Nielsen revenue up 1% amid ‘tougher environment for corporate spending’

Net income increased to $273m from $86m a year ago.

In the fourth quarter, revenue increased 3% to $1.5bn, driven by a 3% increase in the Buy segment and a 5% increase in Watch. Expositions was down 19%.

Within Buy, Nielsen reported global growth in its information services offerings, thanks to increased client investment in retail measurement. However, it said that insights services declined due to “lower discretionary spending” by clients.

Net income decreased in the quarter to $39m from $95m, although 2012’s figures included charges of $70m relating to the redemption and repayment of certain debts.

Summing up, CEO David Calhoun said: “Our fourth quarter results showed strong growth in recurring revenue and continued margin expansion while our full year performance demonstrated the overall resilience of our business despite a tougher environment for corporate spending.”

• Nielsen yesterday disclosed an amended deal with outsourced services firm Tata Consultancy, extending the previously agreed 10-year deal to 2020. It was originally set to expire in 2017. Nielsen has committed to buying $2.5bn-worth of services over the life of the contract, including IT support, business process outsourcing, management sciences, analytics and financial planning services. It had originally committed to spend $1bn.