Transcontinental announced its second quarter revenues recently which saw the company grow its net income, despite having revenues that were slightly lower than that of the previous year’s quarter.
Adjusted operating income increased 1.8 percent, from $55.9 million to 56.9 million. The company attributes this slight increase to the acquisition of Quad/Graphics Canada, a move the company says has achieved $30 million to date in synergies.
Francois Olivier, Transcontinental’s President and CEO, said the closure of Zellers had a negative impact on its printing sector, offset somewhat by the signing of several multi-year printing contracts worth $200 million. Transcontinental’s Media Sector also faced difficult times, according to Olivier, resulting in “some cost-cutting measures to limit the impact on the Media Sector’s profit margin.”
For the first half of 2013, the company’s revenues were up four percent year-over-year, from $1,010 million to $1,050 million.