Reed flags improving markets

Publishing group Reed Elsevier today offered the strongest sign yet that its markets were turning in its favour.

Reporting annual profits of £1.03bn (€1.49bn) – up on £1.01bn (€1.46bn) in 2003, chief executive Sir Crispin Davis said most of its markets were improving.

The company, which specialises in the education, legal and science sectors, publishes more than 10,000 journals, books and compact discs, as well as almost 3,000 websites and portals and organises 430 trade exhibitions.

Reed said its markets showed “initial signs of recovery” in 2004, after turnover lifted 5% on constant exchange rates but fell slightly to £4.81bn (€7bn) after the impact of the weaker dollar was included in the figures.

Davis said strategy changes made in recent years, including in strengthened sales and marketing, were expected to pay off.

He said: “We are now starting to see definite improvements in our market environment, with most sectors showing positive growth trends. We are positive about the outlook for 2005 and beyond.”

Shares rose almost 4% following the update.