SRH Expects 3% Decrease In Interim Revenues

Scottish Radio Holdings (SRH) has released a trading update prior to the end of its half year on 31 March. The company indicated that while a decrease in group revenues is expected, its focus on local media has protected it from the full force of the media downturn.

SRH’s revenue is expected to show a decrease of 3% in group revenues excluding acquisitions and diposals. Like for like radio broadcast revenues are predicted to be in line with last year, with a 9% fall in national ad revenue offset by 4% growth in local advertising revenue and growth, with a 13% rise in sponsorship and promotions income. Local advertising revenue now counts for 53% of the division’s net advertising revenue.

On a less positive note, Score Outdoor is predicted to show an 18% drop in like-for-like revenue, having been hit by a drop in national advertising revenue bookings. However, like for like revenues at Score Press will have risen 3% year on year, with advertising revenues having shown an increase of 4% and circulation 11%, offset by a 6% drop in other income.

Outlook

“The group’s long-term strategy of concentrating a large part of the sales effort on the local marketplace means that SRH is less exposed to the national advertising downturn than some companies in the media sector…the Board believes that the longer-term prospects remain attractive.”

Scottish Radio Holdings: 0141 565 2202 www.srh.org.uk

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