FT Turns In Strong Figures For Pearson

The Financial Times has increased its advertising revenues by 13% year on year for the six months ended 30 June 1999, according to half-year results released by parent company Pearson this morning. Investment in the international expansion of the newspaper has also pushed up circulation at the FT, with the latest figures showing a 9% year on year increase in sales. The Financial Times‘ website, ft.com, is also performing strongly according to Pearson, with traffic up 40% year on year in June.

Pearson has been divesting of its non-media businesses and is now a 100% media company. The group is planning to invest some of the money gained from the sale of its non-media businesses in online expansion. Overall operating profit at the group was up 15% to £126 million, higher than analysts’ expectations.

The group is also planning to launch a new German language business newspaper in association with German publisher, Gruner & Jahr. An internet version of the paper is expected later this year with the paper itself launching early in 2000. In television, Pearson TV reported a 13% increase in underlying profits and increases in audience share and ad revenue at Channel 5, in which Pearson has a 24% stake, helped reduce the channel’s losses. Pearson TV’s chairman, Greg Dyke, is leaving the group in November to become the new director-general of the BBC (see Scardino Replaces Dyke As He Prepares For BBC DG Post); directors are currently searching for his replacement.

Commenting on the results, Pearson’s chief executive, Marjorie Scardino, says: “We have had a first great half. We’ve made Pearson a 100% media company. With our rich content and powerful brands, we’re stepping up our investment to exploit the opportunities of the digital age.”

Pearson: 0171 411 2000