Regional newspaper group Archant has reported profits up 5.8% as a result of improving advertising sales in 2002.
The newspaper group, ranked seventh amongst UK regional publishers, said that operating profit reached £27.7 million last year. This was based on turnover of £146.2 million, up 1.2% on 2001.
Archant’s chief executive John Fry commented: “During 2002, the group performed well in an uncertain environment for media businesses. Advertising in the regional press has held up somewhat better than that for national publishers with the retail and property sectors being relatively buoyant.”
He said that a 1% decline in revenues in the first six months of the year was more than offset by 3.7% increase in the second half. Growth seems to have been maintained in 2003 despite the war in Iraq. Nonetheless, Merrill Lynch has warned that confidence in the regional press sector is fragile and revised down its forecasts for 2003 and 2004 (see Conditions ‘Overwhelmingly Negative’ For UK Regional Press).
