Haymarket Media Group doubled its annual profit in the past financial year as the group rebounded from the pandemic faster than expected and generated half of its revenue in the United States for the first time.
The trademark owner of which AsianInvestor, Campaign, Horticulture Week, MyCME and Which car? reported earnings before tax, interest, depreciation, amortization and exceptional items (EBITDAE) of £16.5 million in the 12 months to June 2021, compared to £8.3 million the previous year.
Revenue rose 3.4% to £147.7m, with digital accounting for around 65% of revenue, print 19% and live events, which were largely virtual, 16 %.
Geographically, the United States accounted for just over 50% of sales, the United Kingdom 41% and the rest of the world 9%. The United States had a banner year, with 90% of its sales coming from the medical sector.
Haymarket ended the financial year with £37.9m in net cash, compared to £24.8m, according to the accounts, which were filed at Companies House.
Kevin Costello, Managing Director of Haymarket Media Group, said: “These results reflect a year of exceptional determination, hard work and motivation. We entered the new fiscal year (July 2020) having restructured the business, partly in response to the pandemic. And it paid off, putting us in a strong position to face the year ahead. We have remained true to our core strategic goals and values, continuing to strengthen the balance sheet, ensuring we have the room for growth.
“We reacted quickly to the crisis at the start of 2020, while remaining focused on our core strategy. This served as our North Star. A key part of this has been our continued obsession with continued diversification of our earnings, which has resulted in our best performance ever in the US and a significant increase in our earnings.
“As a private company, we can take a long-term view without exposing ourselves to stock market volatility. We have strengthened our cash position, allowing us to continue to invest organically and through acquisitions.
Costello cited the launches of Performance Marketing World, Rare Disease Advisor and Ophthalmology consultant and the acquisition of Rockcliffe Media over the past 18 months.
“The company will continue to diversify its revenue streams in the markets in which it operates and will actively pursue new investment and acquisition opportunities in areas such as automotive technology, marketing communications and medical,” Haymarket said. .
Lord Heseltine, Founder and Chairman of Haymarket Media Group, said: “These results demonstrate that the business is financially sound, which puts us in a good position to focus on sustainable growth.
“Despite an uncertain business environment, at Haymarket we find ourselves in a position of strength and have gone from survival to thriving. It is a testament to the ingenuity of our employees that we can bring back the healthy profits we have today and I have complete confidence in them for our future success.
Revenues are expected to return to pre-pandemic levels
Haymarket expects revenue to return to pre-pandemic levels in the current fiscal year ending June 2022, with live event revenue benefiting from the return of face-to-face events.
Digital is expected to account for nearly two-thirds of revenue, live events 21% and print 16%.
Costello said, “It’s all about growth. We have a solid foundation, underpinned by our remarkable content. This is what sets us apart. Specialized content that inspires, informs and empowers our customers, audiences and communities.
“We are proud of our heritage, but more excited about what the future holds. We continue to invest and grow our business, while actively seeking acquisition opportunities in our chosen markets.
“At the height of the crisis, income had fallen by 40% in the UK, but we have recovered better than we could have imagined. We cannot ignore the current challenges for us, including the spread of ‘Omicron, the holding of live events in the media sector and the impact of the semiconductor crisis in the automotive sector.
“And while we face another year of ambiguity, since returning to the office under a mixed working model last year, the power of in-person collaboration is clear and we never want to lose it,” said he added, describing Haymarket as “a business of creatives who thrive on human interaction”.
Haymarket owns over 70 brands – with 1,300 employees and offices in the UK, US, Hong Kong, Singapore, India and Germany.