United Business Media plc

		Group Turnover Twelve months to 31 December (£m)				Group Operating Profit* Twelve months to 31 December (£m)
	2004	2003	Change (%)	Underlying (%) #	2004	2003	Change (%)	Underlying (%) #

CMP Media	193.8	210.5	(7.9)	(3.2)	23.0	14.8	55.4	52.0
CMPMedica	29.8	–	100.0	–	3.4	–	100.0	–
CMP Asia	50.5	44.4	13.7	9.4	15.0	12.6	19.0	7.5
CMPi	159.3	135.0	18.0	4.1	33.6	25.3	32.8	10.4
UAP	58.5	58.1	0.7	0.0	13.2	14.0	(5.7)	(8.0)

Professional Media	491.9	448.0	9.8	0.6	88.2	66.7	32.2	14.8

News Distribution	94.8	94.8	0.0	10.6	24.0	13.4	79.1	103.2

Market Research	222.9	203.9	9.3	5.3	20.1	19.3	4.1	(12.1)

Total	809.6	746.7	8.4	3.2	132.3	99.4	33.1	20.0

# Underlying: adjusted for the estimated effects of acquisitions, foreign exchange, SARS and biennial events
* before amortisation of goodwill and intangible assets and exceptional items

Underlying revenue was up 3.2 per cent – after adjusting for the effects of acquisitions, foreign exchange, SARS and biennials. Group revenue in 2004 increased by £90.1m of revenue from 2004 acquisitions and the full year effect of acquisitions made during 2003. The weakness of the US dollar has a direct translation impact – with two thirds of UBM revenue reported locally in US dollars, group revenue was reduced by £53.0m as a result of foreign exchange.

The average rate of £:$ exchange in 2004 was 1.83 (1.64), together with the effects of other currency movements this reduced operating profit in 2004 by £7m. A 1 cent movement in the US dollar against sterling is approximately equivalent to a move in profit of around £300,000 over the full year.

Professional Media

	Turnover Twelve months to 31 December			Operating Profit* Twelve months to 31 December
	2004 %	2003 %	Change %	2004 %	2003 %	Change %

CMP Media	193.8	210.5	(7.9)	23.0	14.8	55.4
CMPMedica	29.8	–	100.0	3.4	–	100.0
CMP Asia	50.5	44.4	13.7	15.0	12.6	19.0
CMPi	159.3	135.0	18.0	33.6	25.3	32.8
UAP	58.5	58.1	0.7	13.2	14.0	(5.7)

Total	491.9	448.0	9.8	88.2	66.7	32.2

Profitability at CMP Media has improved significantly. An increase in operating margins from 7.0 per cent to 11.9 per cent has boosted operating profits to £23.0m (£14.8m). Despite tougher comparatives in the second half of 2003, overall full year underlying technology revenues were only down 1 per cent – online revenues were strongly up by 29 per cent, events were up 11 per cent, continuing revenues from traditional print publishing were down 2 per cent. CMP Media’s online business moved into operating profit. Custom marketing solutions and integrated multi-media marketing packages continue to do well, to the overall benefit of CMP Media’s technology business – this does however dilute traditional print yields which were down 1.5 per cent.

In 2004 CMP Healthcare Media was 18 per cent of CMP Media’s total revenue. Last year’s healthcare acquisition (The Oncology Group and Cliggott Publishing) is fully integrated and performed ahead of its business case. Underlying healthcare publishing revenues were up 7.6 per cent. Revenue from the medical education business was down 31.6 per cent as the regulatory issues of the second quarter registered in both the third and fourth quarters of 2004.
Further operating efficiencies were achieved across CMP Media. In addition, organic investment projects delivered £12m of revenue and £4m of incremental contribution.

CMPMedica, acquired on 30 July 2004, is ahead of plan. CMPMedica’s underlying revenues are up 6.4 per cent, with the important French market performing well. CMPMedica’s subsequent JV acquisition of Axilog is providing it with greater access to doctors’ desktops in France.

CMP Asia’s profit is now well ahead of pre SARS levels, with visitor attendance at Hong Kong shows up by around 40 per cent on 2003, and particular successes from the jewellery fairs, the beauty fair and the natural health fairs in Japan. Profits of £15.0m reflected improved strength in the established business and the effects of the steady flow of new products launched in recent years.

