PARIS -- 10/29/09 --
I) Revenue for the fourth quarter of fiscal 2009 up 4.9% on a reported basis and 3.1% like-for-like
Fimalac returned to growth in the fourth quarter (July 1 to September 30, 2009), with consolidated revenue rising to EUR 144.4 million from EUR 137.6 million in the year-earlier period. This represented an increase of 4.9% on a reported basis and 3.1% like-for-like (i.e. excluding the currency effect). Fitch Ratings and Algorithmics both reported significantly improved performances compared with prior periods:
- Fitch Ratings posted fourth quarter revenue of EUR 117.4 million ($167 million) compared with EUR 112.8 million ($169.5 million) in the year-earlier period, an increase of 2.5% like-for-like.
- Algorithmics' fourth quarter revenue came to EUR 27 million ($38.4 million) versus EUR 24.9 million ($37.5 million) in the year-earlier period, up 5.6% like-for-like.
II) Fiscal 2009 revenue down 4.7% on a reported basis and 6% like-for-like
The decline in revenue for the full year (October 1, 2008 to September 30, 2009) was limited to 4.7% as reported and 6% like-for-like, reflecting a steady improvement in each of the four quarters:
+--------------------+-------------+-------------+------------+--+
| | | | % change | |
+--------------------+-------------+-------------+------------+--+
| (in € millions) | Fiscal 2008| Fiscal 2009| (reported)| |
+--------------------+-------------+-------------+------------+--+
| Fitch Ratings | 486.8| 453.7| - 6.8%| |
+--------------------+-------------+-------------+------------+--+
| Algorithmics | 102.1| 105.5| + 3.3%| |
+--------------------+-------------+-------------+------------+--+
| Eliminations | - 2.0| - 0.1| | |
+--------------------+-------------+-------------+------------+--+
|Consolidated revenue| 586.9| 559.1| - 4.7%| |
+--------------------+-------------+-------------+------------+--+
+--------------------+-------------+-------------+------------+--+
+--------------------+------------------+
| | % change |
+--------------------+------------------+
| (in € millions) | (like-for-like*)|
+--------------------+------------------+
| Fitch Ratings | - 7.5%|
+--------------------+------------------+
| Algorithmics | - 0.9%|
+--------------------+------------------+
| Eliminations | |
+--------------------+------------------+
|Consolidated revenue| - 6.0%|
+--------------------+------------------+
+--------------------+------------------+
(*) At constant exchange rates
Fitch Ratings ended fiscal 2009 with revenue of EUR 453.7 million ($614.7 million) compared with EUR 486.8 million ($731.3 million) the previous year, down 7.5% like-for-like.
Algorithmics' fiscal 2009 revenue held firm at EUR 105.5 million ($142.9 million) versus EUR 102.1 million ($153.4 million) the previous year, representing a like-for-like decline of just 0.9%.
III) Sale Underway of 20% Interest in Fitch Group to Hearst Communication
The sale, which was announced at the end of July, is now only subject to approval by the authorities in one country and should be completed shortly at the agreed price of EUR 300 million. It will be recorded in the fiscal 2010 accounts.
The transaction will generate a net capital gain of EUR 249 million compared with the historical cost of the shares, that will be included in profit in the statutory accounts. In the consolidated financial statements, the gain will be recognized directly in equity, in line with the new accounting treatment prescribed by IFRS 3 (revised). At this stage, the impact on equity can only be estimated, but is expected to be in the region of EUR 200 million.
***
This information is provided by HUGIN
Contact:
Jean-Philippe Laval
jp.laval@fimalac.com
