Media group Emap has announced a 9% rise in pre-tax profits to £223 million for the year ending March 2005. Underlying revenues were up 8% to £1.154 million.
Performance varied across Emap’s different divisions. Within the UK consumer magazine sector, underlying revenue rose by 3% (or 7% including new launches). Weekly titles, such as new launch Grazia, were strong and both circulation and advertising were above market averages. Emap is hoping the new weekly women’s magazine, First, launched this month will add to the success.
In the business publishing and events sector, revenue rose by 12%, given a boost by Emap’s first Cannes Lions International Advertising Festival. But a downturn in public-sector recruitment advertising had an impact on overall growth.
TV continued to be hit by the tough advertising environment, with revenue up just 1%. Excluding Emap’s acquisition of Scottish Radio Holdings, radio revenue also rose by just 1% but was still ahead in a weak market. But when the SRH acquisition, which netted £76 million, is taken into account, the figure rockets to a revenue rise of 44%.
Disposals generated £152 million for the company and the sale of Emap France, announced in February, is said to be “on track”.
Investment in the group has been strong, with a record £25 million ploughed into new launches and £480 million into acquisitions.
Tom Moloney, Emap’s group chief executive said: “Our strategic priorities remain targeted investment in core brands to accelerate growth, the launch of new products to meet changing customer needs, and acquisitions to strengthen our market positions and increase the Group’s exposure to faster growth platforms.”
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