CMP Information increased exhibition space and – boosted by the acquisitions and new product launches – grew display market share in the UK and US to 38 per cent (35 per cent). Revenues increased by 18.0 per cent and further improvements in margin drove a 32.8 per cent increase in operating profit. This growth was boosted by the businesses acquired in 2003 (including The Builder Group and Barbour Index) which are performing ahead of plan. Increased product improvements and launches helped to grow underlying revenue by 4.1 per cent and underlying operating profit by 10.4 per cent.

UAP’s performance in the second half of 2004 saw a continuation of the mixed trends in the first half. Overall revenue was stable, with strong performances from Daltons Weekly and DaltonsBusiness.com, continued progress at Auto Exchange, but a decline in revenue at Exchange & Mart. Margins were down due to the costs of restructuring, promotions and reinvestment in core brands.

In 2005 UAP is investing in the E&M brand in order to accelerate the migration online. The acquisition in February 2005 of The Publican and other licensed trade assets strengthens the breadth and depth of UAP’s range of specialist titles and offers cross selling opportunities with the Businesses for Sale section of Daltons Weekly.

MULTIMEDIA STRATEGY DRIVING STRONG GROWTH
“Underlying revenue growth and significantly increased operating margins delivered an operating profit* of £132.3 m, up 33.1 per cent. Underlying revenue grew by 3.2 per cent, with underlying operating profit* up 20.0 per cent.”

PR Newswire – News Distribution

	Turnover Twelve months to 31 December			Operating Profit* Twelve months to 31 December
	2004 %	2003 %	Change %	2004 %	2003 %	Change %

PR Newswire	94.8	94.8	–	24.0	13.4	79.1

PR Newswire achieved a 103.2 per cent increase in underlying operating profit, an operating margin increase to 25.3 per cent , up from 14.1 per cent in 2003, and an underlying 10.6 per cent increase in revenue.

There were three main factors behind PR Newswire’s growth; improvements in core US wire volumes and yield, the increasing success of organic product launches, and significant improvements in the profitability of operations outside of the Americas.

US wire volumes increased by 3.7 per cent with yields up 6.6 per cent. The core messaging business benefited from the strength of the Canada Newswire JV which achieved a 15 per cent increase in revenue and a 14 per cent increase in operating profit. Video news release and media contacts database products, both grew revenue by over a third, generating £10m in revenue and moving into profit. Effective cost control has succeeded in turning the businesses outside America from a £2.7m loss in 2003 into a profit in 2004.

NOP World – Market Research

	Turnover Twelve months to 31 December			Operating Profit* Twelve months to 31 December
	2004 %	2003 %	Change %	2004 %	2003 %	Change %

NOP World	222.9	203.9	9.3	20.1	19.3	4.1

Mediamark Research, Allison Fisher, Eurisko and NOP Research each grew revenue by over 10 per cent, together they accounted for over 90 per cent of NOP’s total profit. Additionally there are signs of improvement in the US healthcare and consumer business. The reorganisation of NOP along sector lines and the investment in new products, improved marketing and higher productivity is now boosting the performance of the custom businesses. Non-recurring restructuring costs and losses on discontinued businesses reduced operating profit by £3m.

FIXED ASSET INVESTMENTS
UBM holds investments in five, ITN, SIS, SDN, Paperloop and The Press Association. Five revenue grew by 11.1per cent to £288.8m (£259.9m) and increased operating profit to £19.5m (£8.5m). Audience share increased to 6.7 per cent (6.6 per cent) and share of advertising revenue increased from 8.1 per cent to 8.3 per cent. Five’s share of Individual’s viewing on the Freeview platform has increased to 9.3 per cent.

OFFSHORING AND OUTSOURCING
UBM has stepped up its programme of offshoring and outsourcing. Projects already offshored or outsourced include data processing, telephone interviewing, software upgrades, website conversions and circulation management. New projects currently being finalised or in planning are not expected to have a material effect in 2005 but should realise annualised savings of approximately $20m by 2007.

Malcolm Wall
Chief Operating Officer
24 February 2005