Business News

Axel Springer AG: Axel Springer posts the highest profit in its history, surpassing the forecast for 2008 significantly

Thursday 26. February 2009 - - Record EBITDA of EUR 486.2 million - Record consolidated net income of EUR 571.7 million - Revenues jump 5.8 % to EUR 2,728.5 million - Record dividend of EUR 4.40

According to preliminary figures, Axel Springer surpassed its forecast for 2008 significantly, despite the difficult economic environment. The company posted record figures for its EBITDA, EBITA and consolidated net income and plans to propose a record dividend.

The consolidated revenues rose 5.8 %, from EUR 2,577.9 million in 2007 to EUR 2,728.5 million in 2008.

Thanks to the positive revenue performance and the continued strict cost discipline, the earnings before interest, taxes, depreciation and amortization (EBITDA) came to EUR 486.2 million, a 3.4 % increase over the corresponding prior-year figure (EUR 470.0 million). Adjusted for the dividend of ProSiebenSat.1 Media AG and proceedings from the Kirch insolvency, the EBITDA came to EUR 480.0 million, well above the forecast of more than EUR 434 million. At EUR 422.1 million, the EBITA was likewise higher than the corresponding prior-year figure (EUR 421.7 million).

The consolidated net income of EUR 571.1 million was the highest profit in the history of Axel Springer (PY: consolidated net loss of EUR 288.4 million). Even adjusted for significant non-operating items, including gains on disposal in 2008 and negative income from discontinued operations in 2007, the consolidated net income for 2008 was higher than the prior-year figure.

On this basis, the Management Board will propose raising the dividend for fiscal year 2008 by EUR 0.40 to a new record level of EUR 4.40.

Axel Springer AG will present the complete consolidated financial statements for 2008 at the annual press conference in Berlin on March 11, 2009.