Schibsted ASA (SCHA/SCHB) - Interim Financial Statement Q4 2022

10 Feb 2023 07:00 CET

10.2.2023 07:00:00 CET | Schibsted | Half yearly financial reports and audit
reports / limited reviews

Today, Schibsted released its Q4 2022 results

Improved EBITDA and robust financial position



"In a more challenging market caused by macroeconomic developments, underlying¹
Group revenues increased by 3 per cent compared to Q4 last year. In this
context, I am happy to report that Group EBITDA ended 3 per cent above Q4 last
year at NOK 651 million, breaking the downward trend seen over the last
quarters. The positive EBITDA development was driven by great efforts in all our
business areas," CEO Kristin Skogen Lund says.



"Driven by double-digit growth in classifieds revenues, Nordic Marketplaces
delivered underlying² revenue growth of 6 per cent in Q4. The revenue growth was
driven by Real estate, Motors and the transactional Generalist offering 'Fiks
Ferdig' in Norway, while Jobs and advertising revenues declined due to market
headwinds. EBITDA ended at NOK 430 million, 1 per cent down from last year
driven by Marketplaces Norway. This was a result of a change in revenue mix, and
continued investments to drive new business models," CEO Kristin Skogen Lund
says.



"Our News Media operations faced a more challenging advertising market,
particularly within print. Driven by resilient subscription revenues,
underlying² revenues were still in line with last year. EBITDA margin ended at 9
per cent, up from the previous quarter due to tighter cost control which will
tighten further going forward. As announced on 24 January, News Media has
started implementing cost measures, targeting gross cost savings of NOK 500
million over the next two years, in order to improve profitability and to bring
its EBITDA margin back to the target range of 10-12 per cent in 2024," CEO
Kristin Skogen Lund says.



"Financial Services & Ventures delivered strong profitability, with EBITDA at
NOK 109 million, driven by good revenue growth and cost control. In particular
Prisjakt and MittAnbud reported improved profitability, and Lendo continued to
deliver double-digit revenue growth due to its Swedish and Norwegian
operations," CEO Kristin Skogen Lund says.



"As part of the more focused capital allocation strategy within the Group, Lendo
on 31 January announced that it shifts its strategic focus, accelerating its
market leading position in the Scandinavian markets, and consequently plans to
cease operations in Finland, Spain, Portugal and Italy. The strategic review of
Lendo will continue in parallel," CEO Kristin Skogen Lund says.



"Further, in Q4 we sold down 2 per cent of our Adevinta holding and entered into
a total return swap (TRS) agreement for another 3 per cent. This enabled us to
increase our financial capacity to reduce our financial leverage, and to
initiate a share buy back programme which we see as value creative in the
present market environment. Using a TRS enabled us to reduce our financial
leverage while we maintain exposure to Adevinta's share price development,
showcasing our support of the strategy and further value creation potential by
the company," CEO Kristin Skogen Lund says.



"Finally, the Board will propose to pay a dividend of NOK 2.00 per share for
2022, in line with last year and our dividend policy," CEO Kristin Skogen Lund
says.



"To sum up, we have navigated the rough seas of 2022 solidly and have used Q4 to
further adapt to the changes around us, focusing on bringing costs down and
adjusting our capital allocation. I am now looking forward to a year where we
will double down on succeeding with the verticalisation of Nordic Marketplaces,
ensure robustness and continued digitalisation of our world-class News Media
operations, and manage and grow our investments with focus on value creation,"
CEO Kristin Skogen Lund says.

This quarter's highlights



* Group: Underlying¹ revenue growth of 3 per cent, EBITDA at NOK 651 million.
* Nordic Marketplaces: 6 per cent underlying² revenue growth, driven by
double-digit revenue growth in classifieds while advertising was down. EBITDA
at NOK 430 million, 1 per cent down from last year, driven by Marketplaces
Norway while the remaining countries increased EBITDA year-on-year.
* News Media: Underlying² revenues in line with last year as resilient
subscription revenues curbed the decline in advertising. EBITDA margin of 9
per cent, down year-on-year but up quarter-on-quarter due to tighter cost
control. Gross cost reductions of NOK 500 million over the next two years
announced on 24 January.
* eCommerce & Distribution: Returned to revenue growth and positive EBITDA,
driven by higher B2C and C2C volumes in the parcel delivery business.
* Financial Services & Ventures: Strong profitability driven by good revenue
growth and cost control. Lendo continued its strong growth momentum, growing
underlying¹ revenues 16 per cent, and announced plans to cease operations in
Finland, Spain, Portugal and Italy. Improved profitability in Prisjakt and
MittAnbud.
* Dividend of NOK 2.00 per share will be proposed for 2022.

