Switzerland's Orell Füssli H1 profit falls on Zeiser project delays
Switzerland's Orell Füssli H1 profit falls on Zeiser project delays
Overview
Switzerland security printing and book retailer's H1 revenue rose slightly yr/yr to CHF 121.4 mln
Adjusted EBIT and net income fell, mainly due to product mix and acquisition costs
Company confirmed full-year outlook for modest revenue growth and EBIT margin around 9%
Outlook
Orell Füssli expects full-year revenue growth slightly below planned 4–6% range
Company anticipates full-year EBIT margin of around 9%
Company cites continued economic uncertainty and seasonal trends as factors for outlook
Result Drivers
SECURITY PRINTING MIX - Decline in Security Printing EBIT attributed to less complex, lower-margin orders in the first half
BOOK RETAILING COSTS - Higher costs from the acquisition of A. Köhler AG weighed on Book Retailing EBIT
ZEISER PROJECT DELAYS - Zeiser division affected by postponement of several projects in the Gulf region
Company press release: ID:nEQ7WQ6NLa
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
H1 Revenue |
| CHF 121.4 mln |
|
H1 Net Income |
| CHF 4.4 mln |
|
H1 EBIT |
| CHF 6.9 mln |
|
Analyst Coverage
The one available analyst rating on the shares is "hold"
The average consensus recommendation for the commercial printing services peer group is "buy."
Wall Street's median 12-month price target for Orell Fuessli AG is CHF127.50, about 15% below its July 23 closing price of CHF150.00
The stock recently traded at 14 times the next 12-month earnings vs. a P/E of 14 three months ago
Reuters Recommended Reads
July 22 - Switzerland's Cicor H1 revenue lifted by acquisitions, profit hit by integration costs
July 23 - Switzerland's SFS Group H1 sales rise on strategic acquisitions, supply chain mitigation
July 22 - UK publisher Reach H1 revenue falls on print, digital declines
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)