Johnston Press reports a 19% ad revenue decline

Johnston Press has reported a 19.1% year on year advertising revenue decline for the past 10 weeks.

However, the regional newspaper group said revenues are starting to improve.  In the eight weeks before that, the company recorded a 26.1% drop, as well as a substantial 32.7% fall in the first six months of the year.

The company said average weekly ad revenues in September and October were at the same levels as May and June, with a slight improvement in property ads but a further fall in recruitment ads.

Stuart Paterson, Johnston Press’ finance director said that he expects an increase in ad revenues next year in line with an economic recovery.  However, he admitted that visibility is still limited.

Johnston hopes to make savings of around £50 million across the business by the end of this year.

The publisher has been forced to cut 600 jobs this year as well as closing its printing presses in Kilkenny and Edinburgh.

However, Paterson said the company was unlikely to sell off any of its newspapers to raise money – “The market for disposals is pretty well closed,” he said.