MAIN NEWS HEADLINES
February 15 – February 22, 2007 Edition
Time Warner
Books Bolsters
Lagardere Sales
PARIS/2/9/07–Lagardere SCA, the France-based parent company of Hachette Livre, reported yesterday that 2006 full-year consolidated revenues rose 7.6% and Media Division revenues were up 2.4% over the previous comparative period.
The positive Media results were bolstered by the consolidation of Time Warner Book Group (now known as Hachette Book Group USA). Time Warner Book Group (TWBG), consolidated from April 2006, contributed €336m ($436 million dollars) in sales to Hachette’s income for the final three quarters of 2006.
Conversely, the sale of Dalloz reduced full-year revenues by €43m. At 1.8%, like-for-like revenue growth was lower for the full year than for the 9 months to end September (2.6%). This slowdown was mainly due to rationalization of the least profitable editorial lines at Larousse (France and International) and Octopus (UK). In both cases, the short-term dip in sales should be followed by improved profitability for the division in the future. Larousse is set to introduce new collections for early 2008.
For the year ending Dec. 31, Hachette Livre reported revenue of more than €1.9 million (approximately $2.5 million), compared to €1.6 million ($2.1 million) for 2005. Growth on a comparative year basis, without Time Warner Book group, increased 1.8 percent.
Lagardere’s total book revenue increased a total of 20.1%, to €1.98 billion, in 2006 as a result of the April 2006 purchase of TWBG.
