Future profits halve due to digital projects

Future Publishing, which owns the T3, Total Film and Classic Rock titles, has reported a 45% fall in profit on the back of increased digital investment.

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Profit fell to £1.2m in the six months to 31 March, from £2.2m in the previous year.

Revenue fell to 4% £68.8m, down from £71.4m, for the half year period.

The publisher says the fall in profit is a result of increased investment in digital platforms and customer publishing.

Future’s digital platforms, which includes 60 titles on iPad, reported a 30% increase in revenue and reach profitability for the first time. Revenue from customer publishing increased 27%.

Sales of digital replicas of its print titles have increased more than tenfold year-on-year, exceeding £100,000 in revenue.

Print advertising remains in decline.

Stevie Spring, Future CEO warns that the market remains challenging but that Future remains committed to developing new print, digital and mobile products that satisfy consumer interests as well as providing commercial opportunities.

She adds: “Trading in the first half was challenging, yet we’ve seen six months of an accelerating pace of change as the arrival of powerful mobile devices increases digital content consumption. The decline in profits includes maintained planned investment, particularly in digital, as we continue to transition our business for the future.”

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