JCDecaux Bullish After H1 Profits Announcement

JCDecaux, Europe’s largest outdoor advertising contractor, has announced half-year results showing an 8.4% rise in net profits.

Net earnings group share, before goodwill and exceptional items totalled E44.1 million, an increase from E40.7 million in the first six months of 2001. EBITDA (earnings before interest, tax depreciation and amortization) was maintained at E200.2 million compared with E199.6 million in the same period last year.

The figures reflected a solid performance from Decaux’s two largest divisions, Street Furniture and Billboard where revenues were up by 5.0% and 9.6% respectively. These increases more than compensated for the losses reported by the Transport division which has been hit by the decline in airport advertising.

“While the advertising market as a whole has been challenging for the past two years, outdoor advertising continues to outperform based on a growing audience as people spend more time out of home and on the increasing fragmentation of other media,” commented chairman and co-chief executive, Jean-Charles Decaux.

“While the company is cautious on the advertising sector in 2002, it remains confident in its ability to outperform the advertising and outdoor advertising markets,” he continued.

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