Solid Results for D&B

Business information firm Dun & Bradstreet Corporation (D&B) has reported fourth quarter revenues up 4% to $474.7m, and full year revenue up 7% excluding foreign exchange effects.

D&B also increased EPS and raised its cash dividend. Chairman and CEO Steve Alesio comments: '2008 was a good year for us, despite the challenging environment. As we ended the year, however, the economic headwinds started to have a significant impact on our US marketing-related businesses, which is continuing into 2009, and is reflected in our guidance. We intend to leverage the strength of our team and our financially flexible business model to deliver a solid performance in this challenging year and exit 2009 in a stronger, more competitive position.'

In the fourth quarter, diluted EPS was $1.87, up 14% on the year, while Q4 operating income before non-core gains and charges was $174.8m, up 9% - or $172.2m, up 11%, on a GAAP basis. International revenue for Q4 rose faster (up 12% before currency effects to $105.1m) than US revenue which rose just 2% to $369.6m despite a boost from Internet Solutions revenue which was up 11% to $30.5m.

For the full year 2008, revenue rose 7% before the effect of foreign exchange, to $1,726.3m; while operating income before non-core gains and charges was up 11% to $501.1m, or $469.7m, up 10%, on a GAAP basis.

The company forecasts core revenue growth of 2-5% before currency effects and operating income growth of 5-8% in 2009. It will continue its program to generate 'financial flexibility' via simplification of processes, including improvements to overall organisational design; reducing product complexity and eliminating and consolidating systems and technology infrastructure; simplifying and automating data collection processes; and centralizing management of key cost drivers, consolidating vendors and contract negotiation.

Web site: www.dnb.com .

All articles 2006-23 written and edited by Mel Crowther and/or Nick Thomas, 2024- by Nick Thomas, unless otherwise stated.