Newsprint Affects Daily Mail And General Trust Profits

Daily Mail and General Trust have today announced a drop in profits. Pre-tax profit for the year was £66.8 million, a decrease of 27% over the results for last year. The major factor affecting these results was the increase in newsprint prices, which were not passed on to customers; the Group spent nearly £20 million more on newsprint than in the previous year.

Associated Newspapers, publishers of the Daily Mail and Evening Standard recorded advertising revenues up more than 10% on the previous year; however, ‘because of he newsprint cost increase and increased investment in its editorial packages, its trading profit decreased.’

Northcliffe Newpapers produced record profit, even before including the contribution of the Nottingham Evening Post (in January 1995). Advertising revenues were strong, particularly in the area of recruitment.

Channel One, Associated’s London cable channel which launched in November 1994 recorded “losses in line with expectation.”

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