EGMONT International Holding A/S Annual Report 2014
Total Page：16
File Type：pdf, Size：1020Kb
EGMONT INTERNAtionAL HOLDing A/S Annual Report 2014 CVR No. 75272014 Egmont International Holding A/S Vognmagergade 11 1148 Copenhagen K Telephone: +45 3330 5550 Fax: +45 3332 4508 www.egmont.com [email protected] Registered office: Copenhagen Contents Management’s Review .......................................................................................................................... 4 Consolidated Financial Highlights ........................................................................................................ 4 The Group .......................................................................................................................................... 5 TV 2, Norway ...................................................................................................................................... 7 Nordisk Film ........................................................................................................................................ 10 Egmont Publishing .............................................................................................................................. 13 Egmont Books .................................................................................................................................... 16 Egmont International Holding A/S as parent company ......................................................................... 18 Organisation ....................................................................................................................................... 18 Corporate Governance ........................................................................................................................ 18 Corporate Social Responsibility ............................................................................................................ 18 Special Risk ......................................................................................................................................... 19 Outlook for 2015 ................................................................................................................................ 19 Statement by the Board of Directors and Management Board .............................................................. 20 Independent Auditors’ Report ............................................................................................................. 21 Consolidated Financial Statements Income Statement of the Group .......................................................................................................... 23 Statement of Comprehensive Income of the Group ............................................................................. 24 Balance Sheet of the Group ................................................................................................................. 25 Cash Flow Statement of the Group ...................................................................................................... 27 Statement of Changes in Equity of the Group ...................................................................................... 28 List of Notes to the Consolidated Financial Statements ......................................................................... 30 Notes to the Consolidated Financial Statements................................................................................... 31 Financial Statements ofEgmont International Holding A/S Income Statement of Egmont International Holding A/S ...................................................................... 68 Balance Sheet of Egmont International Holding A/S ............................................................................. 69 Notes of Egmont International Holding A/S ......................................................................................... 71 Board of Directors and Management Board of Egmont International Holding A/S ................................ 76 Management’s review CONSOLIDATED fiNANciaL hiGHLIGHTS 2014 2013 2012 2011 2010 Key figures (EUR million) Revenue 1,544.3 1,468.8 1,456.7 1,028.9 1,090.0 Profit before net financials, depreciation, amortisation and impairment losses (EBITDA) 229.7 175.8 170.0 137.6 151.7 Operating profit 142.7 96.8 96.4 * 88.7 75.4 Profit/(loss) on net financials (2.6) (2.0) (0.3) 7.0 0.3 - of which profit/(loss) from investments in associates 3.3 4.6 2.1 3.9 (1.8) - of which financial income and expenses, net (5.9) (6.6) (2.4) 3.1 2.1 Special items - - 67.3 - - Profit before tax (EBT) 140.1 94.8 163.4 95.8 75.7 Profit for the year 118.0 70.7 147.8 67.6 43.2 Total assets 1,410.9 1,331.9 1,391.3 772.4 778.4 Investments in intangible assets 64.3 64.6 41.0 40.5 35.1 Investments in property, plant and equipment 19.4 23.6 35.4 9.3 12.4 Net interest-bearing debt/ (net interest-bearing deposits) 48.6 149.7 135.8 (215.5) (188.2) Equity 504.6 444.5 463.9 287.4 241.8 Cash generated from operations 221.5 212.8 147.6 56.9 140.9 Financial ratios (%) Operating margin 9.2 6.6 6.6 * 8.6 6.9 Equity ratio 35.5 33.1 33.1 35.3 30.1 Return on equity 24.9 15.5 39.6 25.7 19.4 Average number of employees 4,050 4,177 4,075 3,274 3,369 * Calculated before special items. The financial ratios have been calculated in accordance with the Danish Society of Financial Analysts’ ‘Recommendations and Financial Ratios 2010’. Please see the definitions and terms used in the accounting policies. 