Hurriyet Drops in Istanbul as 2011 Loss Quadruples Estimates
Hurriyet Gazetecilik AS (HURGZ), the publisher of Turkey’s Hurriyet newspaper, dropped after reporting a full-year loss that was almost quadruple analysts’ estimates.
The shares fell 1.7 percent to 1.16 liras by the close in Istanbul after declining as much as 3.4 percent in intraday trading.
Hurriyet’s loss widened to 235.7 million liras ($132 million) in 2011 from 40.1 million liras in 2010, it told the Istanbul Stock Exchange on March 31. The company was forecast to lose 62.1 million liras, according to the average of 10 analyst estimates compiled by Bloomberg.
“The worse-than expected net loss mainly stemmed from higher-than-expected operational expenses at Trader Media East Ltd. (TME),” or TME, “and a goodwill impairment of 113 million liras,” also mainly related to TME, Oyak Securities said in a report today.
Hurriyet owns a 67 percent stake in TME, an Amsterdam-based publisher of classified advertising in eastern European media.
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