Axel Springer Cuts Revenue Forecast
ATTENTION - CORRECTION: CORRECTS In Para 8 To Xxx 2.3 Percent Increase In The First Half Xxx Sted 0.5 Percent As Sent. Here Is A Corrected Repetition:
Fahad Shabbir (@FahadShabbir) Published August 03, 2016 | 02:01 PM
FRANKFURT,(APP - UrduPoint / Pakistan Point News - 3rd Augst,2016) - German media group Axel Springer cut its full-year revenue forecast on Wednesday after a first half burdened by costs from a Swiss joint venture. The board "slightly adjusted the revenue forecast and expects stable development rather than the slight growth originally predicted," the group said in a statement with its second-quarter results. Between April and June, Springer posted a net profit of 63.8 million euros ($71.5 million), a fall of 6.2 percent compared with the same period in 2015 and short of the 81 million predicted in a Factset survey of analysts. Revenue increased by 0.7 percent to 801.9 million euros, while underlying, or operating, profit as measured by EBITDA was steady at 147 million euros. That contributed to a first half that saw revenues grow just 0.5 percent to 1.59 billion euros, burdened by Currency effects and "significant deconsolidation effects" from the founding of Springer's Swiss joint venture with fellow publisher Ringier.
Adjusting for these effects, Springer said its revenues would have increased by 5.3 percent. The group boosted its net profit in the first half from 111 million euros in 2015 to 273 million Euros this year, helped by one-off items like the sale of Indian car trading website CarWale and income linked to the joint venture. Springer said that "despite considerable economic and political risks", it would maintain its objective of 5.0 percent growth in operating profit for the year after achieving a 2.3 percent increase in the first half. The group has put its faith in digital offerings, which now account for 67 percent of its revenue. "We're confident that our investments in digital growth are increasingly paying off," chief executive Mathias Doepfner said in a statement. Analyst Harald Heider of DZ bank agreed, saying that the "solid" second-quarter results kept Springer on track for its targets.
Related Topics
Recent Stories
Lahore tops list of world’s most polluted cities as smog crisis worsens
Birth anniversary of Dr. Allama Muhammad Iqbal today
Section 144 imposed in Rawalpindi amid PTI’s rally in Swabi
Passports Fees-Check complete details here
Pakistan, Australia to face off each other in final ODI tomorrow
24 killed, 50 injured in blast at Quetta Railways station
Currency Rate In Pakistan - Dollar, Euro, Pound, Riyal Rates On 9 November 2024
Today Gold Rate in Pakistan 09 November 2024
PITB Revamps Punjab Govt Portal
UNESCO kicks-off consultations on media, information literacy strategy for Pakis ..
Good news for Pakistanis as passport delay issue resolved
SHC directs police to find MQM London worker Saqib Afirdi missing for last nine ..
More Stories From World
-
Germany marks 1989 Berlin Wall fall with 'Preserve Freedom' party
19 minutes ago -
Greece's main opposition party hit by new defections
19 minutes ago -
Cycling great Cavendish announces retirement
29 minutes ago -
Cycling great Cavendish announces retirement
39 minutes ago -
Gaza rescuers say 14 killed in Israeli strikes
2 hours ago -
China's Xi hails 'new chapter' in relations with Indonesia
2 hours ago
-
Top art collector displays rare treasures in Madrid
4 hours ago -
China's Xi hails 'new chapter' in relations with Indonesia
4 hours ago -
Famine imminent in besieged northern Gaza, experts say
4 hours ago -
China's Xi meets Indonesian president in Beijing
4 hours ago -
China's Xi meets Indonesian president in Beijing: state media
4 hours ago -
South Sudan floods affect 1.4 million, displace 379,000: UN
5 hours ago