Nielsen Holdings (NLSN) Misses Q4 EPS by 2c, Revenues Beat; Offers FY19 EPS Guidance Above Consensus, FY19 Revenue Guidance Below Consensus

Nielsen Holdings (NYSE: NLSN) reported Q4 EPS of $0.28, $0.02 worse than the analyst estimate of $0.30. Revenue for the quarter came in at $1.66 billion versus the consensus estimate of $1.65 billion.

David Kenny, Chief Executive Officer of Nielsen, commented, "2018 was a challenging year but we delivered on our key operational metrics for the second half and positioned ourselves for 2019. I am excited to join Nielsen at such a pivotal time in the company's history. Our focus for 2019 is on transforming into a truly product-driven, technology organization, able to make faster, bolder decisions. We expect these strategies to translate into improved performance in 2019 and beyond as we increase our value to clients."

"As part of this transformation, we've also reorganized into two new segments, Nielsen Global Media and Nielsen Global Connect, which better reflect our platforms and vision for the future. These moves better align our external view to our go-forward internal view, help drive greater accountability throughout the organization, and are consistent with a product-driven focus. Altogether, the initiatives we have in place are setting up a strong foundation from which we expect to drive greater revenue growth, profitability and shareholder value over the coming years."

Kenny continued, "The strategic review is ongoing and the Board is working with urgency on this process. As previously discussed, this could include continuing to operate as a public, independent company, a separation of either Nielsen\'s Global Media or Global Connect segment, or a sale of the whole company. The process that we are undertaking will enable us to determine the best path forward in order to maximize value for all of our shareholders."

Outlook

Dave Anderson, Chief Financial Officer, commented, "We are focused on driving operational excellence and end-to-end accountability throughout the organization. Our 2019 plan reflects this, including the clear strategic requirements that will enable us to deliver on our 2019 goals and serve as the foundation for growth and value creation over the medium and long-term. Our continued focus on productivity initiatives will enable us to invest for growth, with smart and disciplined resource allocation and capital deployment. We have a strong commitment to deliver on all fronts."

GUIDANCE:

Nielsen Holdings sees FY2019 EPS of $1.63-$1.77, versus the consensus of $1.20. Nielsen Holdings sees FY2019 revenue of $6.485 billion, versus the consensus of $6.5 billion.

The company is providing full year 2019 guidance, as highlighted below:

• Total revenue growth on a constant currency basis: Flat to +1.5%
• Adjusted EBITDA margin: 28 - 29%
• Adjusted EBITDA: $1,800 - 1,900 million
• Adjusted earnings per share: $1.63 - $1.77
• Free cash flow: $525 - $575 million

For earnings history and earnings-related data on Nielsen Holdings (NLSN) click here.

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