Sharewatch: SMG Falls After Poor Results
SMG, owner of Scottish TV and Virgin Radio, was seen in focus yesterday, after reporting a 28% year on year slump in profits, which it blamed on the prospect of war with Iraq and the continuing advertising recession (see SMG Sees No Ad Recovery This Year). The stock was seen down 6.43%.
The results also unsettled the wider media sector and contributed to a heavy sell off in key stocks.
Meanwhile, Pearson, parent company of the Financial Times, remained in focus, following reports that its chief executive, Dame Marjorie Scardino, will not sell the prestigious pink paper, despite its heavy losses.
Elsewhere, investors considered reports that Telewest chief, Charles Burdick, aims to bring the cable company’s programming arm, Flextech, closer to the heart of the group, following rumours of a sell-off. The stock was stable at 2.5p.
The closing prices of media company shares on Tuesday were:
