GlobalData Regulatory News (DATA)

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

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.