Pearson profits on rise despite FT and Penguin books slump
Financial Times and Penguin publisher Pearson today posted a rise in annual profits despite a "tough climate".
Chief executive Dame Marjorie Scardino admitted the strength of the dollar helped to flatter operating profits, up 13% to £858 million in 2009. Profits rose only 4% after taking into account currency fluctuations.
FT Publishing, which includes its flagship newspaper and a string of online businesses, was the worst performer as profits crashed 47% to £39 million.
Penguin's profits slumped 10% to £84 million. On an underlying basis, the book publishing arm was down 19%.
Pearson's education division was once again the stand-out performer, with profits up 24% to £587 million — more than two-thirds of the company's overall profit.
Some analysts have long called for Pearson to sell the FT but Scardino today said: "I wouldn't answer that question even if I wanted to." She added: "The FT is a pretty integral part of Pearson."
Scardino had no news about plans to sell a 62% stake in US financial firm Interactive Data Corporation. Pearson's share of IDC profits rose 22% to £141 million. Pearson increased its dividend by 5% to 35.5p.
