TomTom: second-quarter operating profit down 31 percent

(CercleFinance.com) - Dutch digital map maker TomTom reported a 31 percent drop in second-quarter operating profit despite a rise in revenue.


The company posted earnings before interest, taxes, depreciation and amortization (EBITDA) of 31 million euros, compared to 44.8 million euros a year earlier.

Group sales rose 25 per cent, at 210.8 million euros.

Net profit jumped to 742 million euros, from 20 million euros, as the group finalised the sale of its telematics unit, returning close to 90% of the net cash proceeds to shareholders.

TomTom also updated its full year outlook, expecting revenue of at least 700 million euros this year, versus a previous expectation of 675 million euros.

The shares were down almost 6 percent after the results.

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