Transcontinental Reaps Q2 Profit of C$68.7M
MONTREAL—One year after suffering a C$144.3 million loss, Transcontinental Inc. rebounded strongly with a profit of C$68.7 million in the second quarter of fiscal 2010. Roughly half of the gain was accounted for by the sale of its U.S. direct mail operations to IWCO Direct. It was the fourth straight quarter that the printer reaped an increase in adjusted operating income.
Q2 revenues of C$510 million were actually down four percent from the same period last year. The C$144.3 million loss in 2009 included a C$169.3 million charge to reflect the impaired value of goodwill and other intangible assets.
The company cited printing of the San Francisco Chronicle newspaper, the contribution of the Marketing Communications Sector and the stabilization of the market in certain traditional segments as al contributing to organic growth in revenues.