Centaur Media: Digital growth but trading conditions 'challenging'

The outlook for the business publishing division of Centaur Media in the second half of the financial year is said to be "relatively uncertain" for its products which are advertising-led, the company reported in an interim management statement today.

In particular the publisher said "the marketing, legal and financial communities continue to see weakness in advertising revenues", while "the HR and engineering communities have reported good rates of underlying growth".

"This division continues to benefit from the cost savings arising out of the major rationalisation in 2012".

The company reported 'strong momentum in growing digital' revenue, for the four months ending 31 October, with digital revenue now accounting for 38 per cent of overall revenue. Across the group overall reported revenue was up 14 per cent.

However underlying revenues fell by 4 per cent "reflecting the impact of stronger comparatives and continued market weakness affecting advertising revenues".

Chief executive Geoff Wilmot added in the statement: "We have seen a significant improvement in our revenue profile and cost base at the start of the 2013 financial year, and the business has demonstrated strong momentum in growing its revenues from digital and events.

"Whilst trading conditions remain challenging in some markets, we are well placed to deliver further growth in 2013 and continue to make good progress towards our medium-term targets. We anticipate trading to be in line with our expectations for the current financial year."

Earlier this year Centaur Media announced the closure of the print edition of The Engineer to instead "focus all of editorial and commercial resources on growing the website and other digital products". Back in 2011 it also announced the scrapping of print editions of the Design Week and New Media Age.

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