Maiden Issues Profits Warning As Pre-Tax Profits Dip

Maiden saw a ‘very clear recovery’ in sales demand in the second half of 2003, but it expects full year pre tax profits to be lower than forecast, at between £5.3 million and £5.5 million.

In an upbeat trading report issued today, the outdoor advertising group said that revenues had strengthened considerably throughout the year and sales were particularly good in the final five months.

The company was relying on a strong fourth quarter, following a poor performance in the middle of the year. But it said that improved performance during the final quarter of 2003 had not entirely mitigated the effects of the first six months.

First quarter booked revenue for this year is already more than 95% ahead of the same period last year, the trading report said, and visibility is continuing to improve (see City News). The company undertook a vigorous cost reduction programme during 2003 and expects to see its benefits on operating margins during 2004.

Maiden said that it is now in final contract renewal negotiations with National Express Group. The company has now won seven of the top ten train operating company contracts. It will announce preliminary full-year results on 30 March 2004.

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