Q1 2009
CEO Jesper Kärrbrink's comments on the Interim report January - March 2009
Despite challenging macro-economic conditions, we are pleased with Eniro’s strong performance in the first quarter of 2009. During a period when media spending generally declined, our business model shows high resilience. We have during the period increased the proportion of revenues from online, the online business now accounts for 44 percent of total revenue from Online and Offline Media, and our strategy for the transformation from print dependency to online opportunities remains firm. Ongoing online investments, such as the acquisition of Oreo, allow for a number of interesting business opportunities and will be important elements in the implementation of the strategy. As part of the strategy, we continue the comprehensive review of our cost structure, a process which is expected to start impacting results positively in the end of 2009.
During the quarter, the Group has continued to generate a strong cash flow, and we have been able to reduce our net debt by more than SEK 250 million. Despite this, our debt level is still unsatisfactory. I am, therefore, delighted that the Board today proposes a rights offering of SEK 2.5 billion to reduce net debt and to create the financial flexibility needed to ensure the continued implementation of the strategy. The rights offering significantly strengthens our balance sheet and positions Eniro to remain the leading search company in the Nordic region.
Jesper Kärrbrink
President and CEO
Last updated:2009-04-27