SCMP Group Announces 8% Increase in Revenue, Exceeding HK$1Billion for First
Time Since 2008
HONG KONG -- (Marketwire) -- 03/25/13 -- SCMP Group Ltd (HKSE: 0583)
announced today financial results for the year ended 31st December
Group revenue rose 8% from $946.1million in 2011 to $1019.6million in
2012, driven largely by new revenue sources, including the newly
acquired Elle magazine and the contract printing opportunity, and
higher revenue contribution from the Magazine publishing business.
Net profit attributable to shareholders declined by 20% from
$409.9million to $329.1million, with profit and earnings from normal
operations largely impacted by increased investment in new digital
products, as well as the increase in costs associated with the new
Elle acquisition and the new contract printing business.
The largest revenue source (76%) continues to be the newspaper
publishing business, which remained steady at $773.6million compared
to $779.2million in 2011. However, net profit declined by 19% to
$97.5million in 2012 from $120.5million in 2011, again due to an
increase in costs and investments.
The Magazine publishing business grew with the acquisition of Elle
Magazine and its related products, and continued growth in the
existing products Cosmopolitan, CosmoGirl! and Harper's Bazaar. Net
profit from the Magazine publishing business increased 23% from
$30.3million to $37.3million.
Excluding fair value gains on investment properties of $170.7million
and $237.7million for 2012 and 2011 respectively, net profit from
normal operations decreased 8% from $172.2million to $158.4million in
Earnings per share for 2012 was 21.1cents, reflecting a 20% decrease
from 26.3cents in 2011. Final dividend payable per share was 4.5
cents, increased 13% as compared to 4.0 cents in 2011.
Dr. David Pang, Chairman for SCMP Group, commented, "We've been
operating in a changing media economy, which has been impacted by a
reduction in IPOs, a quiet recruitment sector and lackluster property
market as a result of recent market cooling regulations by the
Government. All of these had an impact on traditionally important
revenue sources for the South China Morning Post. However, we have
been able to mitigate that impact by maintaining a solid overall
newspaper publishing business and the realization of new revenue from
our investment in Elle. During the year, we have also built a new
contract printing business, a suite of enhanced digital products, a
strengthened talent pool and continue to look out for valuable
business to reinforce our capabilities in the publishing business. We
believe our investments made in the past year will further strengthen
our business in the years to come, and remain positive about our
ability to deliver value and performance in line with the Hong Kong
economy in the coming year."
About The SCMP Group
SCMP Group Limited (HKSE: 0583) is a leading newspaper and magazine
publisher in Asia. Its flagship publication, South China Morning
Post, is Hong Kong's world renowned English language newspaper and
has the city's most affluent and influential readership. First
published in 1903, the newspaper has developed an enviable reputation
for authoritative, influential and independent reporting on Hong
Kong, China and the rest of Asia. Available in print and across
multiple digital platforms (www.scmp.com) the South China Morning
Post reaches a global audience with daily breaking news, insightful
analysis and opinion, multimedia articles and interactive forums.
Striving to maintain the highest standards among the world's quality
newspapers, the South China Morning Post receives constant
international recognition. It received 64 awards in 2012 for
editorial, marketing and technical excellence. Other publication
titles of the Group include the Sunday Morning Post, Luxehomes,
Classified Post, JiuJik, Smartjob, and the Chinese editions of Elle,
Cosmopolitan, CosmoGirl! and Harper's Bazaar. For more information,
please visit us at www.scmpgroup.com.
Head of PR and Corporate Communications
Telephone: +852 2680 8132
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