24th Jan 2019 08:40
LONDON (Alliance News) - Daily Mail & General Trust PLC said Thursday its first quarter results were in line with expectations, after strong performances from its business-focused unit and online newspaper operations.
For the three months ended December, total revenue fell 2% on a reported basis though rose 2% underlying. For the full-year, the publishing firm held its forecasts after a "robust performance across the more focused portfolio."
This was after its business-to-business unit - which contributes around 55% of total revenue - saw a 5% reported revenue fall and a 3% underlying revenue rise. For the full-year, Daily Mail expects underlying revenue growth to be in the "low-single" digits with an adjusting operating profit margin in the "mid-teens."
Meanwhile, the consumer media unit, which generates the remainder of company revenue, saw a 3% rise in reported and 1% rise in underlying revenue. For the full-year, the firm expects underlying revenue to fall in the "mid-single digits" and margins in the "high-single digits."
The consumer media unit - which includes its eponymous newspaper as well as the Metro brand - was helped by advertising revenue growth jumping 6% on a reported and 4% on an underlying basis. This was courtesy of a 10% growth in digital advertising, offsetting a 1% fall in print advert revenue.
Circulation, however, fell 3% on both an underlying and reported basis.
At the end of December, Daily Mail had GBP203 million in cash. This was down from GBP233 million three months earlier due to the "usual seasonal cash outflows."
Shares in Daily Mail were 1.6% higher at 587.50 pence on Thursday.
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