26th May 2016 07:06
LONDON (Alliance News) - Daily Mail & General Trust PLC Thursday reported a rise in pretax profit for its first half, but said its dmg media segment has been hit by a further deterioration in the UK print advertising market, leading it to edge down its expectations for its operating margin in this segment.
The company now expects its operating margin for the dmg media segment to be around 10% for the full year, rather than flat on the previous year at 13% as it had previously guided.
However, it maintained the remainder of its full year outlook.
For the half year to end-March the company reported a pretax profit of GBP194.9 million, up from GBP126.7 million, as revenue rose to GBP950.1 million from GBP919.1 million, boosted by gains from its sale of its stake in Local World Holdings Ltd and its disposal of Wowcher Ltd.
DMGT proposed an interim dividend of 6.7 pence, up from 6.5p the year before.
"DMGT's performance in the first half was broadly in line with our expectations, other than the further deterioration in the UK print advertising market which impacted dmg media's results. The group's revenue has remained broadly stable on an underlying basis, with growth from our B2B companies offsetting the decline from dmg media," said outgoing Chief Executive Martin Morgan in a statement.
Morgan will retire at the end of the month after 27 years with the company and eight as chief executive, and will be succeeded by Paul Zwillenberg.
Shares in DMGT were down 4.6% at 710.00 pence Thursday morning, shortly after market open.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
Copyright 2016 Alliance News Limited. All Rights Reserved.
Related Shares:
DMGT.L