Good Year for Thomson Corp.
Jim Milliot -- 3/30/98
Helped by a full year of ownership of the West Group, the Thomson Corp. reported strong gains in the Thomson Financial and Professional Publishing Group (TFPPG), where sales rose 31.7%, to $2.94 billion, and operating profits increased 50%, to $672 million. Results were not as good in Thomson Corporation Publishing International (TCPI), where operating profits fell to $278 million from $280 million, despite a 7.7% increase in sales, to $1.68 billion.TTC attributed the soft results at TCPI to restructuring costs and increased spending on marketing and technology in its reference, science and business information group. In addition, TCPI's education unit saw higher returns toward the end of 1997; higher costs due to accelerated revision cycles in the higher education group; and disappointing sales in education markets outside of the U.S. At TFPPG, the legal and regulatory unit had an "outstanding year" aided by the integration of its American legal information and publishing properties. The division enjoyed stronger sales in its print, CD-ROM and online formats. Just prior to releasing its year-end figures earlier this month, Thomson announced that it was planning to spin off its travel unit into a separate company. TTC said the sale of the travel group, which had sales of $2.9 billion and operating profits of $137 million last year, "will bring to an end a period of major restructuring." It also said that this year the company will focus on the businesses of specialized information, worldwide publishing and newspapers. Back To News---> |
