Financial Data and Key Metrics Changes - The company reported a strong underlying revenue growth of 7% for the first nine months of the year, with an unchanged full-year outlook at both the group level and for each of the four business areas [2][4] - In the risk segment, underlying revenue growth was 8%, while business services, which accounts for over 40% of divisional revenue, also showed strong growth driven by Financial Crime Compliance and Fraud and Identity solutions [2][3] - The STM segment experienced a 5% underlying revenue growth, supported by new product introductions and strong article submission growth of over 20% [3][4] - The legal segment reported a 9% underlying revenue growth, with double-digit growth in law firms and corporate legal driven by the success of Lexis+AI [4][5] Business Line Data and Key Metrics Changes - Risk: Underlying revenue growth of 8%, with strong performance in Financial Crime Compliance and Fraud and Identity solutions [2][3] - Business Services: Continued strong growth, particularly in Financial Crime Compliance [2] - STM: Underlying revenue growth of 5%, with significant growth in databases and electronic reference tools [3] - Legal: Underlying revenue growth of 9%, with strong renewals and new sales across all key segments [4] Market Data and Key Metrics Changes - The legal industry is currently in relatively good shape, with law firms showing interest in leveraging new tools for competitive advantage [74] - The company maintains a strong position in the auto insurance market, continuously innovating and adding value without raising prices on existing tools [72] Company Strategy and Development Direction - The company is focused on a higher quality growth profile, driven by a shift towards higher growth analytics and decision tools [2][4] - The strategy includes integrating AI solutions across all relevant touchpoints in the legal ecosystem, enhancing customer accessibility and value [10][51] - The company aims to leverage AI-driven digital tools to add value in both academic and applied research, with a gradual increase in STM growth potential [36][37] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the long-term structural growth of the Financial Crime Compliance market, driven by innovation and technology [8][9] - The company anticipates gradual growth in the STM segment, acknowledging the complexity and regulatory nature of the industry [36][37] - Management noted that the legal industry is receptive to new product launches, indicating a positive sales cycle [75] Other Important Information - The company has established partnerships with around 25 legal technology vendors to enhance the accessibility of its AI solutions [10] - The company continues to focus on organic development while remaining open to acquisitions that align with its growth strategy [77] Q&A Session Summary Question: Growth in Financial Crime and Compliance - Management highlighted strong growth in Financial Crime Compliance driven by innovation and a long-term structural growth market [8][9] Question: Legal Product Sales - Management clarified that Protégé is designed to complement existing tools like Harvey, allowing law firms to utilize multiple solutions [10][13] Question: STM Solution Launch - The STM solution is positioned as a next-generation upgrade to ScienceDirect AI, with separate pricing and capabilities [19][20] Question: Legal Industry Financial State - Management indicated that the legal industry is in good shape, with law firms interested in leveraging new tools for competitive advantage [74][75] Question: Capital Allocation Strategy - Management confirmed a focus on organic growth, with buybacks and potential acquisitions considered to enhance development [77]

Financial Data and Key Metrics Changes - The company reported a strong underlying revenue growth of 7% for the first nine months of the year, with an unchanged full-year outlook at both the group level and for each of the four business areas [2][4] - In the risk segment, underlying revenue growth was 8%, while business services, which accounts for over 40% of divisional revenue, also showed strong growth driven by financial crime compliance and fraud solutions [2][3] - The STM segment experienced a 5% underlying revenue growth, supported by new product introductions and strong article submission growth of over 20% [3][4] Business Line Data and Key Metrics Changes - In the insurance sector, which represents around 40% of divisional revenue, strong growth was attributed to the expansion of solution sets and positive market factors [3] - The legal division saw an underlying revenue growth of 9%, with double-digit growth in law firms and corporate legal driven by the success of Lexis+ AI and the Protégé product [4][25] - The exhibitions segment also reported an 8% underlying revenue growth, reflecting improved event portfolio performance and digital initiatives [4] Market Data and Key Metrics Changes - The company continues to see positive momentum across all segments, indicating a healthy market environment for its offerings [2][4] - The legal industry is described as being in relatively good shape, with law firms interested in leveraging new tools for competitive advantage [75] Company Strategy and Development Direction - The company is focused on a long-term growth trajectory with a higher quality