Reach updates on trading
Monday, November 30, 2020
Reach has described print circulations as “resilient” in a trading update ahead of its year-end results, but there’s no update on its print plant rationalisation plans as yet.
The group said that its overall performance had “exceeded expectations”.
“Circulation sales have remained resilient despite the recent lockdowns, supported by management action on availability and increased cross-promotion of national and regional titles. Overall, for the five months to 22 November 2020, a decline in print revenue of 19.6% contributed to a group revenue decline of 13.9%.”
Digital revenues grew by more than 16% in the five months to 22 November.
There’s no update as yet on Reach’s plans to shut its newspaper printing plants at Luton and Birmingham, announced earlier this month follow a review that began in September.
Consultation on the proposals, which would leave the PLC with four print sites, is ongoing.
Reach also acquired the remaining 50% stake in Independent Star, owner of the Irish Star.
Chief executive Jim Mullen commented: “The headwinds from COVID-19 have been considerable, but while we remain mindful of potential impacts from the current lockdowns, we approach the end of the year with a strong and growing digital business, resilient print circulation sales, and a new, efficient operating model.”