Financial Roundup

29 July 2005

USA (calendar Q2)

  • Anheuser-Busch
        "Fighting the battle for share of alcohol," said chief executive Patrick Stokes, had dragged earnings at America's largest brewer down by 10% - amid a fierce price war and a continuing shift by drinkers toward wine and spirits.
        Q2 profit of $607 million (€504m; £348m) compared year-on-year with $674m.
       Anheuser warned that earnings per share for this year would now fall below last year's levels.

    Global (calendar Q2)
  • J C Decaux
        Europe's largest outdoor advertising company bore scars of the current advertising slowdown, with revenue growth slipping from 6% in the first quarter to 5% in the second.
       Q2 revenues were €454 million ($547m; £314m), up by 5% on €432.2m in the same period last year. But underscoring the present advertising drought, the company's organic revenue growth more than halved from 7.3% to 3.2%. Global billboard revenues slid 2.8% year-on-year to €115.4m.
       Said chairman and co-ceo Jean-Francois Decaux: "Our good performance over the half year was driven by solid street furniture revenue growth and continued double-digit revenue improvement from our transport division."

    Global (calendar Q2)
  • Kellogg Company
        Earnings rose 9.1% on strong sales as the breakfast cereals giant poured the milk of money onto the snap, crackle and pop of advertising.
       Net income rose to $259 million (€215m; £149m) from $237.4m in Q2 2004. Sales rose 8.4% to $2.59 billion from $2.39 billion last year.
       "Certainly the second quarter was very strong," commented David Mackay, Kellogg's president/coo. "Going forward our expectation will not be to plan on that level of growth."

    USA (calendar Q2)
  • Martha Stewart Living Omnimedia
        The New York-based corporate exploitation vehicle of the eponymous style queen reported increased losses of $33.5 million (€27.8m; £19.21m) compared with $17.8m in the same quarter last year.
       However, MSLO expects the loss to narrow steadily as magazine advertising recovers from last year's plunge coincident with Stewart's conviction and jailing.
        Overall revenue for the quarter increased to $46m, up year-on-year from $44.1m. The publishing group saw a 34% revenue gain to $31.7m, boosted by a 42% increase in advertising at flagship magazine, Martha Stewart Living and a 65% increase at Everyday Food.
       The company's wider loss stems from $16.8 million in costs related to a new syndicated TV show grandiosely titled by a single given name - Martha.

    UK (calendar H1)
  • Trinity Mirror
        The UK's largest newspaper group increased pre-tax profits and revenues in the first half of the year, despite a "difficult" advertising market.
       Overall, pre-tax profits before non-recurring items jumped 14.9% to £113.2 million ($197m; €164m) on revenues of £579.3m, up 1.2% on the previous year.
       Operating profits before non-recurring items for the 26 weeks to July 3 increased by 7.9% to £128.3m, compared with £118.9m last year. However, the 2004 figure was burdened with a £3.5m non-recurring charge.

    Data sourced from multiple origins; additional content by WARC staff