Johnston Press has issued a trading update prior to the release of its preliminary results for the year to 31 December on 21 March 2001. Despite recent fears in the industry of an advertising slowdown, the company reports an increase in like-for-like advertising revenue during the second half to date of nearly 6% compared to 1999. Growth in the first half reached 9%, with situations vacant advertising as the principle driver.
New media strategy, a sticky issue for some traditional media companies, is said to be progressing “satisfactorily” at Johnston. The group’s weekly titles remain stable in their circulation, but the nine evening titles are currently experiencing a decline.
Nonetheless, the group is expecting to see profit at the upper end of expectations for the year. Next year revenue growth is expected to continue, but may be subdued in comparison to 2000, thanks to the increase in the cost of newsprint.
This morning shares in Johnston Press rose 8p on yesterday’s closing price, reaching £3.56½.
