North Media A/s · OMXCOP:NORTHM
North Media A/s — FY2009 Earnings Presentation
20 slides from North Media A/s's earnings presentation, Mar 9, 2010
Slide 1: Annual report 2009
Annual report 2009 9 March 2010 March 2010
Slide 2: Agenda
Agenda • Highlights 2009 • Financial development in 2009 • Segment performance • Outlook and guidance Presentation team Mads Dahl Andersen, CEO Arne Ullum, Media Director Kåre Wigh, CFO March 2010 page 2
Slide 3: Highlights 2009: Challenging and declining markets reduced revenue
Highlights 2009 Challenging and declining markets reduced revenue in 2009 as expected, but... • Group revenue was reduced by 11% to DKK 1,029m (continued activities) as markets in all segments were impacted by recession in 2009 • Activities in print segment lower due to a continuously declining adve
Slide 4: Strong focus on efficiency and cost controls improved earnings considerably
Highlights 2009 ...strong focus on increased efficiency and cost controls improved earnings considerably • Very strong and satisfactory earnings growth - EBIT improved by DKK 74m and exceeded expectations - Strengthening of products, increased EBIT * (DKKm) efficiency and tight cost control througho
Slide 5: Other Group highlights in 2009
Highlights 2009 Other Group highlights in 2009 • Søndagsavisen a-s awarded compensation of DKK 75m from Post Danmark A/S by the High Court of Eastern Denmark for abuse of dominant position – ruling appealed by Post Danmark • Helsingør Dagblad became a fully owned subsidiary – printing activities dis
Slide 6: Net result affected by strong operational performance and goodwill write-down
Financial development in 2009 Net result affected by strong operational performance and write-down on goodwill P&L (DKKm) 2009 2008 EBIT before special items 19,5 -54,4 Special items -13,2 -52,9 Net financials -4,4 -9,6 EBT, continued activities 3,4 -120,0 Tax 6,9 -14,1 Net result, continued activit
Slide 7: Solid financial position maintained after dividend payment
Financial development in 2009 Solid financial position maintained after dividend payment of DKK 50m in August BALANCE SHEET (DKKm) 2009 2008 Assets Non-current assets 524,5 651,2 Current assets, total 278,4 271,9 Current assets, discont. act. 32,0 0,0 Cash 155,3 12,4 Equity and liabilities Equity 57
Slide 8: Strong cash flow from continued activities
Financial development in 2009 Strong cash flow from continued activities CASH FLOW (DKKm) 2009 2008 Net result, continued activities -3,5 -105,9 Adj. non-cash op. 81,8 82,5 Change in working capital -28,5 38,9 CFFO before net financials 49,8 15,5 CFFO, continued activities 41,0 1,5 CFFO, total 75,1
Slide 9: Solid operational performance in print segment despite declining markets
Print segment Solid operational performance in print segment despite declining markets and revenue • Revenue at DKK 914.4m – down 10% YoY, primarily in Søndagsavisen, as difficult market conditions continued in 2009 - General set back on advertisement market, but especially recruitment markets suffe
Slide 10: Very strong earnings growth in 2009 led by efficiency gains
Print segment Very strong earnings growth in 2009 led by efficiency gains • EBIT growth considerably higher than expected – increased by DKK 72.7m ex. restructuring costs of DKK 1.7m EBIT * (DKKm) 71,7 • Strong increase in profitability on lower revenue base primarily driven by higher efficiency in
Slide 11: Outline for 2010 – No market improvement
Print segment Outline for 2010 – No market improvement expected, but further efficiency gains to be realised • Distribution activities are expected to regain market share in 2010 • Further efficiency gains in distribution activities due to full year effect from 2009-projects as well as new initiativ
Slide 12: Focus on cost reductions and business development as markets are hit
Online segment Focus on cost reductions and business development as markets are hit severely • Activity levels in online segment heavily influenced by continued negative development and very low activity in underlying markets • Aggregated revenues down 24% to DKK 71.3m, but strong growth in BoligPor
Slide 13: Share decline in profitability as market and revenues drops
Online segment Share decline in profitability as market and revenues drops • Market and revenue plunge within Ofir and MatchWork increases loss despite heavy cost reductions EBIT * (DKKm) • DKK 12m Goodwill write-down on 2009 2008 MatchWork due to poor revenue and earnings performance -28,8 • EBIT a
Slide 14: Outline for 2010 – Resources and focus allocated towards sales
Online segment Outline for 2010 – Resources and focus allocated towards sales generating activities • No signs of recovery in underlying advertising markets at this stage • To increase business activity and improve profitability, management will focus on sales and expansion activities - Internal opt
Slide 15: Successful restructuring of Helsingør Dagblad achieved
Helsingør Dagblad Successful restructuring of Helsingør Dagblad achieved • Became a fully owned subsidiary in July after acquisition of the remaining 43% from Dansk AvisTryk A/S • As a consequence of considerable excess capacity in printing market, printing activities were discontinued – machinery a
Slide 16: Increased activity and stronger earnings in continued operations
Helsingør Dagblad Increased activity and stronger earnings performance in continued operations • EBIT in continued activities improved by DKK 19.2m since 2008 • Remaining printing machinery EBIT * (DKKm) written down to nil 2009 2008 -0,7 -19,9 * Before special items March 2010 page 16
Slide 17: Outline for 2010 – Strengthening product offer
Helsingør Dagblad Outline for 2010 – Strengthening product offer • Helsingør Dagblad will focus on introducing quality enhancements to both the Helsingør Dagblad and Nordsjælland products to increase revenue • A robust distribution set-up with early delivery will be introduced • Helsingør Dagblad is
Slide 18: Expectations of further improvements in 2010
Outlook and guidance Expectations of further improvements in 2010 • The positive development in group earnings is expected to continue even though advertising markets are expected to remain very weak in 2010 • Improvements to EBIT will mainly come from increased market shares and profitability in di
Slide 19: Revenue and profits to increase due to efficiency improvements
Outlook and guidance Revenue and profits to increase due to efficiency improvements instant GUIDANCE (DKKm) 2010E 2009R Revenue, continued activities 1,050-1,100 1,029 EBIT, continued activities* 55-65 20 Cost associated with discontinued activities 5 CAPEX 20 25 Depreciations 45 56 *Cost associated
Slide 20: For more information visit our website
FOR MORE INFORMATION VISIT OUR WEBSITE AT WWW.SON.DK Financial calendar 2010 23 April 2010 Annual General Meeting 6 May 2010 Interim Management Statement Q1 2010 4 August 2010 Interim Report 2010 3 November 2010 Interim Management Statement Q3 2010 March 2010