Tamedia with over 50 percent profit increase in 2005
In 2005, the Zurich-based media company Tamedia increased its revenue by 14.7 percent to 650 million Swiss francs and its profit by 55.6 percent to 79.7 million Swiss francs.
In 2005, the Zurich-based media company Tamedia increased its sales by 14.7 percent to CHF 650 million and its profit by 55.6 percent to CHF 79.7 million. The operating result EBIT rose by 51 percent to CHF 95.2 million. The Board of Directors of Switzerland's third-largest publishing house is proposing to the Annual General Meeting that a dividend of CHF 2.50 per share be distributed. Tamedia has thus returned to its growth course, the publishing house announced on Tuesday. The increase in turnover is largely due to the acquisition of 20 Minuten AG and Huber & Co. The publishing house intends to refocus on its core business of newspapers, as this is where Tamedia expects the greatest growth in the coming years. Tamedia also intends to continue investing heavily in newspapers and in its regionalization strategy.
The newspaper business developed positively with strong sales and earnings growth, increasing sales by almost 30 percent to CHF 445.6 million. 20 Minuten AG made a significant contribution to this result. The Newspapers division contributed 68.6 percent to total sales and 75.2 percent to the operating result. Magazines reported a 3.6 percent decline in sales to CHF 87.1 million. Investments in the reader market and the associated higher production costs led to a decline in operating income of over 20 percent in the Magazines division. The problem child "Facts" gave the publisher little pleasure. However, Tamedia has not yet given up hope of getting the weekly newspaper back into the black.
In the electronic media segment, the operating loss was reduced from CHF 5.6 million to CHF 3.2 million. Due to the unsatisfactory business performance of Radio Bailisk, its value had to be adjusted by CHF 7 million. Without this write-down, the electronic media division would also have been in the black, according to Tamedia.
Tamedia does not expect any significant impetus from the advertising market in the current year. The course of the first three months would confirm this assessment. Tamedia CEO Martin Kall expects "nothing" from the economy in the current year, as noted in the SDA communiqué.
The newspaper business developed positively with strong sales and earnings growth, increasing sales by almost 30 percent to CHF 445.6 million. 20 Minuten AG made a significant contribution to this result. The Newspapers division contributed 68.6 percent to total sales and 75.2 percent to the operating result. Magazines reported a 3.6 percent decline in sales to CHF 87.1 million. Investments in the reader market and the associated higher production costs led to a decline in operating income of over 20 percent in the Magazines division. The problem child "Facts" gave the publisher little pleasure. However, Tamedia has not yet given up hope of getting the weekly newspaper back into the black.
In the electronic media segment, the operating loss was reduced from CHF 5.6 million to CHF 3.2 million. Due to the unsatisfactory business performance of Radio Bailisk, its value had to be adjusted by CHF 7 million. Without this write-down, the electronic media division would also have been in the black, according to Tamedia.
Tamedia does not expect any significant impetus from the advertising market in the current year. The course of the first three months would confirm this assessment. Tamedia CEO Martin Kall expects "nothing" from the economy in the current year, as noted in the SDA communiqué.
