this year. Primarily because of negative show rotation, revenue in 2007 was €41.1 million ($63.5 million), but about 13,700 exhibitors and 1.5 million attendees at 40 tradeshows and exhibitions in Essen's exhibition center and foreign venues are expected in 2008. This year's calendar includes eight foreign events, two of them launches.

Fiera Milano (Italy) reported first-quarter revenue of €109.7 million ($169.5 million) versus €103.2 million ($159.4 million) in the first quarter of 2007. Profit before taxes was €29.1 million ($45 million), compared with first-quarter 2007's €13.5 million ($20.8 million).

In the first quarter of this year, 19 exhibitions and four conventions with related exhibitions with a total of 669,900 net square meters (7.2 million square feet) took place at the two exhibition sites, Fiera Milano and Fiera Milano City. That's compared with 524,200 net sq. m. (5.6 million net sq. ft.) in first-quarter 2007. The number of exhibiting companies increased from 8,930 in the first quarter last year to 10,195 in the same period this year.

A strong first six months in a new venue led officials at Germany's Messe Stuttgart to project that revenue this year will climb more than 50 percent, compared with the two previous years, to nearly €100 million ($154.6 million). This year's calendar carries 17 new exhibitions, and the new hall, with 105,200 sq. m. (1.1 million sq. ft.), is almost fully booked with occupancy on par with the old Killesberg site. The messe announced 2007 revenue of €63.3 million ($97.8 million).

France-based GL Events generated first-quarter sales of €168.2 million ($260.2 million), a 4.6-percent decrease compared with 2007's first quarter. Company officials blamed negative show rotation because several biennial tradeshows were not staged last year. Revenue included venue management fees of €48 million ($74 million), up 4.4 percent compared with the first quarter of last year, with what GL called favorable levels of bookings for the remainder of 2008.