Relx sales fall as virus hits events arm, dividend unchanged

European information group Relx said on Thursday its revenue fell 10% in the first half of 2020 as the coronavirus pandemic forced countries to halt public events and gatherings, hitting the London-listed company's exhibitions arm. The company, which has transformed from being a traditional media publisher to one focusing on data and analytics in recent years, had scrapped its forecast in April over uncertainty due to the global health crisis.

European information group Relx said on Thursday its revenue fell 10% in the first half of 2020 as the coronavirus pandemic forced countries to halt public events and gatherings, hitting the London-listed company's exhibitions arm.

The company, which has transformed from being a traditional media publisher to one focusing on data and analytics in recent years, had scrapped its forecast in April over uncertainty due to the global health crisis. Formerly known as Reed Elsevier, Relx is the world's second biggest facilitator of events. Though this unit is the company's smallest, it has been a dependable performer, and accounted for 16% of the company's revenue and 13% of its adjusted operating profit in 2019.

However, the division swung to an adjusted operating loss of 117 million pounds ($149.08 million) in the six months ended June 30 from a profit of 231 million pounds a year earlier, as the unit's revenue slumped 71%. The virus has infected more than 15 million people and has brought global economies to their heels. Many major world events, from the Tokyo Olympics to the Mobile World Congress have been cancelled while organisers have had to opt for the virtual route.

Revenue fell to 3.50 billion pounds from 3.89 billion pounds a year earlier. "We have announced an unchanged interim dividend of 13.6p reflecting the resilience of our three largest business areas and our strong financial position and cash flow," Chairman Anthony Habgood said.

($1 = 0.7848 pounds)