LONDON (Alliance News) - Daily Mail and General Trust PLC Thursday lowered its expectations for its full year, citing a weaker UK print advertising market and challenging financial market conditions it experienced in its third quarter.
The media and business information company now expects its full year results to be towards the lower end of market expectations.
According to consensus forecasts from eight brokers provided by Morningstar, DMGT is expected to post a pretax profit of GBP284.8 million for its full year.
On a reported basis the company saw revenue rise 2% for the quarter to end-June, however, on adjusted basis, meaning at constant currency and stripping out costs including sales, acquisitions, closures and non-annual events, revenue fell 1%.
Underlying revenue in its dmg media segment fell 3%, hit by lower circulation revenues and a "marked deterioration" in the UK print advertising market in the quarter. Total underlying advertising revenues across dmg media fell 6%, the company said.
Underlying revenue at its Business to Business segment rose 1%, as growth in its Risk Management Solutions, information and events businesses were offset by a decline in revenue at Euromoney Institutional Investor PLC, where trading conditions have shown "no sign of improvement"
Its delayed software-as-a-service platform RMS(one) remains on track to be released in stages starting by the end of the calender year, the company said.
By Hana Stewart-Smith; hanassmith@alliancenews.com; @HanaSSAllNews
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