Sanoma Corporation, Stock Exchange Release, 7 April 2014 at 14:30 CET+1
Sanoma has adopted the new IFRS 11 Joint Arrangements as of 1 January 2014. The standard permits only the equity method in consolidation of joint ventures, and the proportional consolidation method is not allowed any longer. In the income statement the share of result in the joint ventures is presented as part of the operating profit and in the consolidated balance sheet as equity-accounted investees. The change primarily relates to Media Belgium and Media Russia & CEE. The first interim report for 2014 to be published on 30 April will be prepared in accordance with the new standard.
Adoption of IFRS 11 reduced 2013 consolidated net sales EUR 135.2 million. The impact on profitability is minor, 2013 operating profit excluding non-recurring items decreased EUR 0.2 million. Balance sheet total on 31 December 2013 decreased EUR 164.9 million and the total equity of the Sanoma Group reduced EUR 59.1 million. Transition from proportional consolidation method to equity method also has impact on the presentation of the cash flow statement.
In addition, as announced on 31 October 2013, Sanoma will consist of two segments: Consumer Media and Learning. Sanoma will report net sales and profitability for three strategic business units: Media Netherlands, Media Finland and Learning. Media Belgium and Media Russia & CEE will be reported in the category ‘Other’. The change is effective as of 1 January 2014.
Sanoma's financial reporting for 2013 has been adjusted to account for the changes. All details are presented in the attached tables:
- Key indicators
- Income statement
- Balance sheet
- Cash flow statement
- Net sales by strategic business unit
- Operating profit by strategic business unit
- Operating profit excluding non-recurring items by strategic business unit
- Segment information
Information is also available at www.sanoma.com/investors.
| Restated | Change | As published | |
| KEY INDICATORS | 1–12/ | 1–12/ | 1–12/ |
| EUR million | 2013 | 2013 | 2013 |
| Net sales | 2,083.5 | -135.2 | 2,218.7 |
| Operating profit excluding non-recurring items | 154.6 | -0.2 | 154.9 |
| % of net sales | 7.4 | 7.0 | |
| Operating profit | -257.7 | 14.6 | -272.3 |
| Result for the period | -320.3 | 12.0 | -332.3 |
| Capital expenditure * | 65.6 | -1.8 | 67.3 |
| % of net sales | 3.1 | 3.0 | |
| Return on equity (ROE), % | -24.2 | -23.9 | |
| Return on investment (ROI), % | -9.2 | -9.3 | |
| Equity ratio, % | 37.2 | 37.2 | |
| Net gearing, % | 95.7 | 91.7 | |
| Number of employees at the end of the period (FTE) | 9,035 | -562 | 9,597 |
| Average number of employees (FTE) | 9,446 | -597 | 10,043 |
| Earnings/share, EUR | -1.89 | 0.07 | -1.97 |
| Earnings/share excl. non-recurring items, EUR | 0.54 | 0.01 | 0.53 |
| Cash flow from operations/share, EUR | 0.73 | -0.03 | 0.76 |
| Equity, total | 1,179.3 | -59.1 | 1,238.4 |
| Assets, total | 3,349.1 | -164.9 | 3,514.0 |
| Equity/share, EUR | 5.42 | -0.36 | 5.78 |
| * Including finance leases. |
Additional information
Sanoma’s Investor Relations, Olli Turunen, tel. +358 40 552 8907 or ir@sanoma.com
Sanoma.com
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Sanoma is a front running consumer media and learning company in Europe. In Finland and the Netherlands we are the market leading media company with a broad presence across multiple platforms. Our main markets in learning are Belgium, Finland, the Netherlands, Poland and Sweden. In 2013, Sanoma’s net sales totalled EUR 2.1 billion. Sanoma is listed on the NASDAQ OMX Helsinki stock exchange.