Louis Hachette Group (ALHG) investor relations material

Executive summary

• Q3 revenue was €2,684m, up 3.0% reported and 2.2% LFL, accelerating from 1.0% LFL in Q2; 9M revenue reached €7,229m, up 1.8% reported and 1.9% LFL.

• Travel Retail and Publishing led Q3 growth; Live was broadly stable and Prisma Media continued to decline amid a major reorganisation.

Financial highlights

• Q3 revenue increased €79m year on year: €58m from LFL growth, €11m from scope and €10m from currency.

• 9M revenue increased €129m year on year: €140m from LFL growth and €79m from scope, partly offset by a €90m negative currency effect.

• Reported revenue changes in Q3: Publishing +3.1%, Travel Retail +3.6%, Live -2.8% and Prisma Media -10.5%; in 9M: +0.9%, +3.3%, -0.4% and -20.5%, respectively.

Segment performance

• Publishing Q3 revenue was €836m, +3.1% reported and +0.9% LFL; the U.K. and U.S. each rose 4%, Spain/Latin America 3%, while France declined 4%. Partworks rose 1%; Board Games fell 4%.

• Travel Retail posted record Q3 revenue of €1,756m, +3.6% reported and +3.3% LFL; EMEA ex-France grew 6%, the Americas 4% and France 1%, while the Middle East fell 15% and APAC 22%.

• Travel Retail 9M revenue was €4,734m, +3.3% LFL and +5.1% excluding North Asia; Q3 APAC fell 22%, including a 59% decline in North Asia amid China network streamlining.

• Live Q3 revenue was €41m versus €42m a year earlier; 9M revenue was €156m versus €157m. The summer period was seasonally quieter, with weaker radio and news advertising but audiences rising overall.

• Prisma Media Q3 revenue was €51m, down 10.5% reported and 7.8% LFL; 9M revenue was €160m, down 20.2%, amid print distribution and digital advertising declines.