March 11, 2020 / 7:21 AM / a month ago

BRIEF-Euromoney Has Decided To Cancel Number Of Events & Postpone Some Until Later 2020, Due To COVID-19

March 11 (Reuters) - Euromoney Institutional Investor PLC :

* STATEMENT REGARDING CORONAVIRUS COVID-19

* IN FY19, SUBSCRIPTION REVENUE WAS 60% OF TOTAL REVENUE AND REVENUE FROM EVENTS WAS 31% OR £124M

* ABOUT 34% OF FY19 EVENTS REVENUE WAS IN Q3 AND 22% IN Q4, WITH MONTHS OF JUNE AND SEPT BEING PARTICULARLY LARGE

* GROUP HAS SUCCESSFULLY RUN EVENTS WITH REVENUES OF APPROXIMATELY £42M IN FIVE MONTHS ENDING FEBRUARY 2020

* EUROMONEY HAS EXPERIENCED DISRUPTION ACROSS MUCH OF WORLD AS A RESULT OF COVID-19

* EUROMONEY HAS NOW MADE DECISION TO CANCEL A NUMBER OF EVENTS, AND TO POSTPONE SOME UNTIL LATER IN YEAR

* SO FAR, HAVE CANCELLED 25 EVENTS WITH A REVENUE IMPACT OF £3M AND POSTPONED 55 EVENTS, WITH NINE MOVING INTO FY21

* ADDITIONAL FY20 REVENUE IMPACT OF £3M DUE TO CANCELATIONS & POSTPONING

* OVERALL IMPACT ON FY20 OF CHANGES IS THEREFORE TO REDUCE REVENUE BY £6M

* OVERALL IMPACT ON FY20 OF CHANGES TO REDUCE OPERATING PROFIT BY £5M, BEFORE OTHER MITIGATING COST SAVINGS

* FINANCIAL PROFILE FOR REMAINING EVENTS FROM NOW TO END OF JUNE 2020 IS REVENUE OF APPROXIMATELY £40M

* FOR REMAINING EVENTS FROM NOW TO END OF JUNE 2020, GROSS PROFIT FROM THESE EVENTS IS EXPECTED TO BE AROUND £23M

* FROM NOW TO END OF JUNE 2020 LARGER EVENTS HAVE £7M OF COMMITTED COSTS ALREADY INCURRED

* FROM NOW TO END OF JUNE 2020 GROSS MARGIN IMPACT OF RUNNING NO EVENTS IN THIS PERIOD WOULD BE APPROXIMATELY £30M

* FOR REMAINING EVENTS FROM NOW TO END OF JUNE 2020 SEES SOME OF THESE EVENTS POSTPONED INTO LATER FY20, BUT HAVE NOT YET MADE FIRM DECISIONS

* WE HAVE MADE NO CHANGES AT THIS STAGE TO EVENTS ORIGINALLY SCHEDULED FROM JULY UP TO AND INCLUDING SEPTEMBER

* NET CASH AT END OF FEBRUARY 2020 OF £12.2M AND UNUSED COMMITTED FACILITIES OF £240M Source text for Eikon: Further company coverage:

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