Ringier can once again look forward to record results
The Ringier media group can look back on a successful 2007: Profit rose by over 50 percent to CHF 102.7 million. The Ringier Group's total turnover increased by 9 percent to a total of CHF 1.458 billion. The media company achieved the largest share of sales in its home market of Switzerland. At the same time, it invested heavily in new launches and acquisitions.
"It was an extraordinary year," said publisher Michael Ringier to the media on Thursday at the publisher's annual orientation. Last year, the Swiss media group achieved record results for the sixth year in a row. Profits rose by over 50 percent to 102.7 million Swiss francs and turnover by 9 percent to 1.458 billion Swiss francs. Group CEO Martin Werfeli also rated this as "very satisfactory". At CHF 880.8 million, the largest share of sales was once again generated in Switzerland. The electronic media segment grew particularly strongly, with sales up by 16.4 to 58.2 million francs. Turnover in the publishing business fell by 2.1 percent to CHF 557.7 million. The publisher commented in particular on special events in the past financial year. For example, Ringier "heard a lot" when the Group sold its entire TV magazine family to Axel Springer Switzerland. This was often interpreted as the beginning of the sale of the Group. However, the proceeds were reinvested very quickly and flowed into the purchase of Media Swiss Group. The publisher holds an 80 percent majority stake in the company, which owns websites such as Scout 24 and Gate 24. The purchase is of far-reaching strategic importance for the publisher. "Until now, the online advertising business has bypassed us," said Ringier. With Media Swiss, it is now practically the largest provider on the Internet.
Slight decline in newspaper sales Ringier generated newspaper sales of CHF 190.8 million. The decline of 1.4 percent is a "pleasing result" in comparison with other publishers, said Werfeli. While advertising revenues increased by 6.3 percent, circulation revenues fell by 2.7 percent as a result of declining print runs. According to Werfeli, Blick, Sonntagsblick, Heute and the sports magazine were able to maintain their position despite competition from the Internet, free newspapers and the additional Sunday edition of the Mittelland Zeitung. The Group CEO did not yet want to comment on the effects of the reorganization of Sonntagsblick, Magazin and Blick. It is still too early to make an assessment. Readers still need to get used to the new Blick in a bundle, but the advertising industry has reacted positively.
Following the sale of twelve TV program guides, magazine sales fell by 2.1 percent to CHF 227.9 million. In contrast, advertising sales rose by 6.3 percent. At CHF 123.8 million, investments were significantly higher than the previous year's figure of CHF 88.7 million. In Switzerland, for example, investments were made in the modernization of the Ringier Print Adligenswil newspaper printing plant and the investment in Radio Energy.
International business flourishes Ringier recorded a marked increase in turnover of 17.7 percent to CHF 506.3 million in Central and Eastern Europe. With the exception of Ukraine, Ringier was "in the black" in all countries, Werfeli noted. The development in Asia was also pleasing with an increase in turnover of 14.6 percent to CHF 71.3 million. Ringier benefited from the strong growth in advertising volume in China and the recovery of the print market in Hong Kong.
Ringier focuses on electronic media Publisher Michael Ringier's motto for the future of the publishing house is "consolidation and digitization". The company's strategy will increasingly focus on digital and electronic media. The course for this was set with the acquisition of the Media Swiss Group in December 2007. In future, the media company wants to link its journalistic content more closely with commercial online offerings. Ringier said that it is already well on the way to achieving its Group target of generating around ten percent of sales in the electronic business by 2010.
Ringier employs a total of 7016 people in Switzerland, the Czech Republic, Slovakia, Hungary, Romania, Ukraine, Serbia, Germany, Vietnam and China. The number of employees has more than doubled in the last 25 years, said Werfeli. (sda/rw)
Slight decline in newspaper sales Ringier generated newspaper sales of CHF 190.8 million. The decline of 1.4 percent is a "pleasing result" in comparison with other publishers, said Werfeli. While advertising revenues increased by 6.3 percent, circulation revenues fell by 2.7 percent as a result of declining print runs. According to Werfeli, Blick, Sonntagsblick, Heute and the sports magazine were able to maintain their position despite competition from the Internet, free newspapers and the additional Sunday edition of the Mittelland Zeitung. The Group CEO did not yet want to comment on the effects of the reorganization of Sonntagsblick, Magazin and Blick. It is still too early to make an assessment. Readers still need to get used to the new Blick in a bundle, but the advertising industry has reacted positively.
Following the sale of twelve TV program guides, magazine sales fell by 2.1 percent to CHF 227.9 million. In contrast, advertising sales rose by 6.3 percent. At CHF 123.8 million, investments were significantly higher than the previous year's figure of CHF 88.7 million. In Switzerland, for example, investments were made in the modernization of the Ringier Print Adligenswil newspaper printing plant and the investment in Radio Energy.
International business flourishes Ringier recorded a marked increase in turnover of 17.7 percent to CHF 506.3 million in Central and Eastern Europe. With the exception of Ukraine, Ringier was "in the black" in all countries, Werfeli noted. The development in Asia was also pleasing with an increase in turnover of 14.6 percent to CHF 71.3 million. Ringier benefited from the strong growth in advertising volume in China and the recovery of the print market in Hong Kong.
Ringier focuses on electronic media Publisher Michael Ringier's motto for the future of the publishing house is "consolidation and digitization". The company's strategy will increasingly focus on digital and electronic media. The course for this was set with the acquisition of the Media Swiss Group in December 2007. In future, the media company wants to link its journalistic content more closely with commercial online offerings. Ringier said that it is already well on the way to achieving its Group target of generating around ten percent of sales in the electronic business by 2010.
Ringier employs a total of 7016 people in Switzerland, the Czech Republic, Slovakia, Hungary, Romania, Ukraine, Serbia, Germany, Vietnam and China. The number of employees has more than doubled in the last 25 years, said Werfeli. (sda/rw)
