Wolters Kluwer, a leading multinational publisher and information services company, today announced improved performance for the first six months ended June 30, 2004, and raised expectations for the full year.

Financial performance highlights for the six months ended June 30, 2004, include:
Half-year results ahead of expectations and full-year outlook upgraded
Revenues €1,603 mln, organic revenues up 1% (including product pruning of €15 mln)
Ordinary EBITA €263 mln, 5% up in constant currencies; EBITA margin 16%
Strong free cash flow €182 mln, compared with €74 mln (HY 2003)
Structural cost savings of €30 mln ahead of schedule, representing 75% of annual target; target increased to €60 mln for full-year; FTE reduction target for full year largely achieved
Product development spending significantly above 2003 level, at 40% of full-year target
Proposal to maintain full-year 2004 dividend at 55 euro cents per share; going forward, proposal to change dividend policy from 1/3 payout of ordinary net income, to maintain a full-year dividend of €0.55 as long as there is a minimum dividend cover of 1.5.

Nancy McKinstry, Chairman of the Executive Board, commented: "We continue to be encouraged with the progress we are making. We remain focused on investing in those businesses best positioned for long-term, sustainable growth, while pruning product lines as appropriate. Reflecting our confidence in the strength of our business and in our growth prospects, we are proposing to maintain our full-year dividend at 55 euro cents per share. While there is a lot of work still to be done, these half year results put us well on track to achieve the goals set out in our three-year strategy."

During the first half year, the company continued to make progress implementing the strategic plan.

Wolters Kluwer's Health operations performed strongly, supported by the continued roll-out of new products
Corporate & Financial Services grew revenues by 10%, supported by new products, expansion into adjacent markets, and the positive effect of a stronger U.S. economy
Tax & Accounting expanded its number one market position, reflecting strong sales of new software products and integrated content libraries
In Europe, Wolters Kluwer's operations in Italy, Spain, and Central Europe showed strong revenue performance driven by new online and software products. These results were tempered by the continued restructuring and pruning efforts in the Netherlands, Belgium, and the UK
New product launches in the Education division reinforced its leadership positions in Europe. The division made good progress with its e-learning and blended learning solutions

Outlook Full-Year 2004
We raise our full-year outlook to reflect the clear improvements in underlying operations. We now expect ordinary EBITA margins of 14-16% (previously 14-15%), and ordinary EPS of between €0.99 and €1.10 (€0.99), all at constant currencies. We anticipate strong free cash flow of at least €300 million (€150-200 mln). Our expectation for revenue growth is maintained at 0-1%.

Cijfers stemmen ons (red. XEA.nl) tevreden en zitten aan de bovenkant van onze verwachting.
Toch blijven wij nog even op houden staan, want 1 zwaluw maakt nog geen zomer!
Wel blijven wij het bedrijf nauwlettend volgen.