Stock Markets July 23, 2026 05:24 AM

Relx Posts Strong H1 2026 Results; Legal Division Drives Revenue and Margin Gains

Underlying revenue and adjusted operating profit rise, management reaffirms full-year outlook and addresses AI disruption concerns

By Maya Rios
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RELX

Relx reported robust first-half 2026 results, with underlying revenue up 7% to ,871 million and adjusted operating profit up 9% to 727 million; adjusted EPS rose 11% at constant currency. The Legal business led growth, supported by uptake of AI-enabled products, and the company widened adjusted operating margin to 35.5%. Pre-market trading reflected investor approval as Relx shares gained, contrasting with a subdued broader market ahead of the open.

Relx Posts Strong H1 2026 Results; Legal Division Drives Revenue and Margin Gains
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Key Points

  • Relx reported 7% underlying revenue growth to ,871 million and 9% adjusted operating profit growth to 727 million, with adjusted EPS up 11% at constant currency.
  • The Legal segment was the primary driver, with 10% underlying revenue growth and 13% adjusted operating profit growth, supported by adoption of Lexis+ and the Protege workflow platform.
  • Adjusted operating margin widened by 70 basis points to 35.5%, and management reaffirmed its full-year outlook, giving investors a fundamentals-based reason to bid shares higher despite a muted broader market.

Relx's first-half 2026 interim results prompted a positive reaction in pre-market trading, with the stock rising 2.0% after the London-headquartered information analytics group released its numbers. The company reported 7% underlying revenue growth, taking revenues to ,871 million, while adjusted operating profit grew 9% to 727 million. Adjusted earnings per share increased 11% at constant currency.

Executives said that each of the group's four business divisions contributed to the improvement in the first half. Management also reaffirmed its full-year guidance, maintaining expectations for continued strong underlying growth in revenue, adjusted operating profit, and EPS for 2026.

The Legal division emerged as the standout performer, recording 10% underlying revenue growth and a 13% increase in adjusted operating profit. Company commentary attributes the strength in Legal to accelerating adoption of AI-enabled offerings, specifically naming Lexis+ and the Protege workflow platform as drivers of customer uptake.

On a margin basis the group saw adjusted operating margin expand by 70 basis points to 35.5%, a move the company linked to a shift in business mix toward higher-margin analytics and decision tools. That mix shift and margin expansion were cited as material contributors to the improved profitability metrics.

Chief Executive Officer Erik Engstrom highlighted the companys overall performance, saying the group delivered "strong underlying revenue and profit growth and strong new sales in the first half of 2026," and that Legal delivered "a further step up in growth."

The results carry weight against a backdrop of prior investor concern about potential third-party AI disruption. Specifically, market participants had expressed worry that Anthropic's legal AI tool might erode Relx's core Legal franchise. The companys robust H1 showing, and Legals particular strength, provided tangible evidence that Relx's proprietary data assets and embedded workflow tools continue to hold competitive ground, according to the reporting.

Relxs stock gain came even as the broader market was trading cautiously: the S&P 500, Dow Jones, and Nasdaq were all modestly in the red ahead of the open. Taken together, the combination of broad-based divisional growth, margin expansion, a reaffirmed full-year outlook, and a direct rebuttal of prominent AI disruption fears appeared to give investors a clear, fundamentals-based reason to bid the shares higher in pre-market trading.

Risks

  • Investor concerns about third-party AI disruption - notably fears over Anthropic's legal AI tool - had previously weighed on Relx shares and represent an ongoing uncertainty for the Legal franchise.
  • The company has reaffirmed its full-year outlook; failure to deliver on those expectations would introduce downside risk to performance and share price.
  • Broader market caution - with major indices trading modestly lower ahead of the open - could limit upside momentum even as company-specific fundamentals improve.

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