Sustained profits and earnings enhancement, steering narrowed

Announcement no. 25-2020
5 November 2020

North Media reported continued raise in EBIT for the third quarter and for 2020 to day. All three company areas contributed to the improvement. Entire-yr 2020 advice narrowed inside beforehand introduced ranges. 

Q3 2020 highlights (Q3 2019 comparative quantities in brackets):

  • Consolidated earnings up by 7% to DKK 261 million. All three company locations reporting expansion. 

  • FK Distribution claimed 6% profits expansion, as the 3rd quarter included an further 7 days of distributing retail leaflets and nearby newspapers. Volumes normalised right after COVID-19 affect in the second quarter.

  • North Media On line (electronic platforms) and Bekey (digital access methods) claimed development fees of 19% and 14% respectively. Ofir, Online’s work opportunities platform, documented 33% advancement in the quarter.

  • Consolidated EBIT in advance of distinctive merchandise enhanced to DKK 60 million (DKK 33 million). 

Q3 ytd 2020 highlights (Q3 ytd 2019 comparative numbers in brackets):

  • Consolidated income up by 2% to DKK 771 million (DKK 754 million).

  • EBIT just before particular items of DKK 182 million (DKK 101 million). EBIT margin enhanced to 23.6% (13.4%) return on invested capital (ROIC) was 57.6% (28.5%).  

  • Financial gain for the interval of DKK 219 million (DKK 131 million) can make a 29.9% return on fairness. 

  • FK Distribution lifted EBIT to DKK 177 million (DKK 107 million) on unchanged profits. Performance enhancements, specifically the transition to a solitary weekly distribution spherical, offset the effects of a structural decline of volume. 

  • North Media On the net enhanced EBIT to DKK 17 million (DKK 5 million) on 18% income advancement pushed by BoligPortal and Ofir. Ofir has approximately finished its turnaround and was lucrative in September.

  • Bekey lessened its EBIT reduction to DKK 5 million (DKK 8 million decline) on 22% profits development, notably on revenue to Danish municipalities. Bekey proceeds to develop a existence in the fast developing market place for dwelling shipping and delivery of parcels, groceries, food products and services, etcetera. – at this time in constructive talks with likely customers.

Assistance for 2020 narrowed
North Media narrowing comprehensive-yr 2020 guidance. Earnings and EBIT now predicted at the higher conclude of beforehand guided ranges. The improve is dependent on the greater certainty about FK Distribution’s functionality.

  • Income now predicted in the DKK 1,020-1,045 million assortment (former steerage: DKK 1,005-1,045 million).

  • EBIT before specific items now anticipated in the DKK 230-245 million array (previous steering: DKK 215-245 million).

  • Double-digit development in the two North Media On the net and Bekey anticipated to just about fully offset a 3% drop in FK Distribution income. 

  • All a few business places anticipated to report EBIT advancements.

  • Increased stage of uncertainty persists due to COVID-19 and the implications of the pandemic.

“Thanks to broadly-based enhancements across the Team, we are well underneath way to strengthening EBIT for the fourth consecutive 12 months. North Media On the internet and Bekey equally have momentum, reporting sustainable double-digit advancement, and North Media On line is set to treble EBIT this yr. In addition, FK Distribution is reporting much larger EBIT following we reduced our charges by the transition to a one weekly distribution round,” said Kåre Wigh, Group Executive Director & CFO.

For extra data, remember to contact:
Kåre Stausø Wigh, Group Executive Director & CFO, mobile +45 25 65 21 45

This document is an unofficial translation of the Danish unique. In the celebration of any inconsistencies, the Danish variation shall use.

North Media offers platforms and channels for companies to talk with consumers. The Group has 3 company regions: FK Distribution provides packing and distribution of printed make any difference, community newspapers, and so on. and runs the electronic advertising system North Media On the net operates the marketplaces (rental housing portal), (careers portal) and Guide Offer (mortgage portal). BEKEY features accessibility methods that help approved distributors, residence treatment workers and others to obtain stairwells and private households through a safe digital platform. A number of of North Media’s companies hold industry-top positions. North Media has about 450 workforce.