Informa PLC (LSE:INF) is expected to reaffirm its financial year 2026 guidance at its annual meeting trading update on 18 June, but uncertainty over the impact of the Middle East conflict on its events portfolio is likely to limit the insight management can offer, according to Citi.
The broker said any potential disruption to Informa's IMEA, meaning its India, Middle East and Africa events portfolio, is difficult to quantify at this stage, given the lack of clarity on a broader regional settlement, and noted that the affected events are more heavily weighted towards the fourth quarter, making it too early for management to take definitive decisions.
Citi said it expects additional disclosure on the potential impact to be limited at the June update as a result.
On a more positive note, the broker said the acquisition of events business Hyve by private equity firm Hellman and Friedman this week demonstrates that private market valuations for events companies remain robust, reinforcing Citi's view that Informa is likely to direct any surplus cash towards share buybacks rather than further acquisitions.
Informa, which operates across academic publishing, business intelligence and large-scale events, has built a substantial presence in the Middle East through its Taylor and Francis and business events divisions.
Citi said it is maintaining a cautious stance and regards a wait-and-see approach as prudent until there is greater clarity on the scale of any disruption to the IMEA portfolio.
