European multimedia company, Axel Springer, has announced a mixed bag of financial figures for the first half of 2013. The report provides an opportunity to see how companies it has a vested interest in are faring.
One such company is performance marketing network, zanox, for which Axel Springer is a shareholder. Springer groups zanox as the second pillar on its ‘Digital Media segment’, which is currently helping to offset print’s decline.
Revenues at zanox have marginally increased during the first six months of this year by 3.3% from €224.1 million in the first six months of 2013, according to Axel Springer’s financials. Whereas earnings have fallen off between 2012 and 2013.
Earnings Decline
Zanox revealed its EBITDA for performance marketing operations during H1 2013 was €9.2 million. The figure is down year-on-year from €10.5 million, which Axel Springer has stated is because of ‘market conditions’.
Across the board, Axel Springer’s digital activities, which also includes classifieds and content portals, grew revenues by 18.2% from €542.1 million to €640.6 million. Much of this was because of consolidation effects from acquisitions of Onet.pl, Totaljobs, Immoweb.be, and allesklar.com.
Advertising revenues in the same digital cluster rose 22.2% from €44 million to €556 million. As a result, EBITDA earnings grew by 23% from €110 million to €137 million and its margin increased from 20% to 21%.
We asked zanox to provide further insight into these financials, but unfortunately the network will not comment on the numbers published by its shareholders.