PLN 35M Revenue Guidance for Full Year 2015 Remains on Schedule
Warsaw, November 13, 2015 – Artnews S.A., the Warsaw Stock Exchange listed art media firm with its primary operations in New York, USA is reporting financial results for the nine months period ending September 30, 2015, the last reporting period before consolidation of BMP Art Media Companies acquired on October 8, 2015:
- 9 months total revenue is PLN 25.3 million, 99.7% up to the same period of 2014, largely driven by the full effect from consolidation of Artnews Ltd in the US (consolidated in May 2014), strong growth in digital revenue and weakening Polish Zloty exchange rate to US Dollar, the major revenue currency of Artnews;
- High interest expenses as well as decline in value of Artnews investment in artnet.com AG were the primary reasons behind PLN 8.75m net loss recorded in the first 9 months of the year;
- The acquisition art media companies from BMP Media Holdings combined with capital increase, all completed after reporting date, made positive impact on de-leverage of Artnews S.A., with total debt reduced by the amount of PLN 9,33 million as of October 31, 2015;
- Artnews consolidated art media companies acquired from BMP Media Holdings as originally anticipated (on October 8, 2015). Original estimate of PLN 3 million EBITDA for 2015 remains on schedule, but is likely to be off-set with significant one-off transaction and integration expenses including severance, restructuring and advisory charges and expenses.
“Strengthening market leadership and profitability in print in the US through exploring synergies between our expanded roster of titles, continuing with the strong growth in digital space internationally with artnews.com and exploring high growth niche offerings such as Skate’s database run out of New York and launch of Interview brand in Poland, both on the back of low cost Warsaw infrastructure, are some of the key components of our growth strategy for 2016”, commented Izabela Depczyk, CEO of Artnews S.A.
About Artnews S.A.
ARTNEWS S.A. is the world’s leading print and the fastest growing online art media business with its media properties including print magazines Art in America, ARTnews, The Magazine Antiques, Modern and Art & Business, digital properties www.artnews.com and www.artbiznes.pl and Skate’s Art Market Research business intelligence unit. ARTNEWS S.A. is publicly listed on the Warsaw Stock Exchange (WSE:ATN) and its controlling shareholder is BMP Media Holdings LLC, owned by Peter M. Brant. The company’s primary operations are located in New York.