growth profile, driven by a shift towards higher growth analytics and decision tools [2][4] - There is an emphasis on integrating AI solutions across all business lines to enhance customer value and improve operational efficiency [10][39] - The company aims to maintain a competitive edge by continuously innovating and introducing new products that add value to customers [72][77] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the long-term structural growth of the financial crime compliance market, indicating that this growth is expected to continue [8][9] - The company is optimistic about the potential of AI-driven tools to enhance value for customers in both academic and applied research sectors, although growth in the STM segment may take longer to materialize [36][37] - Management noted that the legal industry is receptive to new product launches, which bodes well for future sales [75] Other Important Information - The company maintains a strong position in the auto insurance market, focusing on adding value through innovation rather than raising prices [72] - The company has a diverse portfolio of journals and continues to adapt to changes in open access and copyright regulations [40][49] Q&A Session Summary Question: Growth in financial crime and compliance - Management highlighted strong growth in financial crime compliance driven by innovation and a long-term structural growth market [8][9] Question: Legal product differentiation - Management clarified that Lexis+ AI and Protégé can coexist in law firms, enhancing their legal research capabilities [10][13] Question: STM solution launch timing - Management confirmed that the new STM solution is expected to be available for purchase early next year, with a focus on integrating it with existing products [19][20] Question: Legal industry financial state - Management indicated that the legal industry is in good shape, with law firms interested in leveraging new tools for competitive advantage [75] Question: Capital allocation strategy - Management stated that the focus remains on organic development, with buybacks used to balance capital structure while considering M&A opportunities that align with growth strategies [77]

Financial Data and Key Metrics Changes - The company reported a strong underlying revenue growth of 7% in the first nine months of the year, with an unchanged full-year outlook at both the group level and for each of the four business areas [1][3] - In the risk segment, underlying revenue growth was 8%, while business services, which accounts for over 40% of divisional revenue, also showed strong growth driven by financial crime compliance and fraud solutions [1][2] - The legal division experienced a 9% underlying revenue growth, with double-digit growth in law firms and corporate legal segments [2][3] Business Line Data and Key Metrics Changes - In business services, strong growth was attributed to financial crime compliance and fraud and identity solutions, with robust new sales [1][2] - The insurance segment, representing around 40% of divisional revenue, also saw strong growth due to the expansion of solution sets and positive market factors [2] - The STM segment had an underlying revenue growth of 5%, supported by new product introductions and renewals, with databases and electronic reference tools showing strong performance [2][3] Market Data and Key Metrics Changes - The legal segment's growth was driven by the success of Lexis+ AI and the rapid adoption of Protégé, the next-generation AI legal assistant [3] - The exhibitions segment reported an 8% underlying revenue growth, reflecting improved growth profiles and progress on digital initiatives [3] Company Strategy and Development Direction - The company is focusing on a higher quality growth profile, driven by a shift towards higher growth analytics and decision tools [1][3] - There is an emphasis on integrating AI solutions across various platforms to enhance customer accessibility and value [9][10] - The company aims to leverage AI-driven tools to add value in academic and applied research, with a gradual approach to growth in the STM segment [30][31] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the long-term structural growth of the financial crime compliance market, driven by innovation and technology [7][8] - The legal industry is currently in good shape, with customers interested in leveraging new tools for competitive advantage [67] - The company does not foresee any material impact from economic cycles on the growth trajectory of its STM division due to its global and diverse nature [26][27] Other Important Information - The company maintains a focus on organic development while being open to acquisitions that can enhance growth [71] - The legal division's renewal discussions are ongoing, with a significant portion of renewals now involving generative AI solutions [55][56] Q&A Session Summary Question: Growth in financial crime and compliance - Management noted strong growth in financial crime compliance due to ongoing innovation and a long-term structural growth market [6][7] Question: Differences between Protégé and Harvey - Management clarified that Protégé is designed to integrate with various legal tech tools, including Harvey, and aims to enhance customer accessibility [9][10] Question: New STM solution launch timing - The STM solution is expected to be available for purchase early next year, with a focus on being an upgrade to existing products [14][16] Question: Legal industry financial state and budget capacity - The legal industry is in relatively good shape, with customers actively seeking new tools to enhance their competitive edge [67] Question: Capital allocation strategy - The company plans to balance capital structure through buybacks while focusing on organic growth opportunities [71]

