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Northcliffe begins to reap rewards of online investment

Northcliffe Media is beginning to reap the rewards of investment in its online business, new figures show today.

A trading update from owners DMGT for the last three months of 2007 show revenues up slightly across all businesses.

But regional online revenues have grown by 90 per cent compared with the same time the year before, mostly due to recruitment advertising.

At Northcliffe Media, the underlying total revenues for the 13 weeks to December 30 were up 0.6 per cent but down 0.3 per cent at £105m once acquisitions and disposals had been taken into account.

Circulation revenues for the first quarter were two per cent below last year, excluding titles acquired or closed in the previous financial year.

Publishing costs were two per cent higher, headcount was down one per cent, with any saving offset by increased investment in digital products and higher newsprint prices.

Other DMGT headlines include:

  • Results ahead of our expectations. They are marginally below last year due to timing differences, acquisitions and start-up costs.
  • New Didcot printing plant successfully brought on stream in October 2007 and, from January 1, Mail titles being printed in full colour.
  • Continued strong growth from DMG Information and good progress for Euromoney Institutional Investor, DMG World Media and DMG Radio Australia.
  • Chairman Lord Rothermere said: “It is too early to predict the outcome of the full year, but we are pleased with the start the group has made to the financial year.

    “Most of our businesses continue to perform well, and above our expectations, despite the troubles in the financial and property markets.

    “We believe that our strategy of creating a diversified portfolio of market-leading operations across both business and consumer products leaves us well positioned to deliver long-term growth.”

    DMGT will announce its half-yearly results in May.