Pearson says first-half profits will dip
Financial Times – Mark Wembridge
Pearson, the education and publishing group that owns the Financial Times, met analysts’ trading expectations with a 12 per cent increase in first-quarter sales. The FTSE 100 company, whose profits are weighted towards the second half, said that investment, restructuring costs and last December’s £450m sale of Pearson’s 50 per cent stake in FTSE International would push first-half operating profit to below that of the same period in 2011. “Though the external environment remains challenging and we are yet to see signs of improvement, we continue to expect Pearson to achieve growth in sales and operating profits for the year as a whole,” the group said on Friday. For the first three months of 2012, Pearson, one of the education industry’s largest companies, reported sales that rose from £1.03bn to £1.16bn year on year. Pearson said its biggest division, education, had made a strong start to 2012, but that the US market remained weak on the back of lower college enrolments and tough conditions for printed textbook sales.
Press release: http://www.pearson.com/investors/announcements/?i=1540