View all newsletters
Sign up for our free email newsletters

Fighting for quality news media in the digital age.

  1. News
March 8, 2010

Archant profits slump by a third in 2009

By Oliver Luft

Regional media publisher Archant recorded a year-on-year fall in operating profit of almost a third last year, the company had said.

In a preliminary statement to shareholders ahead of its AGM in April, Archant reported that operating profit fell 32 per cent to £15.1m last year from the £22.2m it made in 2008.

The company, which publishes newspapers including the Eastern Daily Press and the East Anglian Daily Times, said it also recorded a 19 per cent fall in revenue to £142m last year, down from the £175.1m it generated in 2008.

Archant said the falls came against a background of “challenging economic conditions and advertising revenues declining in all major categories”.

Chairman Richard Jewson said a new management team at the company had taken “swift and decisive steps to reduce the cost base and launching a number of new business initiatives”.

The company completed the refinancing of its bank facilities in December, saying the board was confident this would provide sufficient working capital to pursue its current strategies.

Total operating costs were reduced by £26.1m, a saving of 17.1 per cent, the company said.

Content from our partners
MHP Group's 30 To Watch awards for young journalists open for entries
How PA Media is helping newspapers make the digital transition
Publishing on the open web is broken, how generative AI could help fix it

The reduced cost base led to operating profit doubling in the second half of the year compared to the first half, Archant said.

The increase also reflected signs of some improvement in trading conditions, the company added, and revenue was up 11 per cent against the second half of 2008.

Email pged@pressgazette.co.uk to point out mistakes, provide story tips or send in a letter for publication on our "Letters Page" blog

Select and enter your email address Weekly insight into the big strategic issues affecting the future of the news industry. Essential reading for media leaders every Thursday. Your morning brew of news about the world of news from Press Gazette and elsewhere in the media. Sent at around 10am UK time. Our weekly does of strategic insight about the future of news media aimed at US readers. A fortnightly update from the front-line of news and advertising. Aimed at marketers and those involved in the advertising industry.
  • Business owner/co-owner
  • CEO
  • COO
  • CFO
  • CTO
  • Chairperson
  • Non-Exec Director
  • Other C-Suite
  • Managing Director
  • President/Partner
  • Senior Executive/SVP or Corporate VP or equivalent
  • Director or equivalent
  • Group or Senior Manager
  • Head of Department/Function
  • Manager
  • Non-manager
  • Retired
  • Other
Visit our privacy Policy for more information about our services, how New Statesman Media Group may use, process and share your personal data, including information on your rights in respect of your personal data and how you can unsubscribe from future marketing communications.
Thank you

Thanks for subscribing.

Websites in our network