EMAP says that its consumer magazines division is trading ahead of expectations with advertising up 7% and circulation revenues up 10%.
The company, which presented to a Lehman Brothers media conference earlier in the week, also said that radio revenue is in line, down by 7%; business to business is up 2%. It also confirmed plans to spend £10 million on promoting
Closer, its new weekly magazine targeting women.
Meanwhile, Capital Radio told the same conference that radio sector revenue is likely to grow by around 2% in the second half, saying that it has been underperforming television in the last five months.
There was also talk of possible mergers for Capital. A merger with EMAP would probably be acceptable to the Competition Authority, although substantial disposals may be required, according to chief financial officer, Peter Harris.
A GWR/Capital merger would have the least overlap – and so is more likely to be approved – but would offer fewer synergies. Virgin, Chrysalis or EMAP would present substantial overlap in London, note Lehman analysts.
