This excerpt taken from the RTRSY 6-K filed May 1, 2008.
Reuters Group PLC Actual First-Quarter 2008**
· Reuters first-quarter revenue increased 13% to $1.4 billion driven by continued customer demand for transaction and information products in foreign exchange, commodities and energy markets; for enterprise information products, and from growth in emerging markets.
· Organic revenue growth of 10% was aided by new features and products developed in the Core Plus program, including the addition of high value content to Reuters Knowledge, electronic trading initiatives such as Prime Brokerage, and expanded enterprise solutions such as Reuters Datascope.
· Operating profit was $335 million in the first quarter, representing a 242% increase compared to the same period in 2007. The corresponding margin was 23.6% compared to 7.8% for the first quarter of 2007. Operating profit includes a favorable accounting adjustment of approximately $115 million associated with the re-measurement of the assets and liabilities of a pension plan at March 31, 2008. Operating profit and margins further benefited from operating leverage, as revenue grew significantly.
· Underlying operating profit, which excludes amortization of acquired intangible assets and other items affecting comparability, increased 88% to $248 million from $132 million in the prior year. Underlying operating profit margin increased 700 basis points to 17.5%.
· During the first quarter, Reuters Group PLC had cash outflows of approximately $500 million relating to its share buyback program and an acquisition.