Q1 2023 results in line with expectations
Announcement no. 8-2023
3 May 2023
North Media CEO Lasse Ingemann Brodt commented on the results for Q1 2023:
“Our Q1 2023 results were in line with expectations. Once again, BoligPortal delivers record-high revenue and EBIT, driven by a large number of rental units listed, while our other three businesses, and FK Distribution in particular, reported reduced activity levels. We continued to develop our businesses in order to capitalise even more on volume and scale benefits, while staying focused on establishing the future strategic platform for the entire Group.”
Financial highlights:
| DKKm | Q1 | |
| 2023 | 2022 | |
| Revenue | 240.0 | 248.2 |
| EBIT | 43.8 | 48.2 |
| EBIT margin | 18.3% | 19.4% |
| Return on securities | 103.8 | -94.9 |
| Cash flows from operating activities | 57.0 | 37.0 |
| Free cash flow | 53.6 | 35.1 |
Performance by business area – Q1 2023
The Last Mile business area (FK Distribution) incurred a 4.6% drop in revenue following an expected decline in leaflet volumes of 10.5% that was mainly a result of the economic slowdown, but also reported improvements in the minetilbud online platform and selected mail items. EBIT fell by 13.2%, whereas the EBIT margin was 20.8% thanks to a strong focus on costs.
The Digital Services business area delivered 3.2% revenue growth, driven by an increase in BoligPortal’s advertising sales. Ofir was impacted by a larger-than-expected drop in the number of job ads. For Bekey, the decline was mainly due to reduced sales of hardware, while licence and service income increased. EBIT in the Digital Services business area was up by 54%, driven by BoligPortal, while the EBIT margin came in at 9.6%.
Guidance for 2023 maintained
The Group’s FY 2023 consolidated guidance is unchanged. Revenue in still expected to be in the DKK 920-975m range, with EBIT of DKK 125-160m and the EBIT margin at about 15%.
Conference call
CEO Lasse Ingemann Brodt and CFO Kåre Wigh will present the interim report in a conference call (in English) on 4 May at 13:00 CET. Use this link to attend the conference call. The interim report will be presented in Danish on HC Andersen Capital’s platform on 4 May 2023 at 15:00 CET. Please register using this link.
Further information:
CEO Lasse Ingemann Brodt, +45 20 24 32 92
CFO Kåre Wigh, +45 25 65 21 45
North Media’s companies develop and operate platforms for transactions that bring businesses and consumers together, with a special focus on groceries, rental housing, jobs or digital access management solutions. FK Distribution is Denmark’s leading distributor of leaflets and local newspapers; it runs the digital platform ‘minetilbud’ and provides logistics services. BoligPortal is Denmark’s leading home rentals platform, offering services to both landlords and tenants. Ofir is Denmark’s most comprehensive jobs universe. Bekey provides digital access solutions for secured stairwells and private homes for the use of homecare services and companies delivering groceries, meal services, etc.
This document is an unofficial translation og the Danish original. In the event of any inconsistencies, the Danish version shall apply.
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