Sharewatch: War Worries Undermine Media Shares

Worries of an extended campaign in Iraq took their toll on the media sector yesterday reviving concerns that advertising revenue could remain weak.

DMGT, which recently warned that the political and economic climate was fostering uncertainty in some of its markets (see DMGT Sends Out Mixed Messages In Trading Update), saw shares slip 5.61% to close at £462˝. Pearson, which publishes the Financial Times, also suffered, with stock falling by 4.33% to finish at £4.80.

At the other end of the scale, commercial radio broadcaster, UBC, rose 9.09% to 24p after announcing that trading in the final six months of the year had been better than expected (see UBC Media Has Better Than Expected Second Half).

Independent News & Media, which recently posted a positive set of financial results for 2002 (see Independent News & Media Sees Profits Rise By 8%), also improved yesterday. Stock rose 6.71% to close at €87.5.

The closing prices of media company shares on Monday were: