Bastei Lübbe AG, DE000A1X3YY0

Bastei Lübbe AG, DE000A1X3YY0

29.08.2017 - 07:34:17

Bastei Lübbe AG starts 2017/2018 financial year on a positive note and significantly improves operating result

Bastei Lübbe AG starts 2017/2018 financial year on a positive note and significantly improves operating result

- Consolidated revenue at EUR 27.5 million compared with EUR 27.8 million in the previous year

- Group EBITDA improves to EUR 0.7 million (previous year: minus EUR 1.0 million)

- Outlook for 2017/2018 as a whole remains positive

Cologne, 29 August 2017. Bastei Lübbe AG (ISIN DE000A1X3YY0), which is listed in the Prime Standard of the Frankfurt Stock Exchange, started the 2017/2018 financial year on a positive note. In the first quarter (from 1 April to 30 June 2017), the Cologne-based media group generated revenue of EUR 27.5 million after EUR 27.8 million in the same period of the previous year. Revenue was thus on a par with the previous year. Earnings before interest, taxes, depreciation and amortisation (EBITDA) improved to EUR 0.7 million in the period under review as against minus EUR 1.0 million in the same period of the previous year. This corresponds to an increase in the EBITDA margin from minus 3.6% in the previous year to 2.5% in the period under review. At the end of the previous year, Bastei Lübbe AG finished its involvement in the "Non-Book" segment. Adjusted for the discontinued "Non-Book" segment, revenue climbed 12.3% in the first quarter of 2017/2018. Adjusted EBITDA improved by EUR 1.8 million as against the same quarter in the previous year. "Our figures indicate a clearly positive trend and show how well our strategic aim to position the company as an international media corporation with a strong traditional and digital foothold is working," said Thomas Schierack, CEO at Bastei Lübbe AG.

Bastei Lübbe AG's digital e-book and audio product revenue will also be included in the "Book" segment as of this quarterly report. In the period under review, segment revenue rose from EUR 12.4 million to EUR 17.8 million. This increase is mainly attributable to the EUR 2.5 million in revenue generated by the LYX label (previous year: EUR 0.1 million) and the increase in revenue in the children and youth book sector by EUR 1.2 million to EUR 2.6 million (previous year: EUR 1.4 million). As a result, EBITDA in the "Book" segment rose from minus EUR 0.6 million in the first quarter of 2016/2017 to EUR 1.2 million in the period under review.

Revenue in the "Retail" segment dropped from EUR 8.2 million in the previous year to EUR 4.5 million in the reporting period. This sharp drop in revenue (down 45.5%) was due to an increase in the number of returns in the promotions business in particular and smaller premises at a trading partner. EBITDA amounted to minus EUR 1.5 million in the period under review (previous year: minus EUR 0.6 million).

In the first quarter of 2017/2018, the digital business took a great leap forward and posted a very pleasing increase of 84.3% to EUR 2.8 million. In particular, growth drivers included the subsidiary and video game publisher Daedalic with its successful game "The Long Journey Home". EBITDA in the "Digital" segment rose to EUR 0.8 million in the period under review after almost breaking even in the same quarter in the previous year. Daedalic also made the biggest contribution here. As in the previous year, the oolipo subsidiary posted a minor loss.

"It is becoming increasingly clear that both the "Book" and "Digital" segments are enjoying a fruitful symbiosis and benefiting from one another. Texts are now being supplemented with interactive content, such as images, videos, software and the use of smartphone technology. We are also adapting successful digital material more than traditional books to an increasing extent," explained Thomas Schierack, CEO at Bastei Lübbe AG.

The figures for the first quarter of 2017/2018 were in line with expectations. The Management Board is still positive about the outlook for the 2017/2018 financial year and has confirmed its revenue forecast of around EUR 160 million (previous year: EUR 146.3 million). It must be borne in mind that roughly EUR 15 million in revenue was lost year-on-year as the "Räder" segment was discontinued in the current financial year. EBITDA in the 2017/2018 financial year will significantly exceed EBITDA in the 2016/2017 financial year and is expected to be between EUR 14 million and EUR 17 million. With the exception of oolipo and BEAM Shop, all fully consolidated subsidiaries are expected to make a positive contribution to the anticipated EBITDA figure. In the core business ("Book"), the Management Board anticipates positive revenue contributions based on new publications by Bastei Lübbe's successful authors Ken Follett and Dan Brown. In the first quarter, the "Digital" segment was significantly above the level of the previous year and slightly exceeded our expectations. In the future, the segment is also likely to see promising and profitable growth thanks to the software developer Daedalic Entertainment. The planned and partial completion of the expansion of BuchPartner's premises will have a positive impact on revenue in the "Retail" segment. The "Novel Booklets and Puzzle Magazines" segment will more or less maintain the level of revenue attained in the previous year.

The full interim report on the first quarter of 2017/2018 is available online at https://www.luebbe.com/en/investor-relations/financial-reports.

About Bastei Lübbe AG:Bastei Lübbe AG is an internationally active media group with headquarters in Cologne. Its business activities primarily focus on the development and licencing of contents which are sold worldwide in physical and digital formats. The core business of the company in the book segment covers classic publishing and periodically published puzzle magazines and novels. With its total of twelve publishing houses and imprints, the company group currently offers around 3,600 titles in the areas of fiction, non-fiction as well as books for children and young adults. In the growing segment of hardcover fiction books, the company has been the market leader in Germany for many years. At the same time, Bastei Lübbe is an engine for innovation in the area of digital media. Apart from the production of thousands of audio and ebooks, the "digital" business unit also maintains participations in the self-publishing platform "BookRix" and the renowned game publisher "Daedalic Entertainment". The digital value-added chain of Bastei Lübbe AG is rounded off through its participation in the online shop "beam-ebooks.de" as well as the new and unique international entertainment platform "oolipo". With annual sales of approx. 146.3 million euros (financial year 2016/2017), Bastei Lübbe AG is the largest medium-sized family-run publishing business in Germany. The shares of the company have been listed in the Prime Standard segment on the Frankfurt stock exchange (WKN A1X3YY, ISIN DE000A1X3YY0) since 2013. Further information is available at www.luebbe.de.

Contact Bastei Lübbe AG: Barbara Fischer Head of Press and Public Relations Tel.: 0221 / 82 00 28 50 E-Mail: barbara.fischer@luebbe.de

29.08.2017 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG.The issuer is solely responsible for the content of this announcement.The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Archive at www.dgap.de

Language: English

Company: Bastei Lübbe AG Schanzenstraße 6 - 20 51063 Köln

Germany Phone: 02 21 / 82 00 - 0 Fax: 02 21 / 82 00 - 1900 E-mail: investorrelations@luebbe.de Internet: www.luebbe.de ISIN: DE000A1X3YY0, DE000A1K0169 WKN: A1X3YY, A1K016 Listed: Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Hanover, Stuttgart, Tradegate Exchange   End of News DGAP News Service

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