East Anglia: Increased profit for community media company Archant
01:00 07 March 2014
Community media company Archant, whose titles include the EADT, has announced an increase in annual operating profit to £9.4million.
The figure, before amortisation, impairment and exceptional costs, for the year to December 31 represents a rise of 49.2% compared with £6.3m in 2012.
Turnover for the year was down 3.6%, at £126.6m against £131.4m. Net debt at the year-end stood at £6.8m, down from £15.7m a year earlier, reflecting strong cash generation.
Archant chairman Richard Jewson said the results had been achieved “despite continuing industry challenges and with little help from the economy.”
He said: “Our traditional newspaper businesses improved profitability year-on-year. However, challenges in our magazine businesses caused a decline in magazine profitability.
“Significant efforts have been placed on monetisation of our digital offerings, resulting in a 19.3% increase in digital revenues to £7.2m.”
Cost management, together with a reduction in newsprint costs, saw total operating cost savings of £7.9m, with continued investment in training for the sales forces and in new product development.
“We will continue to shape the business to the changing requirements of our customers, who, of course, are also feeling their way into this changing world,” said Mr Jewson. “Whilst we expect to see an improvement in our revenues this year, economic growth will inevitably give rise to cost pressures.”