ii view: how Informa benefits from AI demand

Five-month AGM trading update

• Underlying revenues up 7.9%

Guidance:

• Continues to expect full-year underlying revenue growth of 5% or more

Chief executive Stephen Carter said:

“The commercial power of our Live B2B Event Brands and Academic Market Services is driving further strong growth for Informa.

“The Informa Growth Platform is built on leading specialist Brands, market categories in structural growth, International reach into growth economies, first party data and world class industry talent.”

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ii round-up:

Informa (LSE:INF) today detailed an acceleration in sales growth, aided by demand from AI companies for its academic data as well as ongoing business appetite for live marketing events. 

Underlying sales for the five months to late May rose 7.9% year-over-year, up from growth of 7.6% during the first quarter, with the publisher and exhibitions organiser maintaining its estimate for annual growth of 5% or more. 

Shares in the FTSE 100 company rose 1% in UK trading having come into this latest news little changed year-to-date. That’s below a 7% rally for the FTSE 100 index in2025. Rival RELX (LSE:REL) is up by close to 9% during that time. 

Informa looks to help businesses connect and make better informed decisions. Underlying sales for the group’s academic markets or Taylor & Francis business rose 13.7% from a year ago, driven by the signing of non-recurring licencing agreements with AI related companies.

Sales at businesses including its exhibition organiser climbed 8.3%, helped by demand across India, the Middle East, and Africa.

Revenue for the remaining Informa TechTarget Inc (NASDAQ:TTGT) business, which is also listed on the Nasdaq and brings together buyers and sellers of tech businesses, fell 5%. 

Informa flagged total revenues of £2.8 billion which had already been traded, booked or committed for the full year through subscriptions, representing 70% of annual target revenues and placing it ahead of last year. 

Broker UBS reiterated its ‘buy’ stance on the shares post the update. 

ii view

Started in 1998, Informa today employs around 13,000 people. Informa Markets or exhibitions generated most sales over its last financial year at around half. That was followed by the academic publishing or Taylor Francis division at a fifth. Sales for Informa Connect, organising on-demand experiences and seminars, at close to a fifth of sales, with Informa TechTarget the balance of around a tenth. 

Geographically, North America dominates at about a half of sales, with China another key market at 14%, and the UK 6%.  

For investors, sales at TechTarget are down 5%, with its shares on the US Nasdaq exchange down by more than 60% year-to-date. Increased geopolitical tensions in regions such as the Middle East are not to be overlooked. Costs broadly for businesses remain elevated, while a forecast dividend yield of around 2.7% sits below the 5%-plus estimates at media rivals WPP (LSE:WPP) and ITV (LSE:ITV).

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On the upside, AI related companies paying Informa fees for access to its academic data have included Microsoft Corp (NASDAQ:MSFT). A strategy focused on specialist markets, unique content and internationalisation has generated growth. Diversity of both product and geographical region exist, while shareholder returns also include a current share buyback programme. 

For now, and despite continued risks, a focus on data and a consensus analyst estimate of fair value above 935p per share look to provide grounds for longer-term hope. 

Positives: 

• Diversity of businesses
• Over £1.45 billion of share buybacks since 2022

Negatives:

• Uncertain geopolitical global backdrop
• Exposure to currency moves 

The average rating of stock market analysts:

Buy