Goldbach wants to strengthen its online business
Goldbach Media Group has had a good year. Profits rose sharply compared to the previous year, and revenue also increased by about 12 percent. The online business is expected to continue growing.
The advertising marketer Goldbach Media remains on course despite the crisis. The group, which is active in Switzerland with the companies IP Multimedia, Adlink, OnEmotion and orange8 interactive, reported double-digit growth in sales and profits for 2008. Turnover rose by 11.8 percent to CHF 264.9 million and net profit for the year even increased by over 50 percent from CHF 6.7 million to CHF 10.3 million. However, the latter figure only applies if the proceeds from the sale of Radio Z and Radio Ri in 2007 are not taken into account. The Küsnacht-based advertising logistics company is therefore doing extremely well, which is why it distributed a third of its profit to its shareholders as a dividend.
The marketing of private TV remained the dominant business last year, accounting for 56% of total sales. However, offline media together lost 7.6% of sales to online media, which already accounted for 30.3% of sales in 2008. A large part of this growth is attributable to the Group's acquisitions in Eastern Europe. International business grew by 79.3 percent in 2008. Meanwhile, 13.7 percent of total revenue was generated abroad.
In the online segment (display, search, mobile, in-game), the advertising logistics company recorded sales totaling CHF 80.2 million and thus a significant, partly acquisition-related sales growth of 48.8 percent. This figure includes all activities in Germany and Austria, those of the online marketing companies in Croatia and Slovenia acquired in March 2008 and the online business in Poland, the Czech Republic, Romania and Russia acquired with the takeover of Arbomedia in September 2008. Adjusted for the acquisitions made in 2008, however, the increase in sales in the online segment still amounts to an impressive 15.2 percent.
In the offline segment (TV, teletext, radio and AdScreen), Goldbach achieved sales of CHF 185.8 million, primarily in Switzerland. Sales of advertising on private television clearly outperformed the industry trend, increasing by 5.9% to CHF 148.21 million. In the fourth quarter of 2008, sales of TV advertising remained constant, confirming its status as a stable source of income for Goldbach Media.
Goldbach predicts another difficult year for the radio business in 2009. However, the order backlog in the online segment is developing positively in line with expectations, although negative currency effects must be expected, particularly in the Eastern European international business. Goldbach Media intends to continue to grow organically in 2009 with a focus on the online business, possibly also through acquisitions, and to increase the share of online and international business again in 2009. Goldbach Media expects the online segment to account for between 35 and 40 percent and the international business for between 20 and 25 percent.
Overall, Goldbach expects sales growth and a further increase in EBIT of around ten percent for the 2009 financial year.
Michael Koller
The marketing of private TV remained the dominant business last year, accounting for 56% of total sales. However, offline media together lost 7.6% of sales to online media, which already accounted for 30.3% of sales in 2008. A large part of this growth is attributable to the Group's acquisitions in Eastern Europe. International business grew by 79.3 percent in 2008. Meanwhile, 13.7 percent of total revenue was generated abroad.
In the online segment (display, search, mobile, in-game), the advertising logistics company recorded sales totaling CHF 80.2 million and thus a significant, partly acquisition-related sales growth of 48.8 percent. This figure includes all activities in Germany and Austria, those of the online marketing companies in Croatia and Slovenia acquired in March 2008 and the online business in Poland, the Czech Republic, Romania and Russia acquired with the takeover of Arbomedia in September 2008. Adjusted for the acquisitions made in 2008, however, the increase in sales in the online segment still amounts to an impressive 15.2 percent.
In the offline segment (TV, teletext, radio and AdScreen), Goldbach achieved sales of CHF 185.8 million, primarily in Switzerland. Sales of advertising on private television clearly outperformed the industry trend, increasing by 5.9% to CHF 148.21 million. In the fourth quarter of 2008, sales of TV advertising remained constant, confirming its status as a stable source of income for Goldbach Media.
Goldbach predicts another difficult year for the radio business in 2009. However, the order backlog in the online segment is developing positively in line with expectations, although negative currency effects must be expected, particularly in the Eastern European international business. Goldbach Media intends to continue to grow organically in 2009 with a focus on the online business, possibly also through acquisitions, and to increase the share of online and international business again in 2009. Goldbach Media expects the online segment to account for between 35 and 40 percent and the international business for between 20 and 25 percent.
Overall, Goldbach expects sales growth and a further increase in EBIT of around ten percent for the 2009 financial year.
Michael Koller
