Executive Report 2012 Key Figures in CHF Mill
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Executive Report 2012 Key figures in CHF mill. 2012 2011 Change Income Statement Operating revenues 1 052.4 1 117.2 –5.8% Operating income before depreciation and amortisation (EBITDA) 203.4 237.7 –14.4% Margin 19.3% 21.3% –9.2% Operating income (EBIT) 143.0 180.8 –20.9% Margin 13.6% 16.2% –16.0% Net income 152.0 178.8 –15.0% Operating revenue by division (third parties) Print Regional 484.3 531.8 –8.9% Print National 420.3 447.4 –6.0% Digital 147.8 138.0 7.1% Balance Sheet Current assets 324.9 410.2 –20.8% Non-current assets 1 756.0 1 330.8 32.0% Balance sheet total 2 080.9 1 741.0 19.5% Liabilities 892.6 785.2 13.7% Equity 1 188.3 955.8 24.3% Financial Key Data Equity ratio 57.1 54.9 4.0% Return on equity 12.8 18.7 –31.6% Employee Key Data Headcount as of balance sheet date 1 3 471 3 330 4.2% Operating revenues per employee 2 in CHF 000 313.2 338.4 –7.5% Key figures per share Net income per share in CHF 14.54 16.82 –13.6% Dividends per share in CHF 4.50 3 5.75 –21.7% Dividend yield 4.4% 4.9% –11.2% Price/earnings ratio 4 x 7.1 6.9 2.0% 1 Number of full-time equivalents of continuing operations 2 Based on the average number of employees 3 Proposed appropriation of profit by the Board of Directors 4 Based on year-end price Contents Survey 1 Editorial by the Chairman of the Board of Directors 2 Board of Directors 4 Remarks from the CEO 6 Management Board 8 Organisation Chart 10 Annual Report 2012 11 Operational reporting and market conditions 13 Financial reporting 26 Multi-year comparison 33 Information for investors 34 Tamedia Group 36 Principal shareholders 44 Contact/Imprint 46 Excerpt from the Annual Report 2012 1 Survey Editorial by the Chairman of the Board of Directors Dynamic growth in challenging circumstances Dr. Pietro Supino, Chairman of the Board of Directors Ladies and Gentlemen The 2012 financial year was a challenging one for Tamedia. The economic climate was relatively positive despite the strength of the Swiss franc; however this was not reflected in the financial results of advertising, an impor- tant market for the media sector. Furthermore, the expected acceleration of structural changes took effect. The corporate response to this development is first of all improvements in efficiency, which extends to col- laboration with other independent media corporations. Secondly, we are developing new business areas, par- ticularly with regard to the 20 Minuten and digital media. We also expect long-term solutions to come from the payment models for the expanded digital content of our subscription newspapers. In this regard we are reliant on our digital payment models not being exposed to competition from free services offered by SRG, which is largely financed by television licence fees. The 2012 financial year was marked by rapid growth at Tamedia. We have invested in strengthening the field of investigative journalism with the expansion of the research desk of Le Matin Dimanche and Son- ntagsZeitung and also through our investigative journalism summer course initiative at Columbia University in New York. The online and print editorial teams of 20 Minuten and the Tages-Anzeiger are successfully under- going a challenging process of convergence. The SonntagsZeitung, thanks to cooperation with the Bund and the Basler Zeitung, is now in the process of becoming the most circulated Sunday paper in Switzerland. We have launched two promising magazines: the national lifestyle magazine Encore and the multilingual supplement Auto. Our real estate platform Homegate strengthened its leading market position with its investment in Immostreet. In collaboration with Ringier, we have taken over the jobs platform jobs.ch. Combined with our job portals alpha.ch, jobsuchmaschine.ch, jobup.ch and jobwinner.ch this provides an excellent starting point in an important business area for us: the job advert market. In collaboration with our partner at 20 minuti, publisher Giacomo Salvioni, we were able to invest in the leading online portal tio.ch in Ticino. Following the success- ful creation of the Luxemburg commuter newspaper L’essentiel in partnership with Editpress, at year-end we were able to lay the foundation for substantial expansion abroad, thanks to the acquisition of the Danish commuter paper MetroXpress. We are also making progress in the printing business: since September, the Bieler Tagblatt has been produced in the Berne printing centre and from April the printing of the Basler Zeitung will be taken over by us in Zurich. 