PubliGroupe with semester profit
Due to the current decline in its stock price, PubliGroupe is once again facing the prospect of a write-down
Due to the current fall in the share price, PubliGroupe is again threatened with a value adjustmentBy Anita Vaucher The Lausanne-based media and advertising group PubliGroupe returned to profit in the first half of 2002 after a miserable financial year in 2001. Net profit amounted to CHF 11.4 million. The operating result rose by 160.8 percent to 26.6 million francs.
Hans-Peter Rohner, the new CEO of PubliGroupe, was extremely cautious when presenting the half-year figures. He does not expect any recovery before the end of 2002 and continues to anticipate unfavorable general conditions. These also had an impact on total sales in the first half of 2002, which fell by 18.5% to 1.134 billion francs. Gross profit fell by 29.4% to 253.7 million francs.
According to Rohner, these results require further measures to adjust costs. For example, the administrative processes at the Swiss branches will be simplified, synergies will be exploited and more IT will be used. Vacant positions will not be filled. In the longer term, Rohner also does not rule out a reduction in staff.
Sales of press advertising in Switzerland (PubliPresse division) fell by 13.2% due to the economic situation. The decline in international business (Publicitas Promotion Network, PPN) was even more pronounced, namely minus 18.8%. In the USA, PPN suffered a drop in sales of 34.4%, in Europe -15.5% and in Asia sales fell by 2.2%.
On the other hand, the PubliDirect division, once again the only area to buck the trend and improve its results, is looking very positive. Rohner emphasized that the sales organization for telephone directory listings is by far the most successful marketer in the whole of Switzerland, especially in the online sector (see also pages 41/42). And because business directories are vital for SMEs in particular, this market will continue to develop in the coming years, both in Switzerland and abroad.
Unlike a year ago, there was no loss in the value of treasury shares in the first half of 2002, as their price was slightly higher than in 2001. In the meantime, however, it has fallen below last year's low of CHF 335. Therefore, the risk of a new value adjustment as of December 31, 2002 cannot be ruled out, it was said in Lausanne. Last year, the drop in share value alone tore a 23 million Swiss franc hole in the PubliGroupe balance sheet.
publigroupe in figures (in CHF million)
1st half-year 1st half-year Change
2002 2001 in %
Turnover 1 134.8 1 392.5 - 18.5
Gross profit 253.7 359.1 - 29.4
Operating result 26.6 10.2 + 160.8
Consolidated net income 11.4 8.1 + 40.7
Hans-Peter Rohner, the new CEO of PubliGroupe, was extremely cautious when presenting the half-year figures. He does not expect any recovery before the end of 2002 and continues to anticipate unfavorable general conditions. These also had an impact on total sales in the first half of 2002, which fell by 18.5% to 1.134 billion francs. Gross profit fell by 29.4% to 253.7 million francs.
According to Rohner, these results require further measures to adjust costs. For example, the administrative processes at the Swiss branches will be simplified, synergies will be exploited and more IT will be used. Vacant positions will not be filled. In the longer term, Rohner also does not rule out a reduction in staff.
Sales of press advertising in Switzerland (PubliPresse division) fell by 13.2% due to the economic situation. The decline in international business (Publicitas Promotion Network, PPN) was even more pronounced, namely minus 18.8%. In the USA, PPN suffered a drop in sales of 34.4%, in Europe -15.5% and in Asia sales fell by 2.2%.
On the other hand, the PubliDirect division, once again the only area to buck the trend and improve its results, is looking very positive. Rohner emphasized that the sales organization for telephone directory listings is by far the most successful marketer in the whole of Switzerland, especially in the online sector (see also pages 41/42). And because business directories are vital for SMEs in particular, this market will continue to develop in the coming years, both in Switzerland and abroad.
Unlike a year ago, there was no loss in the value of treasury shares in the first half of 2002, as their price was slightly higher than in 2001. In the meantime, however, it has fallen below last year's low of CHF 335. Therefore, the risk of a new value adjustment as of December 31, 2002 cannot be ruled out, it was said in Lausanne. Last year, the drop in share value alone tore a 23 million Swiss franc hole in the PubliGroupe balance sheet.
publigroupe in figures (in CHF million)
1st half-year 1st half-year Change
2002 2001 in %
Turnover 1 134.8 1 392.5 - 18.5
Gross profit 253.7 359.1 - 29.4
Operating result 26.6 10.2 + 160.8
Consolidated net income 11.4 8.1 + 40.7
