British media giant Pearson gave its second profit warning in as many months today.
It warned full-year profits at its education division would be £35 million pounds (€57 million) below market expectations.
Profits from its education interests were nonetheless expected to grow by 10 per cent in 2001 from 2000, it said.
Pearson repeated its guidance given in October that full-year profits at its FT Group subsidiary, which includes the Financial Timesand FT.com, were expected to be 40 per cent lower than last year.
"Looking ahead to 2002, we are managing our businesses on the basis that there won't be any substantial upturn in advertising and technology markets and that trading conditions in Latin America will continue to be difficult," it said in a statement.
But it said steps taken to reduce costs, particularly in its Internet enterprises and advertising and technology related businesses, stood it in good stead.
"The markets for advertising and technology continue to be tough, compounded by problems in Latin America," said chief executive Mr Marjorie Scardino.
"We can't say when these markets will recover, but with our cost base significantly lower, we're putting our business in the best possible shape for the year ahead".
AFP