Capital radio today announced that further commercial success opportunities could be created by acquiring new radio licenses this year.
Revenues at the group rose by 4% to £59 million for the first half of this year, citing ten months of consecutive growth, though group profit only inched up by £100,000 on last year to £12.1 million.
Capital says that new radio stations and the accelerated take up of digital radio could ‘present opportunities for the group’ as the advertising economy slowly improves.
The arrival of Johnny Vaughan to flagship station, 95.8 Capital FM, has helped boost group radio revenue by 5% for the period ending 31 March 2004. This grew to £14.4 million, up from £13.8 million on the same period last year.
In London, this station has ‘clear commercial leadership’ said chief executive, David Mansfield. He added that since Vaughan took over the breakfast show reigns from Chris Tarrant, listener figures have increased by 133,000.
Mansfield said: “We are realising the benefits of the improvements we made to 95.8 Capital FM, with increased listeners across the schedule and at breakfast, Johnny Vaughan is off to a great start with encouraging feedback from listeners and advertisers. Across the group, we have seen record listening figures from Xfm and the Century FM Network and we have reclaimed leadership of the important Birmingham market.”
Rival holdings company, Scottish Radio, today also announced growth for the past six months, posting slightly more upbeat results as radio revenues grew by 11%, with overall group revenue up by 10% (see Strong Radio And Press Revenue Spur On Profits At SRH).
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