• Nielsen  2 downloadAnnounces $1b Share Repurchase Authorization
  • Q3 2014 revenues increased 13.3% to $1.57 billion, up 14.4% in constant currency
  • Adjusted EBITDA for the quarter grew 19.8% to $477 million, up 22.0% in constant currency
  • Income from continuing operations per share on a diluted basis for 3Q’14 was $0.24 compared to $0.35 in 3Q’13, primarily due to recent debt refinancing fees
  • Adjusted Net Income per share on a diluted basis for 3Q’14 was $0.66, up 32.0% compared to $0.50 in 3Q’13
  • Free cash flow of $289 million, up 17.0% compared to 3Q’13

Nielsen N.V. (NYSE: NLSN) announced financial results for the third quarter ended September 30, 2014.  “In the third quarter, we continued to extend our leadership position moving forward with product innovation, new client wins and strategic partnerships as we keep apace with evolving consumer behavior across the globe. This quarter also marks a continuation of our well-established path of consistent revenue growth and margin expansion,” commented Mitch Barns, Chief Executive Officer of Nielsen.

Barns continued, “We are pleased that the Board authorized an additional $1 billion for our share repurchase program. Combined with the approximately $400 million remaining in our current program, we now have a total capacity for $1.4 billion in share repurchases, which we expect to complete by mid-year 2016. Paired with our ongoing commitment to quarterly dividend payments, returning capital to shareholders continues to be an important component of our capital allocation strategy and reflects our confidence in our strong balance sheet and ability to generate free cash flow.”

Third Quarter 2014 Operating Results

Revenues for the third quarter increased 13.3% to $1,572 million, or 14.4% on a constant currency basis, compared to the third quarter of 2013. Revenues, excluding the impact of the Arbitron and Harris acquisitions, increased 2.5%, or 3.4% on a constant currency basis.

Revenues within the Buy segment grew 3.5%, or 4.9% on a constant currency basis, to $878 million. Excluding Harris, Buy revenues grew 2.0% on a constant currency basis, driven largely by new client wins and 10.3% growth in Emerging markets, partially offset by anticipated softness in our Insights business in North America. On a constant currency Page 2 of 7 basis, Information services revenue grew 3.7%, while Insights revenue increased 9.2%.  Excluding Harris, Insights revenue declined 3.8%.

Revenues within the Watch segment increased 28.8%, or 29.2% on a constant currency basis, to $694 million. Excluding the Arbitron acquisition, Watch revenues increased 5.2%, or 5.6% on a constant currency basis, driven by continued strength in Audience Measurement, including Digital, and Advertiser Solutions.

Adjusted EBITDA for the third quarter increased 19.8% to $477 million, or 22.0% on a constant currency basis, compared to the third quarter of 2013. Adjusted EBITDA margins grew 164 basis points, or 188 basis points on a constant currency basis, due to the accretive impact of acquisitions and the benefit of ongoing productivity initiatives.

Source: Nielsen Earnings Release