| Fourth quarter | Year to date
-----------------------------------------------------------------------------
(NOK million) | 2022 | 2021 | Change | 2022 | 2021 | Change
-----------------------------------------------------------------------------
Schibsted Group | | | | | |
-----------------------------------------------------------------------------
Operating revenues | 3,988 | 3,936 | 1% | 15,272 | 14,623 | 4%
-----------------------------------------------------------------------------
- of which digital | 2,821 | 2,635 | 7% | 10,563 | 9,557 | 11%
-----------------------------------------------------------------------------
EBITDA | 651 | 634 | 3% | 2,406 | 2,740 | (12%)
-----------------------------------------------------------------------------
EBITDA margin | 16% | 16% | | 16% | 19% |

Alternative performance measures used in this release are described and
presented in the section Definitions and reconciliations in the quarterly
report.





Programme for the day, 10 February 2023:



07:00 CET

Publication of the Q4 results including interim report, presentation and
financials and analytical information.



09:00 CET

CEO Kristin Skogen Lund and CFO Ragnar Kårhus will present the Q4 results as a
virtual live webcast, including a Q&A session. The presentation and following
Q&A session will be held in English. The webcast can be viewed live at:

https://channel.royalcast.com/landingpage/hegnarmedia/20230210_5/



It will not be possible to physically attend the presentation.



For the Q&A, participants can send in written questions via Slido.

Link: https://www.sli.do/

Event code: 2283495

It will not be possible to ask questions by phone.



A recording of the presentation will be available on our IR website shortly
after the live webcast has ended.






Oslo, 10 February 2023

SCHIBSTED ASA





¹ Foreign exchange neutral basis and adjusted for sold operations

² Foreign exchange neutral basis

DISCLOSURE REGULATION

This information is subject to the disclosure requirements pursuant to Section
5-12 of the Norwegian Securities Trading Act.

CONTACTS

* Jann-Boje Meinecke, VP, Head of Investor Relations, +47 941 00 835,
jbm@schibsted.com
* Malin Langtvet, Investor Relations Officer, +47 916 86 710, ir@schibsted.com

ABOUT SCHIBSTED

Schibsted is a family of digital brands with a strong Nordic position, and more
than 5,000 employees. Millions of people enjoy interacting with our companies
every day through our online marketplaces such as FINN, Blocket and Oikotie; our
media houses including Aftenposten, VG and Aftonbladet; and digital services
like Lendo. We also help new promising businesses grow. Our joint mission of
empowering people in their daily lives is rooted in the values of our media
heritage and a legacy of bold change. At our best, we are a fearless force for
change in a society built on trust and transparency.

Schibsted is listed on Oslo Børs and has a sizable investment in Adevinta, a
company that was spun off and publicly listed as a separate company on Oslo Børs
in 2019.

ATTACHMENTS

Download announcement as PDF.pdf -
https://kommunikasjon.ntb.no/ir-files/17847482/2091/2787/Download%20announcement
%20as%20PDF.pdf

Interim report Q4 2022.pdf -
https://kommunikasjon.ntb.no/ir-files/17847482/2091/2784/Interim%20report%20Q4%2
02022.pdf

Results presentation Q4 2022.pdf -
https://kommunikasjon.ntb.no/ir-files/17847482/2091/2785/Results%20presentation%
20Q4%202022.pdf

Financials and Analytical Info Q4 2022.pdf -
https://kommunikasjon.ntb.no/ir-files/17847482/2091/2786/Financials%20and%20Anal
ytical%20Info%20Q4%202022.pdf

More information:
Access the news on Oslo Bors NewsWeb site

581950_en_Interim report Q4 2022.pdf
581950_en_Results presentation Q4 2022.pdf
581950_en_Financials and Analytical Info Q4 2022.pdf
581950_en_Download announcement as PDF.pdf