Tamedia: lower sales and significantly higher profit
The media group Tamedia reported lower revenue in the past fiscal year. However, the merged directory service resulting from the combination of Search.ch and Local.ch led to a net profit that was more than double the previous amount.
The economic slowdown and the ongoing structural change led to a 4.5 percent drop in sales to 1.06 billion Swiss francs, the Zurich-based media group announced on Tuesday. Earnings before interest, taxes, depreciation and amortization (EBITDA) increased slightly to 243.4 million francs compared to 240.7 million francs in the previous year.
Earnings before interest and taxes (EBIT), on the other hand, fell by around 23% to around CHF 130 million. This was due to impairment losses on goodwill amounting to around CHF 40 million. The need for impairment was mainly due to the poorer than expected business performance in 2015 in the Publishing Regional and National business divisions and at individual digital companies, as well as the subsequently adjusted growth forecasts.
The bottom line was an increase in net profit of 109 percent to CHF 334 million. This was due in particular to a revaluation gain resulting from the transfer of Search.ch to a joint directory company with telecoms provider Swisscom.
Employees also benefit
The employees should also benefit from this: Tamedia will pay all employees a bonus of CHF 6,200 for a 100 percent workload. The bonus is reduced accordingly for part-time employees. The Group is spending a total of 14.9 million francs on this bonus. Those responsible are not stingy with themselves either: Tamedia CEO Christoph Tonini receives remuneration of six million francs - twice as much as in the previous year.(SDA)
