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19 June 2019
Transcontinental Revenue Up Profits Down
MONTREAL—
Transcontinental revenues increased from $534.7 million to $767.4 million, as a result of the acquisition of Coveris Americas, which contributed $318.4 million to revenues. This increase was mitigated by the unfavourable effect of the sale of the California newspaper printing operations and the disposal of local and regional newspapers in Québec.
Operating earnings decreased by 56.5%, from $99.0 million to $43.1 million.
Transcontinental stated about their printing Sector, "we expect that the current trends with respect to our service offering to Canadian retailers will continue. However, our in-store marketing products and book printing offerings should continue to grow. In all the other printing verticals, we expect that our revenues will be affected by the same trends observed in recent quarters, with the exception of our newspaper printing offering with the end of revenues related to the printing contract with Hearst.
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