NEWS28 October 2010

Nielsen reports Q3 revenue up 5% in aftermath of power cut

Financials North America

US— A severe power outage at Nielsen’s Florida Data Centre knocked out a host of research and software services this week, however third-quarter results published today show there is still plenty of juice left in the business with revenue up 5% to $1.29bn.

The media measurement division, referred to as ‘Watch’, was up 1.1% to $418m, with double-digit growth in online and mobile bettering a flat performance in TV measurement, where year-on-year increases in spending by existing clients was offset by the closures of services in a number of markets.

Operating income for the division was $81m, versus a loss of $313m last year. Nine-month revenue was up 3.8% to $1.26bn.

‘Buy’, Nielsen’s consumer research arm, saw revenue increase 7% to $808m, driven by 20% growth in developing markets revenue versus 1.9% in developed markets. Information services – the retail measurement and consumer panel businesses – increased sales 4.1% to $566m while the product forecasting, modelling and other analytics services that make up the Insight business line grew 14.7% to $242m.

Operating income was up 12.1% to $107m, while the division’s nine-month revenue increased 9.7% to $2.35bn.

The remaining $63m in group third-quarter revenue was attributed to Nielsen’s expositions business.

Meanwhile, in Florida, work continues to restore all services affected by the power cut.

  • Nielsen announced today the appointment of Justin Sargent as managing director for the company’s consumer businesses in India. He was previously MD of UK and Ireland, but his successor there has yet to be named.