Lagardere reported third-quarter results, with revenues at their book publishing division falling 5.2 percent overall (and 2.5 percent on a like-for-like basis), down 33 million euros to 601 million euros for the period. Sales at Hachette Book Group in the US fell 8 percent and sales at Hachette UK declined 10 percent, “due mainly to the impact of e-books (which result in lower sales but higher margins), as well as the difficulties of certain retailers” liquidating.
For the full nine months so far of the current fiscal year, ebooks comprised 21 percent of sales in the US and 9 percent of sales in the UK. The company believes that “the October launch of several e-readers in France [including Kindle and Kobo] should help the French market take off.” In the French manner, the third quarter report indicates sales but does not break out margins across the individual divisions.
Lagardere revised their profit guidance downwards, “given an overall environment which is very volatile,” which has sent shares down more than 5 percent in trading in Paris.