14
January 2025
GlobalData
Plc
(AIM:
DATA, "GlobalData", the "Group")
Full year trading
update
Trading in line with market
expectations
Strong momentum with
M&A
GlobalData Plc ('GlobalData' or the
'Group'), a leading data, analytics, insights and technology
platform, today provides this update following the end of its
financial year to 31 December 2024 ("FY24").
Trading
Following its interim results on 31
July 2024, GlobalData continued to deliver strong, profitable
growth throughout the second half of the year.
For FY24, the Group expects to
report Group revenue of c.£286m, within the range of market
expectations for the year* (2023: £273m), and up 4% on an
underlying basis. Adjusted EBITDA is also expected to be within the
range of market expectations, representing growth of c.6% ahead of
FY23 with a sustained margin of c.41% following our continued
planned investment in the Growth Transformation Plan (2023:
41%).
The Group closed the year with
underlying Contracted Forward Revenue ("CFR") growth of 4%,
providing strong visibility into 2025 (CFR includes both Invoiced
Forward Revenue and contracted revenue un-invoiced as at 31
December 2024).
FY24 was a significant year of
investment across our Growth Transformation Plan initiatives. We
continued to invest in our AI capabilities, delivering demonstrable
client impact with a 60% increase in AI Hub usage, as well as
launching our new client solutions offerings. As at 31 December
2024, we had a strong increase in sales headcount versus the same
point last year, which included an additional 30 senior sales
positions.
Following the completion of our
transaction with Inflexion in June 2024 to support growth through a
bolt-on M&A strategy, the Group closed four M&A
transactions during the second half of FY24 (BTMI, LinkUp, Celent
and Deallus) for a combined purchase price of c.£86m (of which £32m
was in Healthcare). In aggregate these acquisitions will add c.£42m
of revenues during FY25 (of which £13m will be in Healthcare) and
c.£6m of Adjusted EBITDA (£2m within Healthcare).
In addition to M&A, the Group
has deployed capital towards share buybacks in the second half.
During H2, we purchased shares to the value of c.£29m across two
buy-back programmes which were purchased into treasury and
subsequently cancelled. Additionally, the Group's Employee Benefit
Trust bought £29m of shares, to satisfy future share scheme
exercises.
Net cash reduced from £188m at 30
June 2024 to c.£2m as at 31 December 2024 (2023: Net Debt £244m).
This movement largely reflects the deployment of capital on M&A
(c.£86m), share buy backs (c.£57m), plus £26m of expenses for the
Inflexion transaction that were unpaid at the half year that were
settled in H2. The Group announced new £340m financing facilities
in December and therefore has significant firepower to further
execute against its M&A strategy.
Outlook
The Board is confident in
GlobalData's outlook for 2025, underpinned by high levels of
revenue visibility, good execution of the Growth Transformation
Plan and a strong financial position that allows continued
investment in strategic growth opportunities.
FY24 results will be announced in
full on 10 March 2025.
Mike Danson, Chief Executive Officer of GlobalData Plc,
commented:
"2024 has been a year of investment for GlobalData and we have
made significant progress in our first year of executing the Growth
Transformation Plan 2024-26. Our mission-critical data and insights
remain vital to our global customers, demonstrated by our strong,
profitable growth in 2024, delivering an EBITDA margin of
41%.
Our AI advancements have transformed how customers access
insights. With our platform's generative AI capabilities, customers
can now access trusted, actionable intelligence with the touch of a
button, giving them the information they need to make informed
decisions, navigate complexity with confidence, and achieve
measurable business success.
Following the arrangement of new £340m financing facilities in
December, we have substantially bolstered our
ability to
execute our ambitious M&A strategy. Four strategic acquisitions
have been completed during the second half
with expertise
spanning healthcare, financial services and media. Integrating
these businesses into our platform will enhance our capability to
deliver even better service and valuable insights for our
clients.
In
addition to strategically deploying capital to advance our
world-class products through M&A, we remain focused on actively
pursuing organic growth opportunities.
We
enter 2025 from a position of strength with good revenue visibility
and the firepower to execute on our strategy.
We continue
to progress towards our targets of 45% margin and £500m
revenue by the end of the three-year growth
plan."
*GlobalData's compiled market expectations consensus as at 31
December 2024 is as follows: Revenue range £285.5m - £288.1m and
Adjusted EBITDA range of £117.0m - £123.3m
ENDS
ENQUIRIES
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GlobalData Plc
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Mike Danson, Chief Executive
Officer
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0207 936 6400
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Graham Lilley, Chief Financial
Officer
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J.P. Morgan Cazenove (Nomad, Joint Broker)
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0203 493 8000
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Bill Hutchings
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Mose Adigun
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Panmure Liberum (Joint Broker)
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0203 100 2000
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Rupert Dearden
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Dougie McLeod
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Investec Bank plc (Joint Broker)
Henry Reast
Virginia Bull
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0207 597 5970
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FTI
Consulting (Financial PR)
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0203 727 1000
globaldata@fticonsulting.com
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Edward Bridges
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Dwight Burden
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Emma Hall
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About
GlobalData Plc
GlobalData Plc (AIM: DATA)
is a leading data, analytics, insights and technology platform for
the world's largest industries. Our mission is to help our
clients decode the future, make better decisions, and reach more
customers.
One
Platform Model
GlobalData's One
Platform model is the foundation of our business and is the
result of years of continuous investment, targeted acquisitions,
and organic development. This model governs everything we
do, from how we develop and manage our products, to our approach to
sales and customer success, and supporting business
operations. At its core, this approach integrates our unique
data, expert analysis, and innovative solutions
into an integrated suite of client solutions and digital
community platforms, designed to serve a broad range of industry
markets and customer needs on a global basis. The operational
leverage this provides means we can respond rapidly to
changing customer needs and market opportunities, and continuously
manage and develop products quickly, at scale, with limited capital
investment as well as providing unique integration opportunities
for M&A.
Strategic
Priorities
GlobalData's four strategic priorities are:
Customer Obsession, World-Class Product, Sales Excellence and
Operational Agility.