Ekspress Grupp, which increased its digital revenue, earned a profit of 3.7 million euros
Driven by digital revenue growth, the revenue of the leading Baltic media group, AS Ekspress Grupp, increased by 14% in 2023 and the company earned a profit of EUR 3.7 million, the company announced via the stock exchange.
The 12-month revenue of Ekspress Grupp increased to EUR 73.1 million which is 14% higher than in 2022. The Group’s revenue showed strong growth in the 4th quarter, increasing by 11% year-over-year. The Group’s profit before interest, tax, depreciation and amortisation (EBITDA) increased by 15% and totalled EUR 10.2 million.
The Group’s net profit the totalled EUR 2.5 million in 4th quarter and EUR 3.7 million in the 12-month period, decreasing by 9% (excluding one-off expenses) as compared to the same period last year.
According to the Chairman of Ekspress Grupp, Mari-Liis Rüütsalu, the EBITDA received a boost primarily from the successful sales of online advertising and digital subscriptions in Estonia and Lithuania, as well as the growth in the volume of ticket sales platforms and digital outdoor screens. “The overall decrease in net profit was mainly impacted by higher interest rates related to the increase in Euribor and higher depreciation costs due to the Group’s investments”, said Rüütsalu. The decrease in net profit was also due to the one-off expenses arising from the liquidation of the home delivery service of AS Express Post in the amount of EUR 0.3 million.
The digital revenue of Ekspress Grupp increased by 21% year-over-year and made up 83% of the Group’s total revenue at the end of December. The digital subscription revenue and the number of digital subscriptions of the Group’s media companies increased strongly in all three countries and totalled 207 000 subscriptions at the end of 2023. Over the last year, the Group has gained almost 61 000 new digital subscriptions in the Baltic States, i.e. 41% more than at the end of December 2022.
Rüütsalu added that despite the general economic slowdown, the digital advertising revenue of Ekspress Grupp increased both in Estonia and Lithuania, but the total market volume decreased in Latvia and thus, the advertising revenue of Ekspress Grupp earned in Latvia was also 6% lower than last year. However, the decrease in Latvia was offset by the revenue growth of the ticket sales platform and digital screens.
AS Ekspress Grupp is the leading Baltic media group whose key activities include web media content production, and publishing of newspapers, magazines and books. The Group also operates an electronic ticket sales platform and ticket sales offices, and provides the outdoor screen service in Estonia and Latvia. Ekspress Grupp launched its operations in 1989 and employs almost 1100 people.
Additional information:
Mari-Liis Rüütsalu
AS Ekspress Grupp
Chairman of the Management Board
Phone: +372 512 2591
mariliis.ryytsalu@egrupp.ee