Core Thesis - The bullish thesis on RELX PLC highlights its strong financial performance, robust growth in digital revenue, and strategic integration of AI tools, positioning the company as a reliable long-term investment opportunity [1][5]. Financial Performance - In 2024, RELX generated £9,434 million in revenue, reflecting a 7% underlying growth, with adjusted operating profit of £3,199 million (+10% underlying) and adjusted EPS of 120.1p (+9% at constant FX) [2]. - By H1-2025, revenue reached £4,741 million (+7% underlying) and adjusted operating profit was £1,652 million (+9%), with cash-flow conversion at 100% and net debt/EBITDA at 2.2x [3]. Business Model and Market Position - RELX operates as a critical provider of professional tools across various sectors, including science, law, risk analytics, and exhibitions, with digital and electronic revenue accounting for approximately 83% of total revenue [2]. - The company's competitive advantage lies in its proprietary datasets and its embedded position in workflow-critical spending, serving scientists, lawyers, and financial institutions [3][4]. Growth Drivers - Underlying growth in H1-2025 was broad-based across segments: Risk +8%, Legal +9%, STM +5%, and Exhibitions +8%, driven by analytics and AI integration [4]. - The integration of AI tools such as Lexis+ AI, Nexis+ AI, and ScienceDirect AI is enhancing decision-making and scaling the company's global operations [4]. Shareholder Returns - Management has executed £1.0 billion of a £1.5 billion buyback program, supporting shareholder returns alongside a 7% interim dividend increase [3]. - The company has delivered approximately +328% total shareholder return (TSR) under CEO Erik Engström's leadership, significantly outperforming the FTSE 100's +83% [4]. Future Outlook - Despite facing potential risks from AI monetization delays and pricing pressures, the combination of steady underlying growth, AI-driven workflow penetration, disciplined buybacks, and strong free cash flow positions RELX as a reliable long-term compounder [5]. - Sustaining approximately 10-12% EPS growth with modest leverage could generate 2-3x returns over a cycle, emphasizing the power of compounding and operational execution [5].

Core Insights - The global publishing giants have transitioned from digital transformation to a new phase centered on artificial intelligence (AI), cloud platforms, and open access, focusing on business intelligence and integrated solutions to reshape the value chain and create new business moats [1] Group 1: Financial Performance - RELX reported a revenue of £4.741 billion (approximately ¥45.695 billion) for the first half of 2025, with a potential year-on-year growth of 7% and an adjusted operating profit of £1.652 billion (approximately ¥15.903 billion), also showing a potential growth of 9% [6][7] - Wolters Kluwer achieved a revenue of €3.052 billion (approximately ¥25.419 billion) for the first half of 2025, with a potential year-on-year growth of 5% and an adjusted operating profit of €865 million (approximately ¥7.204 billion), reflecting a 14% increase [11] - Springer Nature's revenue for the first half of 2025 was €926 million (approximately ¥7.715 billion), with a potential year-on-year growth of 6.2% and an adjusted operating profit of €241 million (approximately ¥2.008 billion), showing a potential growth of 9.8% [16][17] - Taylor & Francis reported a revenue of £3.29 billion (approximately ¥31.69 billion) for the first half of 2025, with a potential year-on-year growth of 11.9% and an adjusted operating profit of £110 million (approximately ¥1.06 billion), reflecting a potential growth of 17.8% [18] - Wiley's revenue for Q1 of FY2026 was $397 million (approximately ¥2.699 billion), a decrease from the previous year, but with an operating profit of $31 million, showing a 7% year-on-year increase [20] Group 2: Strategic Focus and Innovations - RELX has completed its transition from traditional print to digital publishing, with print revenue now accounting for only 4% of total revenue, and is focusing on personalized customer needs [8] - Wolters Kluwer is emphasizing cloud-based expert solutions, with 59% of total revenue coming from expert solutions, and is integrating generative AI technology into its product platforms [12] - Springer Nature is leading in open access business, with a significant increase in the number of articles published in fully open access journals, and has completed nearly all contract renewals for 2025 [17] - Taylor & Francis is accelerating the application of AI technology in publishing, including translating books into English to reduce costs and enhance international dissemination [18] - Wiley is focusing on content licensing and AI model training, with a significant increase in AI-related revenue and partnerships with leading tech companies to enhance its AI capabilities [21][22]