Orell Fuessli, a Swiss bookseller and printing company, has reported a decline in net profit for the first half of the year. The company attributes this decrease to investments made in developing its new digital business. However, Orell Fuessli remains optimistic about improved profitability in the second half.
- Net profit for the first half amounted to 4.8 million Swiss francs ($5.6 million), lower than the 6.7 million Swiss francs achieved in the same period last year.
- Revenue increased to 105.0 million Swiss francs, up from 97.6 million Swiss francs in the year-prior period.
- Earnings before interest and taxes (EBIT) reached 5.4 million Swiss francs, compared to 7.4 million Swiss francs in the previous year.
Factors Influencing Performance
The decline in EBIT can be attributed to investments made in the digital business areas as well as the absence of positive one-off effects that benefited the company’s result last year.
- The book retailing segment contributed the most to the company’s revenue, amounting to 49.9 million Swiss francs.
- The security printing division delivered the highest EBIT results, totaling 6.1 million Swiss francs.
Orell Fuessli anticipates further revenue growth and improved profitability in the second half of the year. Although the company expects slightly higher revenue for the entire year, it foresees an EBIT margin slightly below that of the previous year.