McGraw-Hill Posts Sliding Profits

30 January 2002

Hit by sliding ad sales and a fall in revenues from its education division, American publisher McGraw-Hill on Tuesday posted a Q4 net loss of $2.8 million – ahead of analysts’ expectations but down from the $106m profit made a year before.

The figures include a restructuring charge of $30m relating to layoffs plus a $129m write-down of assets; without these, the group’s profit stood at $109.1m. Revenues increased slightly from $1.09 billion in Q4 2000 to $1.11bn.

Its education operations suffered a 72.6% slump in net profits to $10.2m, on a 2.6% drop in revenues to $449.5m.

For the whole of 2001, McGraw-Hill’s net profits dropped from $403m the previous year to $377m.

News source: Financial Times