Pearson lifts forecast as it books 7 per cent sales rise
Tuesday 26 October 2010
Pearson, the publisher behind Penguin Books and The Financial Times, upgraded its profits forecast for a second time this year after a strong performance across all of its businesses.
The company's group sales rose by 7 per cent in the first nine months of the year, while profits were up 15 per cent. The winter quarter was a "key selling season in education and consumer publishing", the company said as it forecast that earnings per share would be 10 per cent higher than in 2009, compared with its previous estimate of a 7 per cent increase.
Revenues at Pearson's education division climbed by 8 per cent, with strong growth in its US college business and in its market share in American schools. It is continuing to move its operations away from book publishing to learning technology and services.
Pearson said the market for physical books may have been "tough" this year but Penguin had offset this with a strong line-up of releases including Paul Hoffman's The Left Hand Of God and The Fry Chronicles by Stephen Fry. It also pointed to rapid growth in sales of electronic books for devices such as the Apple iPad, which had risen threefold with 16,500 titles now available.
Pearson's Christmas line-up of new titles includes works by Tom Clancy, Patricia Cornwell, Michael McIntyre and Jamie Oliver.
Its subsidiary FT Group, which publishes The Financial Times, had another solid quarter, with sales up 11 per cent. It has been promoting the paper's digital content, which led to subscriptions rising by 50 per cent in the first nine months, to 180,000.
Alastair Reed, an analyst at UBS, said he expected Pearson to beat guidance when it reported full-year numbers. "[The longer term] is also attractive with emerging markets expansion and growth in leadership in digital learning," he said.
- 1 Finland schools: Subjects scrapped and replaced with 'topics' as country reforms its education system
- 2 The West has it totally wrong on Lee Kuan Yew
- 3 #FreeTheNipple: Women in Iceland bare breasts in solidarity with trolled student
- 4 Scientists have discovered a simple way to cook rice that dramatically cuts the calories
- 5 Zayn Malik quits One Direction: Hundreds of workers request compassionate leave following band member's exit
Germanwings captain Patrick Sondenheimer tried to break into locked cockpit door 'with an axe' as plane was descending
Amanda Knox murder conviction: Italian court overturns verdict for US student and Raffaele Sollecito in the killing of Meredith Kercher
Saudi Arabia says it won't rule out building nuclear weapons
The battle for the Middle East's future begins in Yemen as Saudi Arabia jumps into the abyss
#FreeTheNipple: Women in Iceland bare breasts in solidarity with trolled student
Nigel Farage brands LGBT activists 'filth' and 'scum' and accuses them of scaring away his children after they invade his local pub
Ukip supporters are 55 or older, white and socially conservative, finds British Social Attitudes Report
JK Rowling responds to fan tweeting she 'can't see' Dumbledore being gay
Russia threatens Denmark with nuclear weapons if it tries to join Nato defence shield
Jeremy Clarkson sacked live: Alan Yentob 'wouldn't rule out' ex Top Gear host's BBC return
Germanwings plane crash: Co-pilot Andreas Lubitz wanted to 'do something people would remember him for'
iJobs Money & Business
Negotiable: Recruitment Genius: To provide a prompt, friendly and efficient se...
Negotiable: Recruitment Genius: You will be the first point of contact for all...
£18000 - £24000 per annum + benefits: Ashdown Group: HR, Payroll & Benefits Of...
£35000 - £38000 per annum + benefits : Ashdown Group: A highly successful, int...