Revenue for its printing and publishing segment declined by 17.1 per cent to S$230 million, and recorded a loss of S$10.5 million; this was down significantly from a profit before interest and tax of S$9.3 million in the prior year, which had included one-off gains of S$10.7 million from the sale of non-core assets.
F&N said the closures of non-essential book retail outlets, print plants in China and Malaysia, and the cancellation of textbook adoptions in key markets due to prolonged school closures against the Covid-19 backdrop affected its results. This was despite the business unit executing various cost-management initiatives to mitigate the financial impact of the closures.The directors have proposed a final dividend of 3.5 cents per share. Together with the interim dividend of 1.
The group said that this is for prudence, to maintain a strong balance sheet to give the group flexibility to invest, and to take advantage of opportunities as they arise. If approved by shareholders at the annual general meeting on Jan 21, 2021, the final dividend will be paid on Feb 10, 2021. The group said that while its fourth quarter results suggest that it is"emerging gradually" from the trough, it remains cautious in its outlook as uncertainty still surrounds the health crisis.
It is optimistic that the recovery will gain momentum soon. Meanwhile, the recovery of its publishing business remains"uneven", and it has taken action to mitigate further losses and to refine its business model to remain relevant post Covid-19.BT is now on Telegram!