Updated February 16th, 2024 at 17:06 IST

RELX forecasts another year of strong growth driven by AI innovation

According to the company's latest financial report, adjusted operating profit surged by 13% to £3.03 billion in 2023.

Reported by: Business Desk
RELX financial performance | Image:RELX
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RELX financial performance 2023: London-based information and analytics conglomerate RELAX has projected robust performance for 2024, buoyed by the increasing demand for its new generative AI products among legal, academic, and scientific communities.

The positive outlook follows a successful year in 2023, where RELX achieved accelerated profit growth compared to revenue, attributed to advancements in its analytical tools and a resurgence in demand for its exhibitions business.

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According to the company's latest financial report released on Thursday, adjusted operating profit surged by 13 per cent to £3.03 billion ($3.8 billion) in 2023, accompanied by an 8 per cent rise in revenue to £9.16 billion.

Earnings per share also experienced a notable 11 per cent increase to 114.0 pence, surpassing market expectations of 112.7 pence.

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In response to the promising financial performance, RELX shares, which have demonstrated a remarkable 36 per cent ascent over the past 12 months, surged by 1.5 per cent during morning trading. Analysts at Citi praised the company for delivering a "characteristically reassuring set of results."

Nick Luff, Chief Financial Officer at RELX, highlighted the successful deployment of commercial generative AI within the company's LexisNexis legal business in October.

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"The feedback from our customers has been overwhelmingly positive," Luff stated in an interview. "They are experiencing significant efficiency gains, whether it's in summarizing documents, conducting legal research, or drafting court submissions."

Furthermore, RELX has recently introduced an AI product within its scientific, technical, and medical unit, leveraging summaries and citation content to enhance conversational search capabilities. Luff noted that the product has already garnered positive feedback from researchers.

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(With Reuters inputs)

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Published February 15th, 2024 at 15:28 IST