OSLO, July 17 (Reuters) - Norwegian media and classified ads group Schibsted said it continued to reduce capital investments as it reported better-than-expected second-quarter core earnings on Tuesday.
Norway’s top media group, owner of several prominent classified websites such as leboncoin.fr, said key markets in France, Norway, Spain and Brazil contributed to the achievement, though margins in France were lower due to acquisitions and increased spending on marketing.
Earnings before interest, tax, depreciation and amortisation (EBITDA) rose to 895 million Norwegian crowns from 694 million crowns a year ago, while analysts in a Reuters poll had expected 836 million crowns.
“Schibsted’s positive development continued in Q2, with an all-time high EBITDA result. At the same time, we reduced our capital investments and increased our cash flow,” CEO Rolv Erik Ryssdal said in statement.
The media group’s revenue rose 6 percent to 4.6 billion Norwegian crowns, slightly below forecast.
Guidance was kept unchanged, including 15-20 percent growth in its online classified websites, full-year investment phase losses in the range of 40-50 million euros for 2018 and a continued weak trend in print advertising.
The company’s share price has risen 21 percent over the past year against a 20 percent gain in the Oslo benchmark index during the same period. (Reporting by Ole Petter Skonnord; Editing by Sunil Nair)