Publisher Reed Elsevier reports losses
The Dutch-Anglo publisher Reed Elsevier reported a loss in net earnings.
THE HAGUE -- Anglo-Dutch publisher Reed Elsevier on Thursday reported a 65 percent slide in 2008 net earnings to 592 million euros (752 million dollars) and said it would extend a restructuring programme.
Elsevier on Thursday reported a 65 percent slide in 2008 net earnings to 592 million euros (752 million dollars) and said it would extend a restructuring programme.
Group sales came to 6.7 billion euros, a gain of 7.0 percent over 2007.
Calculated in pounds sterling, net profit was down 60 percent at 480 million pounds from sales that rose 16 percent to 5.3 billion pounds.
The group, which publishes the The Lancet, a medical journal, and The New Scientist, does much of its business in the United States and Britain.
Analysts surveyed by Dow Jones Newswires had foreseen a 13 percent rise in sales measured in pounds.
Despite the profit slide, company chief executive Sir Crispin Davis said that "good revenue growth was seen across most of the business driven by the growing demand for online information and workflow solutions."
"The revenue growth and a strong focus on restructuring and cost management delivered meaningful margin improvement and the operating cash generation was excellent."
He added that while "the economic environment has become progressively more challenging, our business is more resilient than most and we are in a strong financial position."
The group said it would extend its restructuring drive, launched in February 2008, that targeted annual savings of 200 million dollars (159 million euros) until 2011.
The company now hopes to save an additional 150 million dollars a year under the programme.