It is reported that pre-tax profits at Desmond’s holding company, RCD1 slumped to £8.9 million in 2002 from £20.8 million the year before.
Margins were affected by the decision to write off an £8.7 million internal loan which pushed the publishing division into the red to the tune of £1.7 million. This was despite an 8% rise in turnover to £313.8 million at the unit.
Earnings at the broadcasting division, which includes adult TV channels Television X and the Fantasy Channel fell 44% to £8.9 million on turnover of £33.8 million.
However, debts at Desmond’s media group were cut from £67.8 million to £39.3 million during 2002.
