Mondadori (MN) H1 2024 earnings summary

Executive summary

• Revenue grew 6.8% year-over-year in H1 2024, with like-for-like growth of 3.8%, driven by Trade Books, Retail, and Media, and LTM ordinary cash flow at EUR 67 million.

• Adjusted EBITDA increased by 7% year-over-year to EUR 40.9 million, with profitability nearing 11%.

• Strategic focus included acquisitions of Chelsea Green Publishing and Star Shop, and a partnership with Benedetta Rossi, strengthening leadership in core and digital businesses.

• Launched PLAI, a generative AI-based startup accelerator for editorial innovation.

Significant events and developments

• Acquired 100% of Chelsea Green Publishing and 51% of Star Shop, expanding presence in Italy, US, and UK.

• Entered a strategic partnership with Benedetta Rossi, combining brands to create a leading multimedia food sector player with 87M+ followers.

• Launched PLAI, a generative AI accelerator for publishing and editorial innovation.

• Waimea's 2023 revenues and EBITDA were EUR 4.5M and EUR 2.7M; initial 51% stake acquired for EUR 6.9M cash.

• All core business areas reported revenue growth; Media BU grew like-for-like for the first time.

Financial highlights

• H1 2024 revenues reached EUR 387.2M (+6.8% YoY); adjusted EBITDA was EUR 40.9M (+7% YoY); EBIT was EUR 12.7M, down due to higher D&A.

• Adjusted EBIT (excl. non-recurring items and PPA) was EUR 15.4M, up 5% YoY.

• Net profit was EUR 7.1M, down from EUR 12.2M YoY, mainly due to non-recurring/timing effects and higher tax.

• Adjusted net result (excl. extraordinary and PPA amortization) was EUR 9M, up 6% YoY.

• LTM ordinary cash flow at EUR 67M; LTM free cash flow at EUR 39M.