PRESS RELEASE
Paris, 30 January 2018 (6:00pm)
ADLPartner:
2017 NET SALES UP 1.6%
The ADLPartner Group recorded a fourth consecutive year of growth in 2017. Net sales([i]) came to €124.2 million, up 1.6% from 2016, with the gross sales volume([ii]) up 0.6% year-on-year to €279.5 million.
Quarterly business trends
At 31 December | 2017 | 2016 | Change |
Gross sales volume (€ million) | 279.5 | 277.9 | +0.6% |
1st quarter | 70.9 | 68.2 | +4.0% |
2nd quarter | 69.6 | 67.3 | +3.4% |
3rd quarter | 63.9 | 63.1 | +1.3% |
4th quarter | 75.1 | 79.3 | -5.3% |
Net sales (€ million) | 124.2 | 122.3 | +1.6% |
1st quarter | 31.3 | 29.8 | +5.3% |
2nd quarter | 30.8 | 29.6 | +4.2% |
3rd quarter | 28.9 | 27.7 | +4.3% |
4th quarter | 33.2 | 35.3 | -5.9% |
Net sales for the fourth quarter, down compared with a high basis for comparison, were marked by i/ the optimization of commercial investments in the longstanding product lines, ii/ the slowdown in growth for marketing services faced with the contraction in sales in Spain in a volatile environment, and iii/ the continued progress with sales for ADLP Assurances, the specialist direct marketing insurance brokerage subsidiary.
Developments for each region
At 31 December | 2017 | 2016 | Change |
Active open-ended subscriptions (units) | 2,982,313 | 3,093,222 | -3.6% |
France | 2,923,944 | 3,017,715 | -3.1% |
Spain | 58,369 | 75,507 | -22.7% |
Gross sales volume (€ million) | 279.5 | 277.9 | +0.6% |
France | 267.3 | 263.9 | +1.3% |
Spain | 12.2 | 13.9 | -12.2% |
Net sales (€ million) | 124.2 | 122.3 | +1.6% |
France | 114.1 | 111.2 | +2.6% |
Spain | 10.1 | 11.1 | -8.4% |
Change in the product mix
At 31 December | 2017 | 2016 | Change |
Gross sales volume (€ million) | 279.5 | 277.9 | +0.6% |
Open-ended subscriptions | 207.6 | 204.7 | +1.4% |
Fixed-term subscriptions | 32.7 | 36.2 | -9.6% |
Books, merchandise, audio and video | 16.2 | 18.6 | -12.9% |
Other (insurance and marketing services) | 23.0 | 18.4 | +25.1% |
Net sales (€ million) | 124.2 | 122.3 | +1.6% |
Open-ended subscriptions | 77.0 | 75.6 | +1.9% |
Fixed-term subscriptions | 12.6 | 14.5 | -13.3% |
Books, merchandise, audio and video | 14.0 | 16.0 | -12.7% |
Other (insurance and marketing services) | 20.6 | 16.1 | +27.5% |
In its longstanding markets, the open-ended subscription business achieved solid growth in its sales volume in 2017, making it possible to limit the contraction in its portfolio at end-December. Prospecting volumes were scaled back significantly for the fixed-term subscription offers and books, merchandise, audio and video products in line with their unfavorable outlook.
In the new markets, the progress with marketing services primarily reflects the increase in the basis for consolidation, following the full consolidation of Activis from October 2016 and LEOO from July 2017. The growth of insurance policy sales (3.1% of full-year net sales) is benefiting from the major commercial investments made to support the development of a portfolio that will generate recurrent revenues.
Outlook
The ADLPartner Group is moving forward with its strategy to create value and capitalize on its marketing expertise in new developing markets with a view to further strengthening its growth and profitability over the medium and long term.
Next date: 2017 full-year earnings on 23 March 2018 (after close of trading)
ADLPartner in brief
With its extensive track record in performance marketing, ADLPartner designs, markets and implements customer relationship management and loyalty services on its own behalf or for its major partners (banks, retailers, services,
e-commerce, etc.) across all distribution channels.
ADLPartner is listed on the regulated market Euronext Paris - Compartment C.
ISIN: FR0000062978-ALP - Bloomberg: ALP:FP - Reuters: ALDP.PA
www.adlpartner.com
CONTACTS
ADLPartner Investor Relations & Financial Information tel: +33 1 41 58 72 03 relations.investisseurs@adlpartner.fr | Calyptus Cyril Combe tel: +33 1 53 65 68 68 adlpartner@calyptus.net |
(i) Net sales (determined in line with the French professional status for subscription sales) only include the amount of remuneration paid by magazine publishers; for subscription sales, net sales therefore correspond to a gross margin, deducting the cost of magazines sold from the amount of sales recorded. For acquisition and management commissions linked to sales of insurance policies, net sales comprise current and future commissions issued, acquired by the accounting reporting date, net of cancellations.
The issuer of this announcement warrants that they are solely responsible for the content, accuracy and originality of the information contained therein.
Source: ADLPARTNER via Globenewswire