Basler Zeitung Medien with reduced profit
Although Basler Zeitung Medien generated more revenue in 2007/08, its profits declined. The group’s revenue rose by 0.6 percent to 281.6 million Swiss francs. At the same time, however, profits fell by 13.6 percent to 7 million Swiss francs.
Although Basler Zeitung Medien generated higher sales in 2007/08, it earned less. The Group's turnover increased by 0.6 percent to 281.6 million francs. At the same time, however, profits fell by 13.6 percent to 7 million francs, as the Balser Zeitung writes in its Thursday edition.
The parent company Basler Zeitung suffered a drop in sales of 7.7 percent to 127 million francs, while its own free newspaper Baslerstab saw a decline of 12.3 percent to 20.6 million francs. The printing plants belonging to BZM recorded growth: Birkhäuser+GBC by 2.8 percent to CHF 72.7 million, and Special Products by Birkhäuser+3.7 percent to CHF 39.7 million.
The reason for the drop in earnings is the poorer economic conditions. In the previous year, BZM reported a jump in profits from CHF 4.3 million to CHF 8.1 million, the best result for over ten years. Investments in joint projects with Tamedia and Berner Zeitung were also cited as factors that reduced profits. In particular, the free commuter newspaper News and the new online network. Contract changes also cost the BaZ printing center revenue.
According to BZM, the most outstanding event in the past financial year was the takeover of the entire advertising business. Publicitas had previously been responsible for this. "It is already clear that the reorganization of this core business has proved its worth straight away." The two subsidiaries founded for this purpose, BZM Werbe AG and the placement and consulting company KM Key Media AG, have already successfully established themselves in the advertising market with their services, writes BZM, without giving any figures.
At the end of June 2008, the parent company Basler Zeitung and its fourteen subsidiaries employed a total of 1283 full-time equivalents (previous year: 1748.4). The marked decline is due to the takeover of the Prevag distribution organization by Swiss Post, which took over the entire distribution staff.
Despite the uncertain economic situation, Basler Zeitung Medien is still expecting a positive result for the current financial year. However, in an interview with BaZ, BZM CEO Beat Meyer expects declining sales and higher production costs. Measures are still being evaluated and he also leaves the possibility of job cuts open.
The parent company Basler Zeitung suffered a drop in sales of 7.7 percent to 127 million francs, while its own free newspaper Baslerstab saw a decline of 12.3 percent to 20.6 million francs. The printing plants belonging to BZM recorded growth: Birkhäuser+GBC by 2.8 percent to CHF 72.7 million, and Special Products by Birkhäuser+3.7 percent to CHF 39.7 million.
The reason for the drop in earnings is the poorer economic conditions. In the previous year, BZM reported a jump in profits from CHF 4.3 million to CHF 8.1 million, the best result for over ten years. Investments in joint projects with Tamedia and Berner Zeitung were also cited as factors that reduced profits. In particular, the free commuter newspaper News and the new online network. Contract changes also cost the BaZ printing center revenue.
According to BZM, the most outstanding event in the past financial year was the takeover of the entire advertising business. Publicitas had previously been responsible for this. "It is already clear that the reorganization of this core business has proved its worth straight away." The two subsidiaries founded for this purpose, BZM Werbe AG and the placement and consulting company KM Key Media AG, have already successfully established themselves in the advertising market with their services, writes BZM, without giving any figures.
At the end of June 2008, the parent company Basler Zeitung and its fourteen subsidiaries employed a total of 1283 full-time equivalents (previous year: 1748.4). The marked decline is due to the takeover of the Prevag distribution organization by Swiss Post, which took over the entire distribution staff.
Despite the uncertain economic situation, Basler Zeitung Medien is still expecting a positive result for the current financial year. However, in an interview with BaZ, BZM CEO Beat Meyer expects declining sales and higher production costs. Measures are still being evaluated and he also leaves the possibility of job cuts open.
