Third quarter revenues from continuing operations, excluding disposals, increased 19% over the comparative period to $1.68 billion, reflecting strong growth from core operations and the benefit of strategic acquisitions completed in the past twelve months. Excluding acquisitions and adverse currency translation effects, revenues increased 9% for the quarter with all market groups reporting solid gains. Internet-based sales more than doubled during the quarter to $211 million, helping drive Thomson’s electronic-based revenues to $839 million.
Operating profit from continuing operations, excluding disposals, increased 12% for the quarter. The benefits from electronic-based initiatives and improved operating efficiencies were partly offset by margins of recently acquired businesses, which are initially lower than core operations, and increased expenses relating to stock appreciation rights. Earnings from continuing operations for the three-month period were $168 million, or $0.27 per common share, compared with $179 million, or $0.29 per common share, for the third quarter of 1999.
Year to date, Thomson has completed acquisitions totaling approximately $2.7 billion to strengthen its position in key markets, to enhance technology offerings, and to expand global reach. While these acquisitions contributed to the strong quarterly growth in sales and operating profit, the associated amortization and financing costs resulted in earnings dilution of $0.03 per common share in the third quarter.
On October 27, 2000 Thomson announced its intention to acquire select Harcourt businesses from Reed Elsevier for $2.06 billion in cash. Upon closing, these businesses will become part of the Thomson Learning market group. The acquisition of Harcourt’s higher education and corporate and professional services businesses will expand the breadth and depth of Thomson Learning’s higher education portfolio, position Thomson as a leader in the corporate training market, and accelerate its ability to provide end-to-end e-learning solutions to customers worldwide.
For the nine months ended September 30, 2000, revenues from continuing operations, excluding disposals, increased 18% to $4.3 billion. Excluding acquisitions and adverse currency translation effects, year-to-date revenues increased 10%. Internet-based sales more than doubled to $495 million, and total electronic revenues increased to $2.3 billion. Operating profit from continuing operations, excluding disposals, grew 18% to $645 million during the nine-month period, but was offset, in part, by higher amortization and financing costs. Earnings from continuing operations increased 38% to $200 million, or $0.32 per common share, compared with $145 million, or $0.23 per common share, in the first nine months of 1999.
