27th Feb 2015 07:26
LONDON (Alliance News) - Publisher Pearson PLC Friday raised its dividend for 2014 as it posted earnings per share slightly ahead of its previous guidance, and announced that it will appoint Coram Williams, currently chief financial officer of its book publishing joint venture Penguin Random House, as its new chief financial officer.
Williams will become chief financial officer designate July 1, and will succeed Robin Freestone August 1.
The Financial Times owner proposed a final dividend of 34.0 pence, taking its total dividend for the year to 51.0 pence, up from 48.0 pence a year before.
Pearson posted a pretax profit of GBP305 million for 2014, down from GBP382 million a year before, even as sales declined slightly to GBP4.87 billion from GBP5.07 billion.
It posted adjusted earnings per share of 66.7 pence, down from the 70.1 pence it posted in 2013, but ahead of its previous guidance of 66.0 pence.
The company said that the strength of sterling against the dollar during the year had reduced sales by GBP272 million. At constant exchange rates, sales grew 2%.
Pearson expects to post adjusted earnings per share of 75 pence to 80 pence in 2015.
The company completed a restructuring and product investment programme in 2014, and said that in 2015 it will return to more normal levels of restructuring expenditure.
Additionally, the company is beginning the process to explore the potential sale of its PowerSchool and other student information systems businesses. PowerSchool contributed USD97 million in revenues in 2014. The company noted that the process is at an early stage, and there is no certainty it will lead to a sale.
"We've completed our intense two year restructuring and reinvestment programme and performed well competitively despite some challenging market conditions. We enter 2015 better placed to have a bigger impact on student learning through the combination of new technology and best teaching practice," said Pearson Chief Executive John Fallon in a statement.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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