Commenting on the results, Quarto Group PLC LON:QRT Chief Executive, Marcus Leaver said: “It has been another six months of progress for the Group. Importantly, the acquisition of becker&mayer adds another creative hub in the US and continues to build long-term shareholder value.
As we have highlighted before, we are increasingly second-half weighted. Trading remains on track, with healthy order book visibility, and we remain confident of both reducing debt and delivering growth for a fourth successive year.”
Half-Year Results for the Six Months Ended 30 June 2016
The Quarto Group, Inc. (LSE: QRT), the leading global illustrated book publisher and distribution group gave DirectorsTalk its unaudited half year results for the six months ended 30 June 2016.
Financial Highlights
-- Revenue of $73.3m up 8% in the period (H1 2015:
$67.7m(1) )
-- Publishing revenue of $57.8m up 16% (H1 2015:
$49.9m)
-- Adjusted(2) group operating profit of $0.4m
(H1 2015: $0.7m(1) )
-- Core publishing adjusted operating profit up
by $1.2m
-- Adjusted loss before tax of $1.1m (H1 2015:
$0.8m(1) )
-- Loss before tax of $1.4m (H1 2015: $1.6m(1)
)
-- Continued focus on reducing net debt: $8.5m
reduction to $72.5m (H1 2015: $81.0m)
-- Interim dividend maintained at 5.13c/3.93p(3)
(H1 2015: 5.13c/3.35p) (3)
Operational Highlights
-- Continued strength in the US market with
revenue up by 17% and adjusted operating
profit up by 39%. Harvard Common Press, acquired
in February, has been successfully integrated.
-- Acquisition of becker&mayer, announced on
8 August 2016, adds another creative hub
in the US with a sizeable children's publishing
element to it.
-- Disappointing result from Books & Gifts Direct,
with adjusted operating profit down $1.1m
but with recovery expected in the second
half, based on order book visibility.
-- Children's and foreign rights revenues also
growing, with Children's revenues up 36%.
[1] Restated as set out in Note 1.
(2) Throughout this document, adjusted measures are
stated before amortisation of acquired intangible
assets and exceptional items.
(3) Dividend per share is declared in cents per share
and paid in sterling translated at the spot rate
at the time of payment. For the purpose of illustration
above, we have used the closing spot rate on Friday
5 August of $1 : GBP1.306.
