Global Sources’ Revenues and Profits Both Down in 2016
NASDAQ-listed Global Sources released its financial results for the year ended 31st December 2016.
Revenues from continuing operations in the year were US$157.7 million, down 7.8 percent compared to US$171.0 million recorded in 2015.
IFRS net profit dropped 23 percent year-on-year to US$18.4 million from US$24.0 million in the previous year. However, adjusted EBITDA increased from US$30.8 million up to US$32.0 million in 2016.
More than 58 percent of Global Sources’ revenues were generated from the exhibitions business – amounting to US$92 million.
That is essentially flat compared with the previous year. The company’s online revenues decreased by 18 percent year-on-year, down to U$52.8 million, which accounts for approximately 33 percent of total revenues.
The print business generated revenues of US$5.6 million, down 4.0 percent. The remaining revenues of US$6.9 million were generated from “miscellaneous” business activities.
Global Sources’ management expects revenues in the first half of 2017 to be between US$76 million and US$78 million, which is lower when compared with the first half of 2016 (US$81.8 million).
Merle A. Hinrich, Global Sources’ executive chairman stated: “In the second half of 2016, we had a successful fall series of trade shows in Hong Kong with growth in both booth sales and attendance… We continue to focus on enhancing value for customers through further integration of our online and trade show services in our core business of connecting buyers worldwide with suppliers in mainland China and Asia.”