Trinity reports 2.7% drop in profits

The Trinity Mirror Group, former owners of the Sunday Business Post, have reported a drop in profits of 2

The Trinity Mirror Group, former owners of the Sunday Business Post, have reported a drop in profits of 2.7 per cent from Stg£80.6 million last year to Stg£78.4 million.

Citing a tightening advertising market as the reasons for the drop, the company also reported a fall in turnover form Stg£581.1 million to Stg£559.6 million.

The implementation of cost reduction plans in its regional newspaper operations resulted in £6.5 million structural cost benefits and Stg£6.6 million revenue enhancements over the period.

It also plans to make savings of Stg£32 million over the year.

READ MORE

An incremental Stg£6.5 million was invested in the implementation of an integrated marketing strategy for the Mirror titles, including the impact of cover price cuts.

The group also benefited from the sale of Sunday Business Post in the Republic and Ethnic Media Group in the UK for Stg£6.5 million and Stg£10.2 million respectively.

Sir Victor Blank, Chairman of Trinity said that even in the current climate the company is still highly cash generative.

"In the first six months of the year, against a backdrop of difficult economic conditions, we have further demonstrated the strength of our businesses," he said.

". . .Our national strategy still in its early stages is progressing as expected with the improvements in the quality of our main titles, and strengthening of our brand and promotional activity to increase readership.

"In Scotland, the advertising improvement strategy of the Daily Record is already delivering positive results. Our business also remains highly cash generative in these tough markets."

The immediate future of the marketplace remains uncertain. However, we continue the successful implementation of the Group's strategy and this underpins the Board's expectation of a satisfactory outcome for the year."

Sir Victor warned, however, that the future of the marketplace remains uncertain.