Advertising revenues at regional publisher Newsquest were “virtually flat” in the first half of 2014, a report by its parent company has said.

In a financial statement covering the second quarter of the year, US-based Gannett said ad revenues at its UK arm were down 0.5pc compared to the same period in 2013.

The report issued today also said that circulation revenues at the publisher increased, although it does not specify by how much.

It said that circulation revenue increases at Newsquest had been offset by declines at Gannett’s “domestic” – namely US-based – operations.

The circulation revenue increases follow cover price rises at most of the leading Newsquest titles in the second half of last year, in some cases by as much as 40pc.

Although this led to a dramatic fall in circulation at some daily titles, today’s report suggests the move may have paid off from a revenue point of view.

The report says:  “Advertising revenue at Newsquest was virtually flat, in pounds, as national advertising was 8.9pc higher and retail advertising was unchanged.

“An increase in circulation revenue at Newsquest was offset by circulation revenue declines at domestic publishing operations.

“At Newsquest, digital revenues were 24.6 percent higher in local currency.

“Newsquest is also an Internet leader in the UK where its network of web sites attracted 119.8 million monthly page impressions from approximately 17.8 million unique users in June 2014.”

The full report can be read here.