Warm rain - the joy of the Goldbach
Crossmedia Goldbach Media far exceeded its own expectations in 2004 and is clearly in the black for the first time.
Crossmedia Goldbach Media far exceeded its own expectations in 2004 and is clearly in the black for the first time.
After three difficult years with break-even in 2003, Goldbach Media AG posted a respectable profit of CHF 1.7 million for the first time in 2004. An astonishing feat, considering that the cross-media company reported a deficit of 16.8 million francs in 2002. CEO Klaus Kappeler was accordingly proud to present his figures, which were made possible by a whopping 26 percent increase in net sales to CHF 162.8 million. This is all the more surprising given that Goldbach Media had forecast an increase in sales of 15 to 20 percent for 2004 when investor 3i joined the company last November. Kappeler explained the strong deviation with an extremely good fourth quarter, in which advertising customers behaved diametrically differently than a year earlier. "In order to improve our own balance sheets, some customers withdrew major orders at the last minute," recalls Kappeler.
All Goldbach divisions contributed to this growth, which is probably unique in the industry. TV marketing increased by 10 percent to CHF 113.4 million, the radio segment rose by 49 percent to CHF 29.8 million and online sales almost tripled from CHF 5.8 million to CHF 16.2 million - primarily thanks to the Adlink integration, of course. The still young medium AdScreen increased its sales sevenfold to CHF 3.4 million in its first full year. There were slight shifts in the shares of total Group sales: TV still accounts for 70 percent (previous year: 80 percent), radio comes in at 18 percent (15.5 percent), online and AdScreen now have shares of 10 and
2 percent. Kappeler estimates that, despite further growth, the TV share will still account for around 50% in three years' time and that the company will therefore be more broadly based.
Kappeler is particularly pleased that Goldbach not only made a profit in 2004, but also generated equity of CHF 1.4 million. In 2003, this item still showed a minus of 5.1 million francs and was only covered by loans. "We have achieved this development through our own efforts. We can now present a healthy company," he exults. The equity ratio is 2.1 percent of the balance sheet total of 63 million francs.
Kappeler emphasized last autumn that an IPO was not an issue. He says this again now, but qualifies it: "We want to present another year with a super result and will then consider how to proceed." And 2005 looks set to be a good year, as Goldbach Media continues to climb despite the advertising industry's decline. Kappeler is expecting sales growth in the double-digit percentage range once again. This is underpinned by initial trend figures from the first quarter: Goldbach is currently 20 percent up on the previous year in terms of incoming orders, said Kappeler. Goldbach is now setting up a new mobile division, and the Group also plans to present its first cross-media award on June 1. In addition, the portfolio is being expanded, particularly in the AdScreen area.
Goldbach Media ViennaA good CHF 4 million of Goldbach's net sales come from Goldbach Media Vienna. Growth there amounted to 70 percent, with one third coming from the TV business (first full year with MTV) and two thirds generated in the online sector. (mk)
Markus Knöpfli
After three difficult years with break-even in 2003, Goldbach Media AG posted a respectable profit of CHF 1.7 million for the first time in 2004. An astonishing feat, considering that the cross-media company reported a deficit of 16.8 million francs in 2002. CEO Klaus Kappeler was accordingly proud to present his figures, which were made possible by a whopping 26 percent increase in net sales to CHF 162.8 million. This is all the more surprising given that Goldbach Media had forecast an increase in sales of 15 to 20 percent for 2004 when investor 3i joined the company last November. Kappeler explained the strong deviation with an extremely good fourth quarter, in which advertising customers behaved diametrically differently than a year earlier. "In order to improve our own balance sheets, some customers withdrew major orders at the last minute," recalls Kappeler.
All Goldbach divisions contributed to this growth, which is probably unique in the industry. TV marketing increased by 10 percent to CHF 113.4 million, the radio segment rose by 49 percent to CHF 29.8 million and online sales almost tripled from CHF 5.8 million to CHF 16.2 million - primarily thanks to the Adlink integration, of course. The still young medium AdScreen increased its sales sevenfold to CHF 3.4 million in its first full year. There were slight shifts in the shares of total Group sales: TV still accounts for 70 percent (previous year: 80 percent), radio comes in at 18 percent (15.5 percent), online and AdScreen now have shares of 10 and
2 percent. Kappeler estimates that, despite further growth, the TV share will still account for around 50% in three years' time and that the company will therefore be more broadly based.
Kappeler is particularly pleased that Goldbach not only made a profit in 2004, but also generated equity of CHF 1.4 million. In 2003, this item still showed a minus of 5.1 million francs and was only covered by loans. "We have achieved this development through our own efforts. We can now present a healthy company," he exults. The equity ratio is 2.1 percent of the balance sheet total of 63 million francs.
Kappeler emphasized last autumn that an IPO was not an issue. He says this again now, but qualifies it: "We want to present another year with a super result and will then consider how to proceed." And 2005 looks set to be a good year, as Goldbach Media continues to climb despite the advertising industry's decline. Kappeler is expecting sales growth in the double-digit percentage range once again. This is underpinned by initial trend figures from the first quarter: Goldbach is currently 20 percent up on the previous year in terms of incoming orders, said Kappeler. Goldbach is now setting up a new mobile division, and the Group also plans to present its first cross-media award on June 1. In addition, the portfolio is being expanded, particularly in the AdScreen area.
Goldbach Media ViennaA good CHF 4 million of Goldbach's net sales come from Goldbach Media Vienna. Growth there amounted to 70 percent, with one third coming from the TV business (first full year with MTV) and two thirds generated in the online sector. (mk)
Markus Knöpfli
