Bertelsmann, Kingfisher Profit Decline; Yoox to Merge with Net-a-Porter

Nigel Thomas
31 Mar, 2015
New York City

Bertelsmann profit declined 19% to

[R]4:00 PM Frankfurt – Bertelsmann profit declined 19% to €1.60 billion but revenues climbed 3%. Kingfisher net plunged 19% to £573 million. Mitie forecasted annual loss. Yoox agreed to acquire Net-a-Porter for €719 million.[/R]

In London trading, FTSE 100 index declined 1.4% or 99.22 to 6,792.21 and in Frankfurt the DAX index dropped 0.8% or 92.08 to 11,993.93.

In Paris, CAC 40 index slumped 0.8% or 39.83 to 5,043.69.

For the March month, FTSE 100 index in London dropped 2.2% while the DAX index in Frankfurt soared 4.9% and CAC 40 index in Paris jumped 2.5%.

For the first-quarter of 2015, FTSE 100 in London climbed 3.6% but the DAX index in Frankfurt surged 22% and CAC 40 index in Paris soared 18.6%.

Bertelsmann SE & Co KGaA, the Germany-based entertainment network services provider said revenues in the year ending in December climbed 3.1% to €16.67 billion from €16.18 billion in a year ago period.

Profit in the year declined 19.3% from a year ago to €1.60 billion compared to €1.99 billion and diluted earnings per share dropped to 24.2 pence from 29.7 pence.

Revenues from RTL group fell 0.3% to €5.8 billion while revenues form Penguin Random House segment surged 25.2% to €3.3 billion from a year ago period.

Revenues from Gruner + Jahr business plunged 13.3% to €1.7 billion and revenues from Arvato segment climbed 6.2% to €4.7 billion.

Kingfisher Plc climbed 5.5% to 384.70 pence after the U.K.-based home improvement retailer reported sales in the year ending in January dropped 1.4% to £10.97 billion from £11.13 billion in a year ago period.

Profit in the year plunged 19.3% from a year ago to £573 million compared to £710 million and diluted earnings per share dropped to 24.2 pence from 29.7 pence.

The retailer sustained its plans to acquire 41.9% stake in franchisees of Mr Bricolage after the agreement made provision that it would lapse if the anti-trust clearance was not obtained by March 31.

Mitie Group Plc plunged 6.6% to 273.10 pence after the U.K.-based outsourcing services provider forecasted total losses for the year in the range of £15 million to £16 million.

Thomas Cook Group Plc gained 1.6% to 145.44 pence after the U.K.-based leisure and travel group said summer sales are in-line with management’s expectations.

The group intends to announce its results for the first-half ending in March on May 20.

Yoox SpA surged 11.4% to €25.80 after the Italy-based online multi-brand clothing and accessories retailer agreed to acquire Cie. Financiere Richemont SA’s Net-a-Porter business in an all-stock deal worth about €719 million.