Estonia, Markets and Companies

International Internet Magazine. Baltic States news & analytics Monday, 01.06.2020, 02:28

FY profit of Ekspress Grupp fell 33% to EUR 3 mln

BC, Tallinn, 01.03.2018.Print version
Net profit of the listed Estonian media and entertainment group Ekspress Grupp fell 33% to 3 mln euros in 2017, mainly as a result of a decline in the print segment, reports LETA/BNS.

The company's revenue grew 1% to 54.1 mln euros, while earnings before interest, taxes, depreciation and amortization (EBITDA) declined 14 % to 6.3 mln euros. The EBITDA margin decreased from 12.7% in the previous year to 11.6 %, the company told the stock exchange.

The company's board has proposed paying 7 cents of dividend per share, or a total of 2.1 mln euros, for the 2017 financial year.

Ever-increasing price competition in the printing services segment, declining margins, lower delivery volumes of the home delivery company and increasing staff costs had an impact on the company's results. Significant impairment loss of books in the balance sheet of Ajakirjade Kirjastus, that had been published a few years earlier and the circulations of which had been way too optimistic, had to be recognized.

At the same time, online revenues grew in all countries and by a total of 16% in the group. Digital subscription revenue increased by almost 50 %. Online revenue now makes up almost 33% of the group's total revenue.

Last year Ekspress Grupp made major investment decisions and this year should show the first results, the company said. In the media sector Ekspress Grupp is witnessing steady growth in all its companies and this year it will focus on increasing the revenue from digital subscribers.

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