Independent News and Media (INM) reported a rise in revenues and stronger profit as advertising improved and it kept a tight control of costs in the first six months of the year.
Revenues for the period ending June 30th 2010 were up 7.8 per cent to €656.5 million while operating profit rose 29.2 per cent to €94.6 million. Earnings before interest, tax, depreciation and amortisation recorded a rise of 26.1 per cent to €115.6 million.
On a like for like basis, revenues grew 1 per cent, with operating profit climbing 12.7 per cent.
The group said there had been an improvement across all its markets, with Australia putting in a particularly strong performance. In Ireland, profit rose slightly, despite a 3.3 per cent fall in like-for-like revenue to €204.1 million.
The group, which sold its UK Independent and Independent on Sunday titles in April and disposed of its remaining stake in Indian media group JPL during the six months, reduced its net debt by €360.1 million since June 2009. It now stands at €978 million.
In March, INM said it agreed to pay £9.25 million (€10.32 million) over 10 months to Russian businessman Alexander Lebedev and his family to offload of the loss-making London Independent newspaper titles. In return, Mr Lebedev would assume “all future trading liabilities and obligations”.
Chief executive Gavin O'Reilly said the group had good start to 2010. "All of our segments have contributed positively to our strong operating performance in the first half, with substantial operating leverage delivering double-digit year-on-year improvements in operating profit," he said.
"Positive year-on-year advertising trends, as well as solid performances in circulation and other revenues, have continued to improve through the opening months of the second half."
He said the group was confident for the rest of the year, and is targeting an improved operating performance for the year in line with current market expectations.
The company's shares were slightly off today, trading at 66 cent on the Dublin market at 3.40pm.