2 Excerpt from the Annual Report 2012 We should be proud of achieving this dynamic growth under challenging conditions. With net income of CHF 152 million and a margin of 14%, 2012 was also a financially encouraging year. However, extraordinary effects once again had a positive influence on the income statement. The net income achieved by the ordi- nary business was some CHF 120 million, while it had been around CHF 160 million in the previous year. Even though 2011 had been the best financial year in the company’s history, this is still a disappointing perform- ance. In addition to the strategic steps presented, cost measures were also introduced in order to compensate for a reduction in the margin. On a positive note, the balance sheet shows that after financing the acquisition of Edipresse Suisse, Tamedia was again largely debt free at the end of 2012. However, since then we have again had to borrow substantial funds for the acquisition of jobs.ch. Repayment of these borrowed funds is to be made in the next two to three years from the current business. Against this backdrop, the Board of Directors will propose to the General Meeting that a dividend of CHF 4.50 per share be distributed. This encouraging company growth and positive net income have only been made possible thanks to the work of our Management Board and our employees. On behalf of the Board of Directors, I would like to extend my warm thanks to you all. Special thanks go to Martin Kall, who led the operational business from 2002 until the end of 2012. He was fundamental in optimising our business and setting the course for long-term contin- ued growth. In so doing, he has laid the foundation for encouraging company growth. He also contributed greatly to the individual steps along the way. Unfortunately, he has decided to step down after ten years of service. Martin Kall has left the company in excellent condition. He has left behind a well-prepared successor in Christoph Tonini, a solid and experienced management team, competent and committed employees, and a company that occupies a strong position in attractive markets. The Board of Directors will propose to the General Meeting that it should elect Martin Kall to the Board of Directors. We would be delighted to continue to work together with him in this new capacity. It is with regret that we must report the passing of one of the Members of the Board of Directors in the sum- mer. Charles von Graffenried died a few days before his 87th birthday following a short illness. Throughout his life, he was an impressive individual with various spheres of influence. Indeed, he helped to shape the Swiss media landscape – as the creator and publisher of the Berner Zeitung, the founder and Chairman of Espace Media Groupe, the publisher of Bund, a partner in the merger of Espace Media and Tamedia and since then, a member of Tamedia’s Board of Directors. Already prior to that, he had an impact on Tamedia, advis- ing my family – formerly the sole and now the majority owner – and coming up with the name Tamedia. We will always feel indebted to him. On reaching the end of his term in office, Martin Bachem has decided to leave the Board of Directors. Aged 55 and an economist, he has served as Chairman of the Board of Directors of Ziegler Druck- und Verlags-AG since 1996 and is a member of the founding family. My colleagues on the Board of Directors and I regret that he has decided to leave the Board, which he has enriched with his conscientious and skilled work. He has decided to leave the Board of Directors in order to avoid a conflict of interest as Ziegler Druck- und Verlags- AG, in which Tamedia holds a 20% share, is taken forward. Our thanks and best wishes go with him. My cousin Andreas Schulthess has announced his resignation from the Board of Directors. He wishes to pur- sue a new career path, and so, after six years as a member of the Board, is unfortunately not standing for re- election to it. I would like to thank him, also on behalf of the Board of Directors, for his great commitment in a time of fundamental change in the company. We are delighted that he has decided to remain affiliated with the company as a family shareholder. The Board of Directors will propose to the General Meeting the election of my cousin Claudia Coninx-Kaczynski as his successor in the Board of Directors. Aged 39 and a lawyer, she studied at the University of Zurich and the London School of Economics and Political Sciences before carry- ing out research work at the University of Zurich, after which she led the business of a real estate company as a member of the Board of Directors.