(Alliance News) - Daily Mail & General Trust PLC on Thursday reported a big drop in profit in its most recently ended financial year, due to an absence of one-time gains made a year before, whilst revenue remained broadly stable.
The owner of Daily Mail and other UK newspaper titles reported a substantial reduction in its pretax profit for the year to the end of September to GBP134.3 million from GBP706.5 million a year ago, with revenue remaining broadly flat at GBP1.34 billion.
DMGT explained that a year earlier it had benefited from gains on disposals, including those made by associates. The biggest of these was the USD364 million sale of energy information business Genscape.
Adjusted pretax profit - which excludes gains and losses on the revaluation of investments - was GBP145 million, a decrease of 21% year-on-year. Underlying pretax profit - which excludes exceptional items - was up 19%.
Revenue from business-to-business media declined 4% on a reported basis but rose 2% on an underlying basis. From consumer media, revenue rose 3% on a reported basis and 2% on an underlying basis.
DMGT declared an annual payout of 23.9 pence a share, up 3% year-on-year.
"We have continued to deliver successfully against our three strategic priorities of increasing portfolio focus, improving operational execution and maintaining financial flexibility," said Chief Executive Paul Zwillenberg.
He added: "We will continue with our active portfolio management approach, focusing on those assets that have the potential to drive good returns through strong cash flow generation and growth in capital value."
The stock was trading 4.3% higher in London on Thursday morning at 832.00p a share.
By Evelina Grecenko; evelinagrecenko@alliancenews.com
Copyright 2019 Alliance News Limited. All Rights Reserved.