Alma Media revises guidance for the year 2015 – operating profit without non-recurring items to improve, EPS to decrease due to non-recurring items
Alma Media Corporation Stock Exchange Release 18 January 2016 at 11.15
ALMA MEDIA REVISES GUIDANCE FOR THE YEAR 2015 – OPERATING PROFIT WITHOUT NON-RECURRING ITEMS TO IMPROVE, EPS TO DECREASE DUE TO NON-RECURRING ITEMS
Alma Media revises guidance for 2015. The revenue is expected to remain on the same level as in 2014. The company expects operating profit, excluding non-recurring items, to increase compared to the level of 2014. The previous guidance issued on 23 October 2015 stated that the revenue was expected to decrease, and the operating profit, excluding non-recurring items, to remain on the previous level or to decrease.
Alma Media’s revenue will remain on the previous level due to the Group’s acquisition of Talentum’s business in late November. Without Talentum’s business, the Group’s revenue would decrease from the level of 2014 as a result of divestments carried out during the year and the contraction of the print media business in Finland.
The improvement in operating profit excluding non-recurring items from previous year is attributable to the continued strong sales of international recruitment business, strengthened growth of digital advertising in Finland in late 2015, and cost adaptation measures implemented in the Group’s Finnish operations. Talentum’s effect on Alma Media’s operating profit in 2015, without non-recurring items, is low.
When assessing Alma Media’s result for 2015, account must be taken of the significant non-recurring costs, amounting to MEUR 5.7. Such costs incurred by cost adaptation measures in the Group’s Finnish operations, particularly in Regional Media, as well as by impairment losses recognised in connection with impairment tests and significant transaction costs resulted from the acquisition of Talentum, which will be recognised through profit or loss in the last quarter. Non-recurring costs will weigh down Alma Media’s operating profit and earnings per share below the level of 2014.
Outlook for 2015 /18 January 2016
Alma Media expects its 2015 revenue to remain at the 2014 level. In 2014, Alma Media’s revenue was MEUR 295.4. The Group’s operating profit, excluding non-recurring items, is expected to grow compared to the level of 2014. In 2014, Alma Media’s operating profit, excluding non-recurring items, was MEUR 21.4.
With regard to 2016, Alma Media will issue its financial guidance in connection with the release of the financial statement on 12 February 2016.
ALMA MEDIA CORPORATION
Vice President, Corporate Communications and Investor Relations
Distribution: NASDAQ Helsinki, main media, www.almamedia.fi
For more information, please contact:
Juha Nuutinen, CFO, telephone +358 010 665 3873
Alma Media in brief
Alma Media is a media company focusing on digital services and publishing. In addition to news services, the company’s products provide useful information related to lifestyle, career and business development. The services of Alma Media have expanded from Finland to the Nordic countries, the Baltics and Central Europe. In 2014, the company employed an average of 1,830 professionals (excluding deliverers), of whom approximately one quarter worked outside Finland. Alma Media’s revenue in 2014 totalled approximately EUR 295 million. Alma Media’s share is listed on NASDAQ OMX Helsinki. Read more at www.almamedia.com.