3rd Oct 2006 07:01
UBC Media Group PLC03 October 2006 UBC Media Group plc3 October 2006 Interim Trading Update UBC Media Group plc (UBC:LN) intends to announce its results for the six monthsto 30 September 2006 on 27 November 2006 and is issuing the following tradingupdate. Inline with the comments contained in the Chairman's AGM Statement issued inAugust 2006, UBC continues to meet market expectations. The Company expects toreport revenues broadly flat against the same period last year during thecurrent planned period of strategic development. In June this year the Company embarked on a strategy of investment in a servicethat will allow digital radio listeners to buy music directly from radiostations, creating new revenue streams for commercial radio. The investment todate has matched the Company's expectations and significant progress has beenmade in developing the service. As already reported, consumer trials held in Birmingham have been a success andthe Company expects with its Interim Results to announce details of the consumerlaunch of the service. This week sees the launch of the Virgin 'Lobster'mobile phone with integrated digital radio. UBC is in discussions with Virginabout development of the music downloading service and about the mobile operatorproviding billing services. Further details of these arrangements will beprovided with the Interim Results. As digital radio both here and in the USA continues to grow rapidly, the Companyis seeing significant growth in its digital radio software division. Thisgrowth is compensating for the weak state of the current UK radio advertisingmarket. This was also a period of investment and development in UBC's Network Programmebusiness as the Company builds its recently announced news service inpartnership with BSkyB. In common with the rest of the commercial radioindustry, UBC's network programme division experienced a difficult start to thenew financial year and, although there has been a continuing recovery in theadvertising market in the second quarter, revenues in the six months to 30September 2006 are expected to be marginally behind those for the same periodlast year which covered a period of dramatic growth. The recovery over thelast three months, however, gives us confidence in this business for the balanceof the year. UBC's Classic Gold network of radio stations is expected to show a small rise inrevenues over the same period last year and the Company's production andfacilities division will show a small drop in turnover but an improved margin,resulting from the closure of a low margin studio unit. The Board is satisfied with the performance of the Company, which is in linewith expectations, and we believe the prospects for the remainder of the yearare positive. - ends - For further information, please contact: Simon Cole, CEO, UBC Media Group plc Tel: 020 7453 1600 Diane Barnes or Katie Thompson, Portland Tel: 020 7404 5344 About UBC Media Group UBC is quoted on the London Stock Exchange's AIM market. The Group is themarket leader in the supply of audio content and broadcast data software to theradio industry in the UK. In addition to the entertainment, traffic and traveland national news services provided to commercial radio, the Group is thelargest independent producer of radio programming for the BBC and the UK'sleading supplier of digital radio scrolling text and EPG software. The Groupalso has significant digital radio broadcasting interests including Classic GoldDigital, the nationally distributed classic hits format and a partnership withChannel 4 Television in national speech station Oneword. It is also part of theMXR Regional Multiplex consortium. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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