Telegraph Profits Down

The Telegraph has this morning released its results for the year ending December 31st, showing the expensive effects of the price war; profits were down from £60.2m last year to £45m this year, despite the increase in circulation.

The chairman said that while the decision to cut the cover price of the Daily Telegraph together with a rise in operating costs has meant a drop in profit, this was fully vindicated by the subsequent rise in circulation.

Canadian publishing group Hollinger, controlled by Conrad Black, announced it has plans to buy the remaining stake in the Telegraph which it does not already own. This would make The Telegraph back into private hands just two and a half years after it was floated on the market. Hollinger currently holds 58.3% of the company’s shares.

Telegraph shares were up 50p at 1pm this afternoon to 430p.