Associated ad revenue growth slows

Be the first to comment
Associated Newspapers: ad revenue growth slows in first quarter of 2011
Associated Newspapers: ad revenue growth slows in first quarter of 2011

Underlying advertising revenue growth at Daily Mail and Metro publisher Associated Newspapers has slowed to 2% year on year in the quarter to date.

The underlying figure excludes a number of businesses disposed of or closed, such as London Lite.

A trading update from Associated's parent company today (28 March) stated advertising revenue growth had weakened over the months since October and November, which had shown a positive trend.

The fourth calendar quarter of 2010 (DMGT's first financial quarter) had shown 6% underlying advertising revenue growth. The company blamed tougher comparatives for the slowdown.

For the five-month period to the end of February, Associated's total revenues were up 2%, with underlying advertising revenues up 5% and underlying circulation revenues down 2%.

The picture continued to worsen at DMGT's regional newspaper division, Northcliffe Media.

Advertising revenues were down 12% in the quarter to March so far, a deterioration on the 6% decline in the previous quarter.

For the five-month period to the end of February, Northcliffe's total revenues were down 8%, with circulation revenues down 3% and advertising revenues down 8%.

Headcount at A&N Media, the umbrella company for the two operations, was down by 7% – 520 people including 317 at Northcliffe – over the period.

At a group level, DMGT, which also owns a number of business-to-business operations, reported 2% revenue growth for the five-month period to the end of February.

In November DMGT reported pre-tax profits of £146.3m for the year to 3 October, buoyed by cost cutting and the record performance of its Daily Mail and Metro titles.

SUBSCRIBE TO CAMPAIGN

Only £57 for 3 months

Includes every print & iPad edition, plus full access to Campaign online and other Brand Republic sites.

SUBSCRIBE

Campaign Jobs

Thousands of jobs across advertising, creative, marketing and media

Happy 12th birthday, Facebook - what's next for the world's most powerful tween?
Share

1 Happy 12th birthday, Facebook - what's next for the world's most powerful tween?

The social network celebrates its latest birthday this week, and there is no sign that its dominance will dwindle any time soon, writes Daniel Price, head of social operations at Lost Boys.

The year ahead for advertising agencies
Shares
Share

1 The year ahead for advertising agencies

The most successful businesses will be those that remove their self-imposed shackles and aspire to make culture, not just 30-second ads.

Just published