THE ONE-OFF sale of printing equipment helped boost The Gleaner Company's profit by $45 million in the first nine months of the year to the end of September.
As a result of the exceptional item The Gleaner saw after tax profit for the nine months ended September 30, 2000 rise to $150.7 million compared with a profit of $105 million for the same period last year.
The relatively flat operating performance was a reflection of the continued tough economy, with news print costs rising at a higher percentage than the growth in advertising sales and circulation.
The Group financial accounts include the nine wholly-owned subsidiaries of The Gleaner - Associated Enterprise, Popular Printers, Sangster's Book Stores, The Book Shop, The Gleaner On-line, Selectco Publications, and its overseas-based subsidiaries The Gleaner Company (NA), The Gleaner Company (NA) Incorporated and The Gleaner Company (UK). Independent Radio Company, owner of Power 106 FM, is an associated company.
Revenue in the first nine months rose from $1.27 billion to $1.37 billion during the period, with gross profit rising by almost $50 million to some $635.6 million.
Exceptional items, representing the gain on the sale of fixed assets, rose from $1.2 million to $45.1 million.
Investments in government securities increased marginally from $165.2 million to almost $174.8 million, while cash and cash equivalents rose to some $441.7 million from $282.6 million in 1999. Working capital increased by $267 million to $756.8 million.
Earnings per stock unit, including exceptional items, rose to 29 cents from 20 cents last year, while stockholders' funds per ordinary stock unit increased to $2.16 from $1.70 when compared to the nine-month period in 1999. The Gleaner paid interim dividends totalling 7.5 cents per stock unit on March 17 and August 18.
In a note on the financial statement published in the Friday, November 17 edition of the Financial Gleaner, the Company said that at a director's meeting on November 9, it was agreed to hold an extraordinary general meeting on December 4, 2000 to consider the issue of bonus shares in a ratio of one share for every three held.
