Hearst CEO Swartz talks holding strong and — yes — bonuses

In a memo sent to staff by Hearst’s Steven R. Swartz, and shared with Talking Biz News, the CEO and president talks about how the company stood its ground in the face of industry and global headwinds:

An excerpt from the memo reads as follows:

Dear Colleagues:

We began last year with the pandemic still raging and soon were forced to confront the effects of the terrible war in Ukraine, soaring inflation and plunging financial markets. Thanks to all of your outstanding efforts and to our broad portfolio of great businesses and brands, we met the moment, fulfilled our mission and generated record results.

The importance of our diverse portfolio cannot be overstated. Economic uncertainty and rampant inflation upset bond markets around the world and thus made for a very difficult year for our single biggest source of profits, Fitch Group, whose main product line is the Fitch bond-rating business. Our U.S. Magazines company also had a difficult year, hit by a combination of inflation and widespread cutbacks by advertisers as business conditions around the world worsened. Yet as these businesses struggled, many other Hearst businesses delivered record results.

The profit we generate from our portfolio of businesses is by no means the sole measure of our value as a company. We couldn’t be prouder of how our company serves the communities in which we live and work.

Some Hearts highlights for 2022 include:

• Many Hearst businesses delivered record results, including Hearst Television; Hearst Health’s FDB, MCG and Homecare Homebase; Hearst Transportation’s CAMP, MOTOR, Black Book and Noregon Systems; and classic car auction site Bring a Trailer.
• While not posting all-time records, Hearst Newspapers, its overseas magazine operations and the television ventures it shares with the Walt Disney Company, ESPN and A+E Networks were all up over the last year.
• Hearst acquired a number of emerging growth companies.
• Because of the overall company’s successful financial performance last year, Hearst once again made every one of its employees around the world who was with the company at least half of last year eligible for a bonus and is paying these bonuses by month’s end.

You can explore Hearst’s annual review in video form here.