Espace Media profitable despite declining sales
The Bern-based media company Espace Media is on the upswing - thanks to higher advertising revenues. The operating result EBIT increased by 29 percent to CHF 26 million in 2006. In contrast, consolidated profit fell by 6 percent to CHF 17.6 million.
The Bern-based media company Espace Media is on the upswing - thanks to higher advertising revenues. The operating result EBIT increased by 29 percent to CHF 26 million in 2006. In contrast, consolidated profit fell by 6 percent to CHF 17.6 million.
Sales were also down, falling by 4.5 percent to CHF 250 million, as Espace announced on Thursday. The decline was due to the loss of the printing order for the Anzeiger Region Bern and the closure of the web printing plant in Uetendorf. These are also the factors why the increased profitability did not have an impact on the consolidated result, as company spokesman Christopher Wehrli explained to SDA on request.
Operating expenses were reduced by 7.3% and the operating result before depreciation and amortization (EBITDA) improved by 24.8% to CHF 40.5 million. Corporate cash flow increased by CHF 6 million to CHF 39.3 million. Corporate profit after tax improved by 7.6% to CHF 23.0 million despite higher taxes.
The positive economic situation contributed to the good result. In particular, the advertising business of the Berner Zeitung's complete edition saw a positive development after a five-year dry spell. The increase in job advertisements, for example, amounted to 29 percent.
Sales were also down, falling by 4.5 percent to CHF 250 million, as Espace announced on Thursday. The decline was due to the loss of the printing order for the Anzeiger Region Bern and the closure of the web printing plant in Uetendorf. These are also the factors why the increased profitability did not have an impact on the consolidated result, as company spokesman Christopher Wehrli explained to SDA on request.
Operating expenses were reduced by 7.3% and the operating result before depreciation and amortization (EBITDA) improved by 24.8% to CHF 40.5 million. Corporate cash flow increased by CHF 6 million to CHF 39.3 million. Corporate profit after tax improved by 7.6% to CHF 23.0 million despite higher taxes.
The positive economic situation contributed to the good result. In particular, the advertising business of the Berner Zeitung's complete edition saw a positive development after a five-year dry spell. The increase in job advertisements, for example, amounted to 29 percent.
