Emap profits fall in uncertain market

Emap has reported a 22 per cent decline in its statutory pre-tax profits to £112 million on a turnover of £1.07 billion in its preliminary results.

The company identified three key areas of current trading weakness: the UK television market and the French newsstand and consumer advertising markets.

However, the UK consumer magazine sector was performing well. Emap said Grazia, its new glossy women's weekly, was on target in terms of sales and audience profile.

The company also said its celebrity title Closer was moving into profit and its Kerrang! rock music radio station had enjoyed a strong launch.

When the Emap results are "normalised", which excludes amortisation (the loss of goodwill and exceptional costs such as closures and disposals), the company said its pre-tax profits had risen by 5 per cent to £205 million.

Tom Moloney, the chief executive of Emap, said that although the company was outperforming a weak radio advertising market, this key part of its business was only performing "reasonably".

Business-to-business display ads and exhibitions were the strongest sectors.

Moloney added: "We have started the new financial year well. Although the economic outlook is uncertain, we are in line to deliver against full-year expectations."