Scottish Radio Holdings (SRH) is beginning to see improvements in its radio advertising levels, following a flat performance in the year to 30 September 2002.
The group says that radio revenue was flat during its financial year, with national advertising showing a 6% decline, whilst local revenues grew by 3%; sponsorship and promotions revenue was up by 8%. Across the group, strength in local advertising has helped to offset the general weakness in national spend which is being experienced across the UK media sector.
Excluding acquisitions and disposals, group-wide profits remained flat year on year at £15.5 million; SRH says this is a good performance in the current market. However, including acquisitions and disposals, overall pre-tax losses fell substantially to £13.5 million, down from a profit of £11.1 million last time. After tax, the year’s loss was £16.5 million.
Group turnover, including acquisitions, rose by 5% to £83.5 million, whilst earnings before interest, tax, depreciation and amortisation were £17.2 million.
Score Press The group’s Score Press regional newspaper publishing division saw profits on continuing operations up by 7% to £7.4 million. Like for like advertising revenues rose by 5%, whilst circulation revenues were up by 8%.
Score Outdoor In May this year, SRH sold its outdoor advertising business, Score Outdoor, to Clear Channel UK for an initial price of £33.5 million (see City News). The sale was instigated after the national advertising slowdown – which accounted for 90% of Score’s revenues – began to threaten initiatives to improve its revenue-generating capability and profit margins.
The disposal of Score Outdoor cost SRH an exceptional loss of £21.2 million.
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