Archant announces 62% drop in profits

Regional newspaper publisher Archant has revealed a 61.6% drop in operating profits for the first six months of the year.

Operating profit was £5 million, down from £8.1 million a year ago. Revenues were also down, by 24.4 per cent to £70.8 million.

The company’s newspaper and printing division saw revenues fall 29.5% to £49.1 million, while its magazine division had total revenue of £21.7 million, down 22.2% year on year.

Richard Jewson, Archant chairman, said: “Our management have responded strongly in the extraordinary market conditions by focusing on innovative ways of stimulating new and existing revenue streams, reducing operating costs by £14.8 million and preserving cash, while seeking new ways to develop our digital businesses.

“We have also made capital investment of £2 million in the final stages of the Thorpe Press extension and in our IT systems.”