Bloomsbury Publishing PLC (LSE:BMY) senior executives Nigel Newton (CEO), Penny Scott-Bayfield and Jenny Ridout talk through another bumper set of results.
Proactive: Nigel, Can you talk to us about some things that have happened, especially the acquisition that’s set Bloomsbury on a strong path?
Nigel Newton: The exciting thing about these results is that we’ve conquered one of the long-term weaknesses of Bloomsbury since its founding in 1986, which was being highly dependent on Christmas sales.
“Our results used to be cliffhangers, but thanks to diversification, especially into academic publishing, we now have a more balanced year.
“We don't break even in the first half and make all the money in the second half anymore.
“Revenues are up 32% to £180 million, and profits have jumped 50% to nearly £27 million.
“So, I can finally enjoy Christmas with my family without worrying about year-end pressures.
Proactive: You mentioned acquisitions. We’ve talked about Roman and Littlefield before. How's that going?
Nigel Newton: Roman and Littlefield has been a model acquisition in multiple ways.
“First, their books exceeded our expectations. One key project is the 24-volume revised standard edition of the collected works of Sigmund Freud.
“It's a fantastic resource, especially for academic libraries worldwide.
“Secondly, the financials are tracking well, and we haven't seen the usual post-acquisition nosedive.
“Lastly, the integration team, led by Penny and Jenny among others, has done a brilliant job.
Proactive: I noticed that Bloomsbury has increased in some rankings too. Another positive for you to talk about.
Nigel Newton: Absolutely. While I was on holiday, I got a message saying that Bloomsbury had entered the FTSE 250, which makes us one of the 350 largest public companies in the UK.
“Additionally, today’s results have boosted our market capitalization from £500 million to £600 million. In another ranking, we’ve moved up from 51st to 39th among the world’s largest publishing companies.
Proactive: Let’s bring Penny (CFO) and Jenny (MD non-consumer) into the conversation. Penny, could you talk about the consumer division’s strong performance?
Penny Scott-Bayfield: The numbers are very strong, with consumer revenue up 47% to £131 million, and consumer profit growth at 91%.
This highlights the success of our consumer publishing portfolio, which spans cookery, fantasy, romance, and children’s books.
Proactive: And Harry Potter is still performing well?
Penny Scott-Bayfield: Yes, 27 years after its initial publication, Harry Potter is still generating strong sales.
Warner Brothers is producing a new series, one season per book, which will likely introduce the series to a whole new audience.
And of course, Sarah J. Maas’ titles have also been phenomenal, with her sales growing 102% year-on-year.
Proactive: Jenny, could you share insights on the academic division, especially with the Roman and Littlefield acquisition?
Jenny Ridout: We’re really pleased with how the Roman and Littlefield acquisition is progressing. It has enhanced our academic profile, particularly in the US, and broadened our subject areas like business management and psychology.
We’re also digitizing their 41,000 titles, which will be available on our Bloomsbury Collections platform, aligning with the growing demand for digital academic resources.
Proactive: Is the shift to digital materials part of the current trend in the academic market?
Jenny Ridout: Yes, there's a significant shift from print to digital in higher education. Institutions now require 24/7 access to course materials and research, driven by hybrid and remote learning.
Despite financial pressures on institutions, especially in the UK, there’s rising demand for tertiary education globally, which is boosting the need for digital resources.
Proactive: And lastly, let's talk about AI. Are you seeing its impact on the publishing world?
Jenny Ridout: Absolutely. Our approach to AI is responsible and ethical.
“We are exploring licensing deals and ensuring that AI serves our core mission while upholding intellectual property rights.”