Axel Springer H1 Profit Down – Quick Facts
German media holding company Axel Springer SE (AXELF.PK) reported that its net income for the first half of the year declined to 133.4 million euros from 185.6 million euros in the prior year. Earnings per share were 1.07 euros compared to 1.57 euros in the prior year.
Adjusted net income declined by 8.9 percent to 154.2 million euros from the previous year, impacted by special effects, including long-term equity-based compensation programs, expenses related to KKR’s takeover offer, and write-downs on the investment in Purplebricks.
Adjusted earnings per share decreased by 11.9 percent to 1.19 euros, due to higher minority interests. Organically, adjusted earnings per share were 4.6 percent down on the prior-year figure.
Revenues were 1.53 billion euros, down by 1.9 percent on the prior-year period, hurt by significant consolidation effects resulting from the divestments of aufeminin last year and the @Leisure Group in June 2019. Adjusted for consolidation and currency effects, revenues increased by 1.0 percent.
For 2019, Axel Springer expects a decline in revenues in the low single-digit percentage range. Previously, a low single-digit percentage increase had been expected. Organically, Axel Springer expects an increase in the low single-digit percentage range, having previously expected growth in the low to mid-single digits.
The company projects adjusted EBITDA to decline by a mid-single-digit percentage amount, instead of a figure at the previous year’s level. The adjusted forecast of organic growth is at the previous year’s level, an increase in the low to mid single-digit percentage range having been previously expected.
Blast strikes military base in Baghdad
At least one dead and 29 wounded in an explosion at military base close to neighbourhood where families were celebrating Eid.
At least one person was killed and 29 others wounded in a blast at a military base in Iraq’s capital Baghdad.
The blast took place close to a neighbourhood where families had gathered to celebrate the Eid al-Adha festival.
Al Jazeera’s Natasha Ghoneim reports from Baghdad.
Axel Springer earnings, revenue falls
Axel Springer SE (SPR.XE) said Wednesday that earnings in the second quarter declined, and backed its previously-lowered guidance for the rest of the year.
The digital publishing company said net profit was 78 million euros ($87.3 million) compared with EUR100.9 million the year prior.
Adjusted earnings before interest, taxes, depreciation and amortization fell to EUR177.8 million from EUR183.3 million.
Revenues fell 3.6% to EUR759.4 million, the company said.
Axel Springer confirmed its expectations for the year, which include a decline in revenues, adjusted Ebitda and adjusted earnings before interest and taxes.
Wholesale inflation in July falls to multi-year low of 1.08%
Inflation based on Wholesale Price Index was at 2.02% in June this year and 5.27% in July 2018
Wholesale price-based inflation in July fell to a multi-year low of 1.08% mainly on account of cheaper fuel and food items, government data showed on Wednesday.
Inflation based on Wholesale Price Index (WPI) was at 2.02% in June this year and 5.27% in July 2018.
The government data said inflation in food articles was 6.15% in July as against 6.98% in the previous month.
Similarly, wholesale inflation in fuel and power segment contracted further to (-) 3.64% as against (-) 2.2% in June.
The retail inflation in July too had eased to 3.15% over the previous month when it was 3.18%.
German economy shrank 0.1% in second quarter
Germany’s economy shrank in the second quarter as trade dragged down economic growth amid worries that the country could slip into a recession.
Europe’s largest economy contracted 0.1% from the previous quarter, as foreign trade slowed down economic growth despite robust consumption at home, according to a first estimate published Wednesday by national statistics agency Destatis.
In annualized terms, gross domestic product grew 0.4%, the agency said.
Higher private and government consumption and higher investments contributed positively in the quarter, but trade and a decline in construction dragged down the economy as exports decreased stronger than imports, Destatis said.
"Trade conflicts, global uncertainty and the struggling automotive sector have finally brought the German economy down on its knee. In particular, increased uncertainty, rather than direct effects from the trade conflicts, have dented sentiment and hence economic activity," ING Chief Economist for Germany Carsten Brzeski said.
The economic data will increase pressure on Germany’s government to act amid calls for a stimulus package, he said.
RWE profit rises, backs 2019 outlook
RWE AG (RWE.XE) said Wednesday that its adjusted net income rose sharply in the first half of 2019, and backed its 2019 outlook.
The German energy company said its standalone adjusted net income–which excludes the operations of its Innogy subsidiary–amounted to 914 million euros ($1.02 billion) for the first six months of 2019, up nearly 34% from EUR683 million last year, primarily driven by a strong trading performance.
Standalone adjusted earnings before interest, taxes, depreciation and amortization was up roughly 20% in the first half at EUR1.37 billion from EUR1.14 billion last year, it said.
Net income including operations from Innogy rose to EUR830 million in the first half, while adjusted Ebitda including Innogy rose to EUR1.13 billion, RWE said.
Group revenue rose to EUR6.97 billion from EUR6.69 billion, it said.
RWE said its supply-and-trading segment generated an adjusted Ebitda of EUR434 million, up from EUR101 million last year due to a strong trading performance as well as "large contributions" from its gas and LNG business.
RWE backed its 2019 outlook, including an adjusted Ebitda for the year between EUR1.6 billion to EUR1.9 billion
The company said it expects to complete the sale of its renewables division Innogy to Germany’s E.ON in September.