GlobalData Plc
Half Year Results
30 June 2023
GlobalData Plc (AIM: DATA), a leading data, analytics, and insights platform, today publishes its results for the half year ended 30 June 2023 (HY 2023).
· Outperforming our Growth Optimisation Plan objectives to date, driven by high growth and high margin
· Strong trading performance during HY 2023 with revenue growth of 21% and underlying growth1 of 8%
· Adjusted EBITDA1 growth of 37% and further margin expansion to 39% (HY 2022: 35%)
· Statutory profit before tax grew by 59% to £23.9m (HY 2022: £15.0m)
· On track to deliver our goal of being a ‘Rule of 50’2 company
· Expect to deliver results in line with increased market expectations3 for FY 2023
Highlights
Financial results for the six months ended 30 June 2023.
| Key performance metrics | HY 2023 | HY 2022 | Growth | Underlying growth1 |
| Revenue | £135.9m | £111.9m | +21% | +8% |
| Operating profit | £36.9m | £24.1m | +53% | |
| Adj. EBITDA | £53.5m | £39.0m | +37% | +18% |
| Adj. EBITDA margin1 | 39% | 35% | +4pts | |
| Statutory profit before tax (PBT) | £23.9m | £15.0m | +59% | |
| Earnings per share (EPS) | 2.2p | 1.3p4 | +69% | |
| Adj. EPS1 | 3.4p | 2.9p4 | +17% | |
| Interim dividend | 1.4p | 1.1p4 | +27% | |
| Invoiced Forward Revenue1 | £122.9m | £114.6m | +7% | +9% |
| Net bank debt1 | £230.8m | £190.5m | +21% | |
| Net bank debt leverage1 | 2.3x | 2.6x | -0.3x |
Mike Danson, Chief Executive Officer of GlobalData Plc, commented:
“GlobalData has delivered another period of strong revenue, profit and margin performance during the first half and we are outperforming our Growth Optimisation Plan objectives to date. Comparing to HY 2020, we have effectively doubled our Adjusted EBITDA and increased margin by 8pts demonstrating significant progress in that time.
We continue to leverage our proven One Platform and invest in our proprietary data and technology, and we are particularly excited by the opportunities we see to leverage our proprietary datasets and domain expertise with new AI technology. We have a clear roadmap focused on improving platform usability, driving greater automation, developing new products, and enhancing our internal processes.
We have clear visibility on full year revenues and a strong business model that is delivering sustained growth. We enter the second half with continued momentum and remain focused on executing our long-term compounding Growth Optimisation Plan.”
Financial Highlights
· Strong growth in both revenue and Adjusted EBITDA nearing our ‘rule of 50’ goal
· Total revenue growth of 21%, supported by acquisitions and currency tailwinds as well as underlying revenue growth of 8%
· Invoiced Forward Revenue of £122.9m at 30 June 2023 increased by 7% (HY 2022: £114.6m) which reflected underlying growth of 9%, providing confidence for H2
· Adjusted EBITDA up 37% to £53.5m (HY 2022: £39.0m)
· Adjusted EBITDA margin improvement of 4 percentage points to 39% reflecting the operating leverage and fixed cost base inherent in GlobalData’s business model
· Statutory PBT grew by 59% to £23.9m (HY 2022: £15.0m) reflecting strong trading performance
· Operating cash flow grew by 12% to £63.0m (HY 2022: £56.1m) which was 118% of Adjusted EBITDA (HY 2022: 144%)
· Strong free cash flow1 generation of £43.9m (HY 2022: £42.8m)
· Reduction in net bank debt leverage to 2.3x (FY 2022: 2.9x) and total net bank debt of £230.8m at 30 June 2023 which reflects a reduction of £18.8m in the six months since 31 December 2022
· Interim dividend of 1.4p, up 27% (HY 2022: 1.1p), based upon number of shares post-reorganisation share structure which completed after the balance sheet date on 25 July 2023 (see note 15)
Operational Highlights
· Continued strong execution of our Growth Optimisation Plan outperforming our objectives to date. Our four key pillars are:
o Customer Obsession, World-Class Product, Sales Excellence, Operational Agility
· Average Client Value (>£20k) increased by 4% to £75,800 (HY 2022: £73,100) reflecting a combination of more seats and products taken by clients as well as price increases
· M&A – Integration and performance of Media Business Insight (MBI) and TS Lombard on track; maintaining disciplined approach to acquisition opportunities
· Clear AI roadmap – continued investment in AI-related technologies to improve platform usability, drive greater automation, develop new product and enhance internal processes including customer insights and sales
Outlook
· Set to deliver strong and resilient growth as uncertainty continues to drive demand for our ‘gold standard’ data, delivered through our One Platform
· Following a strong first half performance and continued momentum into H2 we remain on track to deliver results in line with increased market expectations for FY 2023. We maintain our ambition of double-digit underlying revenue growth.
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