NZZ Group 2008: Decline in profit and sales
The NZZ Group’s revenue fell by a modest 2.3 percent to 538.1 million francs in the past fiscal year. Profit, however, fell by half compared with 2007. Nevertheless, the group was able to further increase its high equity ratio and is thus in a rock-solid position.
The NZZ Group's profit fell by 51.2 percent to 22.2 million francs in the 2008 financial year. Turnover fell by 2.3 percent to CHF 538.1 million. The decline is mainly due to the sharp drop in the advertising market. The financial crisis that emerged in mid-2007 had an unexpectedly severe impact on the real economy in the second half of 2008 and triggered a sharp drop in advertising revenues, the NZZ Group announced on Friday. The company management does not expect the next upturn in the advertising market before mid-2011.
Equity ratio further expanded
In the NZZ division (including Neue Zürcher Zeitung, NZZ am Sonntag and NZZ Online), sales fell by 2.9 percent to 222.9 million francs. In addition, the investment in Internet activities had an impact of CHF 9.5 million on the operating result before interest and taxes, according to the press release. The NZZ Group's equity ratio, which was already very high, improved further - from 68.7 to 71.5 percent. The number of employees increased from 1,780 to 1,796 due to investments in new and existing products and acquisitions.
Freie Presse Holding with solid result
Turnover in the Freie Presse Holding (FPH) division with its holdings in regional publishers (Neue Luzerner Zeitung, St. Galler Tagblatt, Radio Pilatus and FM1 as well as Tele 1 and Tele Ostschweiz) fell by 1.7 percent to CHF 316.6 million. FPH's profit fell by 54.4 percent to CHF 15.6 million. Despite the decline of 24.2 percent to CHF 20.7 million, the operating result before interest and taxes was solid, according to the company management.
Zentralschweiz am Sonntag slows down decline in advertising
The decline in advertising at FPH was moderate with a minus of CHF 3.6 million. Advertising income from the launch of Zentralschweiz am Sonntag in September 2008 contributed to this in particular. Press and media manager Bernd Kundrun will be proposed for election as the new Board of Directors at the Annual General Meeting on April 18. He is to replace former FDP Federal Councillor Kaspar Villiger, who is running for Chairman of the Board of Directors of UBS.
Equity ratio further expanded
In the NZZ division (including Neue Zürcher Zeitung, NZZ am Sonntag and NZZ Online), sales fell by 2.9 percent to 222.9 million francs. In addition, the investment in Internet activities had an impact of CHF 9.5 million on the operating result before interest and taxes, according to the press release. The NZZ Group's equity ratio, which was already very high, improved further - from 68.7 to 71.5 percent. The number of employees increased from 1,780 to 1,796 due to investments in new and existing products and acquisitions.
Freie Presse Holding with solid result
Turnover in the Freie Presse Holding (FPH) division with its holdings in regional publishers (Neue Luzerner Zeitung, St. Galler Tagblatt, Radio Pilatus and FM1 as well as Tele 1 and Tele Ostschweiz) fell by 1.7 percent to CHF 316.6 million. FPH's profit fell by 54.4 percent to CHF 15.6 million. Despite the decline of 24.2 percent to CHF 20.7 million, the operating result before interest and taxes was solid, according to the company management.
Zentralschweiz am Sonntag slows down decline in advertising
The decline in advertising at FPH was moderate with a minus of CHF 3.6 million. Advertising income from the launch of Zentralschweiz am Sonntag in September 2008 contributed to this in particular. Press and media manager Bernd Kundrun will be proposed for election as the new Board of Directors at the Annual General Meeting on April 18. He is to replace former FDP Federal Councillor Kaspar Villiger, who is running for Chairman of the Board of Directors of UBS.
