Trinity Mirror reports 41% fall in pre-tax profits

Newspaper publisher Trinity Mirror has reported a 41% fall in pre-tax profits for the 53 weeks ending 3 January 2010, to £72.7 million.

Group revenues were down £108.4 million to £763.3 million, with advertising revenues contributing £94.7 million of this fall, said Trinity in a statement released today.

Operating profit fell27.4% from £145.2 million to £105.4 million, with operating margins down 2.9% to 13.8%.

Digital revenue was down from 43.6m to 35.6m, although average monthly unique users increased by 41% year on year and 15% from the first half of 2009, to reach 17 million in the second half.

Advertising revenue at Trinity Mirror’s regional division was down 29.5% on 2008, to £198.9 million, with overall revenues down 23.5% year on year to £302.9 million.

Its national newspaper division, which publishes titles including the Daily Mirror, Sunday Mirror and The People, saw revenues fall 3.2% to £460.4 million, with ad revenues down 7.8% year on year to £132.9 million.

Sly Bailey, Trinity Mirror chief executive, said: “Whilst the severity of the economic downturn experienced during 2009 impacted group revenues, the resilience of our brands and commitment of our staff ensured that we delivered profits ahead of expectations. We continued to reap the benefits of our investment in cutting edge IT systems which are driving new, more efficient ways of publishing across media platforms.

“Ongoing tight management of the cost base enabled costs to fall by £67.9 million and was crucial in supporting our profits. During 2010, we will maintain a focus on costs whilst reaping the benefits of an improvement in the rate of decline in advertising revenues. Whilst the board remains cautious about the economic outlook, it anticipates a satisfactory performance for 2010.”