Wolters Kluwer misses forecasts, cautious on 2010

Dutch publisher Wolters Kluwer NV forecast a slow economic recovery this year as it missed analysts' expectations for 2009, raising concerns about its growth prospects and sending shares to a three-month low. The group, whose professional information services are used by doctors, lawyers and accountants, said on Wednesday demand in Europe and North American legal, tax and accounting markets was "soft" in 2009. It said about 19 per cent of its revenue was cyclical and was expected to stabilize in 2010, with the exception of advertising where continued weakness is expected, particularly in Europe. Wolters Kluwer shares were down 2.5 per cent at €14.56 in early trade, underperforming the European media sector which was up 0.3 per cent. The stock fell as low as €14.21, its lowest since late November. Earnings before interest, tax and amortisation (EBITA) excluding extraordinary items reached €682m ($926.5m), 1 per cent up on 2008 but below an average forecast of 697m in a Reuters poll of 13 banks and brokerages. Sales of €3.42bn were below the most pessimistic estimates ranging from €3.43bn to 3.57bn.