Daily Mail and General Trust, the publisher of the Daily Mail newspaper, has reported a 7% increase in underlying annual profits. It says profits of £144m in the six months ending March 31 were held up by its national titles, although the regional market is “tough”.
DGMT, which also publishes the London Evening Standard and free papers Metro and London Lite, reported revenue up by 5% to £1.2bn. However, net income fell to £58.5m from £87.1m in the same period last year.
Chairman Viscount Rothermere says: “The economic outlook remains uncertain but the group’s strong cashflow allows continued investment to ensure our businesses achieve their full potential.”
Ad sales at the newspapers are also in decline as advertising shifts to the internet and marketing budgets are cut during economic slowdown, it reports. DGMT says it is “content” with its internet assets but will target “small” takeovers if the opportunity arises.
On May 8, Daily Mirror publisher Trinity Mirror reported ad sales down by 3% in the 17 weeks ending April 27. Johnston Press, which publishes regional newspapers such as the Yorkshire Post, also reported a 7% drop in ad sales for the same period.