Johnston Press Sees Ad Revenues Ahead Of Expectations
Advertising revenues at regional newspaper publisher Johnston Press have surpassed expectations in the second half of the year, with growth of 4.9% already achieved in the five months to 30 November. In August Johnston’s chief executive, Tim Bowdler, said he expected H2 to show modest growth, similar to the first half (see Johnston Press Sees Profits Jump After RIM Acquisition).
The group says that property advertising has continued to perform strongly and recruitment advertising has seen an improvement. National display advertising has also performed better after a weak first half, whilst the remaining advertising categories have continued broadly in line with results reported in August.
Bowdler says that the company is on track to deliver cost savings of more than £10 million in 2003, in respect of last year’s acquisition of RIM. The business is performing well and full year profits are forecast to be ahead of full-year expectations. However, Johnston does not expect any marked change in the trading environment and anticipates ongoing modest advertising revenue growth.
Shares in Johnston Press were up 0.8% at 472.75p by late morning.
