Reworld Media: punished for weak growth

(CercleFinance.com) - Reworld Media last night announced a symbolic increase in sales for the first quarter, with strong growth in its 'BtoB' division offset by a downturn in 'BtoC'.


France's leading magazine publisher reported sales of 129.2 million euros for the first three months of the year, up 0.5% on Q1 2023.

The 'BtoB' professional information division generated sales of 74.3 million euros, up 8.4%, driven by digital activities (84% of the division's business).

The media group explains that it benefited from the success of its performance-based and social networking offers, both in France and internationally.

By contrast, the BtoC consumer division saw its sales fall by 8.5% year-on-year, to 54.9 million euros, against a backdrop of declining magazine sales (-9.5%).

In a press release, however, Reworld explains that this decline is not unrepresentative of sales trends, as it is the result of an unfavorable base effect linked to a different publication calendar.

On the Paris Bourse, this "dichotomy" between the BtoC and BtoB segments was poorly received by the market, with the share losing over 4% at around 10.15 a.m. in a market up 0.2%.

Citing a "soft" start to the financial year, Euroland's analysts maintained their forecast for annual sales of 564.7 million euros, implying growth of 2.8% for the year, but revised downwards their forecast for EBITDA excluding AGA to 61.4 million euros from 62.1 previously.

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