IVE Group reports revenue of $656m, while net profit is down on FY20
ASX listed IVE Group, parent company of Salmat, which was rebranded under the group in 2020, has reported its financial results for FY21, the year ending 30 June 2021.
The company has delivered a $30.2 million net profit including JobKeeper payments, that figure totalling $19.9 million without JobKeeper, down on the $36.7 million figure reported in FY20.
It also reported revenue of $656.5 million, down 3.1% and an EBITDA result of $100.2 million including JobKeeper, that number also dropping to $85.3 million without JobKeeper, up on last year’s $76.6 million.
Financial results [click to enlarge]
IVE Group executive chairman, Geoff Selig, said that the solid financial performance of the business and the strengthened balance sheet demonstrate the resilience of the business, and the position the company is in to deliver growth, “as it emerges from this period of disruption”.
He continued: “Many thanks to our board, CEO Matt Aitken for his leadership and the entire IVE team for their skill and continued commitment over what have been a most challenging year.”
In FY21, IVE reduced its net debt reduced year-on-year by $59.8 million from $137.1 million to $77.3 million. The Group also said that the divestment of IVE Telefundraising in October 2020 for consideration of $16.5 million represented a profit on sale of $4.2 million.
Selig also paid tribute to the the capacity of the group’s people and businesses have gone to to service clients are care for each other, given the “unprecedented volatility and uncertainly” the past year has offered.
IVE said it expects its long-term printing and distribution deal with Australian Community Media (ACM), penned in October last year, will deliver revenues of around $100 million over the five year agreement term. It said that it acquired assets of ACM’s web offset operation in Western Australia for $2 million, to support the publishers requirements and to further enhance service to clients.
New clients on-boarded during FY21 included ACM, Bunnings, Officeworks, Simplot, Colgate and Zip Money, while IVE quoted securing “more than $100 million (annualised) in contract renewals”, including Woolworths, Westpac, L’Oreal, IAG, Bupa and Toyota.
The group also said that it is well placed to capitalise on the growth in digital catalogues, with statistics from Roy Morgan showing digital catalogue readership has grown 22% from 2016 to 2020, and further accelerated since COVID-19.
IVE reported its largest share of revenue from the retail sector, with $132.1 million, with financial/ corporate services, $100.3 million, and publishing $47.7 million following.
IVE Group’s market capitalisation is $231.3 million and has a daily share price of $1.62.
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Calum Jaspan was news editor at Mumbrella, based in Melbourne. He was also the producer and host of the Mumbrellacast. He left Mumbrella in May 2023.
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