Information group Relx proposes dividend hike

The division posted an adjusted loss of 164 million pounds ($227 million) in 2020, compared with a profit of 331 million pounds the year before, and said the outlook for holding major events in 2021 remained uncertain. The company's other three divisions, which accounted for 95% of revenue in 2020, continued to deliver underlying growth in revenue and adjusted operating profit.

European information business provider Relx said it planned to raise its dividend by 3% after predicting a return to pre-COVID profit trends in 2021 for its three main divisions covering science, legal and risk.

The British FTSE 100 group, which has transformed from being a traditional media publisher to one focusing on the more stable business of data and analytics, was hit in 2020 by the cancellation of events in its exhibitions arm. The division posted an adjusted loss of 164 million pounds ($227 million) in 2020, compared with a profit of 331 million pounds the year before, and said the outlook for holding major events in 2021 remained uncertain.

The company's other three divisions, which accounted for 95% of revenue in 2020, continued to deliver underlying growth in revenue and adjusted operating profit. Overall, Relx reported adjusted operating profit of 2.1 billion pounds ($2.9 billion), down from last year's 2.5 billion pounds but in line with forecasts. Underlying revenue fell 9% to 7.1 billion pounds.

"Earnings per share is currently being impacted by Covid-19 related disruption to our exhibitions business, but we are proposing a 3% increase in the dividend to 47.0p reflecting our consistent track record and our confidence in the outlook for the company," Chairman Anthony Habgood said.