Today, Schibsted Media Group released its Q1 2016
report. EBITDA ex. Investment phase increased 25
percent to NOK 635 million.
"Schibsted Media Group has had a good start to 2016.
Online Classifieds' operating revenues continued to
grow well", CEO Rolv Erik Ryssdal says.
"The operations in France and Spain have had a steady,
high growth rate. The strong traffic positions in
those markets make it possible to grow revenues both
by introducing new services and through price
optimization in the verticals", Rolv Erik Ryssdal says.
"We continue to invest substantially in organic
development of our online classifieds operations. It
is great to see firm evidence of return on investments
for example through the strong growth in traffic and
engagement in an important market like Brazil. We are
also building a strong position in Mexico, where our
site Segundamano.mx is the leader in terms of traffic
and engagement", Rolv Erik Ryssdal says.
"In selected European markets, we continue our
investments in the native mobile market place Shpock.
The service develops very well in significant markets
like UK and Germany", Rolv Erik Ryssdal says.
"The changes in consumer and advertiser behaviour
continue to affect our media houses in Norway and
Sweden. A positive sign is the newspapers' number of
digital subscribers. Premium journalistic content
presented in a modern way across platforms appeals to
a large number of consumers. However, the advertising
markets particularly in Norway are tough, and we need
to constantly adapt our cost base to the reduced
revenues", Rolv Erik Ryssdal says.
"Our efforts to build global product and tech
capabilities has continued with full speed in Q1 2016.
We have launched several new products, including
geographical ad targeting in Norway. Our roadmap for
new products is ambitious going forward, so we can
continue to deliver improved products for consumers
within both online classifieds and media houses", Rolv
Erik Ryssdal says.
Highlights of Q1 2016
(Figures in brackets refer to corresponding quarter in
2015.)
EBITDA ex. Investment phase of NOK 635 million, a
growth of 25 percent. Reported EBITDA NOK 421 million
(376 million). Total Online classifieds EBITDA ex.
Investment phase grew 37 percent to NOK 640 million.
Continued solid revenue growth in Online Classifieds
in Q1. France grew 19 percent and Spain grew 18
percent.
Leboncoin.fr has signed direct contracts with 90
percent of customers of the former bundle real estate
package P3.
Steady revenue growth and firm margins for Online
Classifieds in Scandinavia.
42 percent revenue growth in Other Developed Online
Classifieds, driven by good development in Italy,
Austria and Ireland.
Continued strong growth in key performance indicators
in Investment phase markets.
61 percent growth in revenues, adjusted for currency
fluctuations
51 percent growth in number of visits per month in the
Investment phase portfolio in Q1.
Strong momentum in mobile migration
Shpock gains market shares in Germany and UK,
excellent start in Italy. Significant app updates in
Q1.
There is an increased uncertainty around the
acquisition of Hemnet. Schibsted expects a discussion
with the Swedish Competition Authority regarding
potential commercially viable remedies.
Continued investments in product and technology
providing future operational growth lever.
Challenging market for media houses.
Comprehensive cost measures under implementation
Significant uptake of digital newspaper subscriptions
Media House Sweden's online revenues grew 11 percent
in Q1. Online now represents 54 percent of total
revenues.
Profit before taxes NOK 219 million, down from NOK 846
million in Q1 2015. Q1 2015 included gains of 740
million (compared to 24 in Q1 2016).
Improved free cash flow.
Schibsted Media Group Q1 Q1 FY
(MNOK) 2016 2015 2015
Operating revenues 3,883 3,694 15,117
Gross operating profit (EBITDA) 421 376 2,016
EBITDA margin 11 % 10 % 13 %
Gross operating profit (EBITDA) ex. Investment phase
635 508 2,560
EBITDA margin ex. Investment phase 17 % 14 %
17 %
Schibsted invites to an analyst and press conference
at Apotekergaten 10, Oslo, 11 May 2016 at 09:00 CET.
The presentation will be held in English and
transmitted live as a video webcast on
www.schibsted.com/ir.
A conference call with Q&A linked to the Q1 2016
numbers will take place 11 May 2016 at 14:00 CET.
Please dial in at the following numbers:
Norway: 800 56054
UK: 020 3427 1905
USA: 1877 280 1254
International: +44(0)20 3427 1913
Conference ID is 1328764
Contact persons:
Trond Berger, CFO. Tel: +47 916 86 695
Jo Christian Steigedal, Head of IR. Tel: +47 415 08 733
Oslo, 11 May 2016
SCHIBSTED ASA
Jo Christian Steigedal
Head of IR
This information is subject to the disclosure
requirements pursuant to section 5-12 of the Norwegian
Securities Trading Act.