Valassis FY 2009 revenue falls 5.8%

Share this article:

Valassis' full-year 2009 revenues dropped 5.8% to $2.2 billion from $2.4 billion the prior year. Fourth-quarter 2009 revenue decreased 3.4% year-over-year to $605 million from $626.3 million.

The company's net earnings for the full year were $66.8 million, compared to a full-year 2008 net loss of $209.7 million. For the fourth quarter, net earnings were $24 million, up from a loss of $222 million during 2008's fourth quarter. During Q4 2008, the company saw a $245.7 million non-cash impairment charge.

Three of the four company business segments saw revenue drops of less than 10%. For full-year 2009, shared mail revenue was $1.3 billion, down 6.7% from 2008. For Q4 2009, the segment's revenue dropped 0.6% to $335.1 million from $337.1 million.

Revenue for neighborhood targeted products, including newspaper inserts, dropped 5.2% for the entire year to $444.7 million. Revenue dropped 8.3% for the fourth quarter to $141.1 million from $153.8 million.

For free-standing inserts, 2009 revenue dropped 2.4% from full-year 2008 to $361.4 million. Fourth-quarter revenue for the segment was $83.2 million, down 9.1% from Q4 2008's $91.5 million.

However, revenue for the company's international, digital media and services segment increased 3.9% year-over-year for Q4 to $45.6 million from $43.9 million. However, for the full year, the segment's revenue was down 7.4% to $159 million.

The earnings report failed to meet Wall Street expectations, according to Reuters, sending shares down 10%.

Last month, Valassis agreed to settle its pending lawsuits against News Corp.-owned News America Marketing. NAM agreed to pay Valassis $500 million as part of the agreement.

Valassis will also bring management of its Valassis Lists products, including its 151 million-universe mailing list, in house this year. ALC will continue to manage the list until March 5.

Share this article:
You must be a registered member of Direct Marketing News to post a comment.

Sign up to our newsletters

Follow us on Twitter @dmnews

Latest Jobs:

More in Agency

Mohegan Sun Bets on an Integrated Customer Experience

Mohegan Sun Bets on an Integrated Customer Experience

Casino and entertainment destination Mohegan Sun went all-in and overhauled its website to improve its guest experience online and on-site. The casino's payoff was big.

Former Lenovo Executive to Head Digital Marketing at Interakt

Former Lenovo Executive to Head Digital Marketing at ...

Elijah Degen brings 15 years of experience to his new role at the digital agency.

Analytics Is a CMO's Best Friend

Analytics Is a CMO's Best Friend

CMOs who want to extend their tenure should embrace analytics to improve marketing performance and enable innovation.