4 Management’s review Egmont is a leading media group in the Nordic region. In Egmont Books, Cappelen Damm had its best year ever Egmont has 6,300 dedicated employees and publishes and Lindhardt og Ringhof grew earnings for the third media in 30 countries. consecutive year. Our media world spans TV, films, cinemas, magazines, The GrOUP books, interactive games and digital services. Revenue Our vision is to be the most attractive media group Egmont’s total revenue for 2014 amounted to EUR for our employees and business partners as well as 1,544.3 million, the highest to date. Calculated in local consumers . Creating and telling stories on all platforms currency, this corresponds to 9.6 % growth. Growth was are at the heart of all Egmont’s activities. especially driven by strong performance of PlayStation 4 in Nordisk Film. 2014 was Egmont’s best year ever with all-time-high revenue and earnings figures (adjusting 2012 for special Earnings items). Profit before net financials, depreciation and amortisa- tion (EBITDA) amounted to EUR 229.7 million, Egmont’s TV 2, Norway enjoyed a successful year with growth in best performance ever. The EBITDA margin came to market share driven by sport transmissions (including the 14.9 % against 12.0 % in 2013. Operating profit (EBIT) Winter Olympics in Sochi and the world football cham- amounted to EUR 142.7 million compared to EUR 96.8 pionship in Brazil) and a very strong program schedule million in 2013. in the autumn season. TV 2 Sumo (OTT) and tv2.no had record growth. EBIT is positively impacted by net EUR 25.0 million from closing down the defined benefit pension plan in TV 2, Nordisk Film did very well within PlayStation 4 which Norway (gain of EUR 51.5 million) and write-downs of was launched in the end of 2013 and realised the fastest trademarks and film rights etc., of EUR 26.5 million. growth in PlayStation hardware history through 2014. Also the cinemas and film production/-distribution Net financials (excluding results generated by associates) business did well. amounted to EUR (5.9) million against EUR (6.6) million in 2013, impacted by a foreign exchange loss relating to Egmont Publishing delivered solid results in a difficult the Norwegian krone. market but was hit by the crisis in Russia/Ukraine. The English-speaking region saw a very strong year with the The pre-tax profit (EBT) amounted to EUR 140.1 million phenomenal success of Minecraft. in 2014 against EUR 94.8 million in 2013. Management’s review 5 Tax on the profit for the year amounted to an expense of exchange adjustments on translation of foreign entities EUR 22.1 million, corresponding to an effective tax rate (lower Norwegian exchange rate) and actuarial losses on of 15.8 %. The effective tax rate in 2014 was significantly defined benefit pension plans. affected by non-taxable gains from sale of shares and prior year adjustments etc. Adjusting for this, the effec- Return on equity was 24.9 % compared with 15.5 % the tive tax rate for 2014 was in the level of 24 %. year before. The net profit for the year was EUR 118.0 million in 2014 The equity ratio at end-2014 came to 35.5 % compared against EUR 70.7 million the year before. to 31.1 % the year before. Balance sheet Cash generated from operations amounted to EUR Total assets increased by EUR 79.0 million to EUR 221.5 million against EUR 212.8 million in 2013. This 1,410.9 million as a result of increased activity and acqui- growth is attributable to the positive development sitions, which more than compensated for the decrease in operating profit as well as an improved working caused by the lower Norwegian kroner exchange rate capital. In 2014, net cash flows from investing activities (DKK/NOK 82.32 in 2014 compared to DKK/NOK 88.54 amounted to an expense of EUR 135.8 million, primarily in 2013). related to investments in intangible assets and securities. The Group’s net interest-bearing debt amounted to EUR 48.6 million compared to EUR 149,7.0 million in 2013. The change was a result of the positive operating profit. Egmont’s equity at end-2014 amounted to EUR 504.6 million, an increase of EUR 60.1 million compared with 2013.