Nielsen Third Quarter Income Rises
October 21, 2015 at 7:34 PM (PT)
NIELSEN HOLDINGS PLC third quarter 2015 revenues fell 2.6% year-to-year to $1.531 billion due to the impact of foreign exchange rates, but up 5% on a constant currency basis, the company’s 37th consecutive quarter of constant currency revenue growth, boosted by a "seasonally strong quarter" for NIELSEN AUDIO. Adjusted EBITDA rose 0.4% to $479 million (6.9% on a constant currency basis); Net income jumped 54.3% (102.9% on a constant currency basis) to $142 million, aided by the effect of debt refinancing in 2014; adjusted net income was flat at $256 million but up 9.4% on a constant currency basis.
CEO MITCH BARNS said, “NIELSEN’s third quarter results exemplify our strong value-generating business model with revenue growth of 5.0%, consistent margin expansion across both our Watch and Buy businesses on a constant currency basis, and record quarterly free cash flow generation, up 19% over last year. Our growth was driven by many important competitive wins all over the world. Our Buy business, which grew 4.1%, had its fifth consecutive quarter of margin expansion, both on a constant currency basis. Our Watch segment grew 6.1% on a constant currency basis due to strength in Audience Measurement, as our clients embed our digital measurement and analytics into their day-to-day decision-making.
“The initial release of Digital Content Ratings has gone smoothly and we’re pleased with the feedback we’ve received as it is the final piece of our Total Audience Measurement framework. We know how important the execution of our product roadmap and the subsequent industry adoption of our solutions is to our ability to drive value for our clients and we feel very confident about our progress here. As our products continue to gain traction, we’re having meaningful conversations with clients and major industry voices in order to move toward a new definition of the currency ratings.”