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Global revenues at HarperCollins rose by 19% year on year in the three months to 31st March 2021, while EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortisation) rocketed 45%, driven by strong backlist sales.
A third-quarter financial report by parent company News Corp showed publishing revenues climbing to $490m (£353m) from $412m (£296m) in the same period last year. EBITDA hit $80m (£58m) from $55m (£40m) in 2020.
News Corp c.e.o. Robert Thomson credited “a valuable backlist and faster digital growth” for the rise. The report singled out the success of the Bridgerton series following Netflix's adaptation and The Boy, the Mole, the Fox and the Horse by Charlie Mackesy, both published by different companies in the UK. New titles such as Just as I Am by Cicely Tyson also proved to be hits.
Adjusted revenues at HarperCollins increased 15% while digital sales were up 38% on the same time last year, “driven by growth in both e-book and downloadable audiobook sales”. Digital sales made up 26% of consumer revenues for the quarter.
The report noted EBITDA was partially offset by “higher costs related to increased sales volume and higher employee costs".
A recent $349m agreement to acquire the Books & Media segment of Houghton Mifflin Harcourt, which will become a subsidiary of HarperCollins, is expected to close in the fourth quarter.