Novus earnings slide on loss of Media24 printing business
Six-months results to end-September are the first to reveal the impact of the loss of the attractively priced printing work, which was transferred to Caxton and smaller printers
The loss of more than half of Media24’s newspaper and magazine printing business was behind the largest decline in interim headline earnings reported by printing and manufacturing group Novus Holdings. The results for the six months to September are the first to reveal the impact of the loss of the attractively priced printing work, which was transferred to Caxton and a few smaller printers at the end of March. On Friday, Novus reported a 31% decline in headline earnings per share as the group battled to compensate for the loss of the Media24 work. Novus said this negative impact was aggravated by weaker consumer spending on magazines. The 32% decline followed a 72.6% slump in headline earnings in financial 2018 as the management took hefty impairments on plant closures following the loss of the Media24 business. The second-half results are expected to be significantly weaker as the group will have limited benefit from its book printing contract with the department of basic educatio...
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