APN expects results for first half of 2008 to be in line with last year

APN, INDEPENDENT News Media’s Australian associate, expects results for the first six months of 2008 to be in line with the same period last year.

In a trading statement issued yesterday, the company said results for the six months to yesterday would be in line with 2007.

“Despite generally tighter trading conditions, on a constant currency basis, revenue for the six months will be 2 per cent ahead of the prior year,” the statement said.

“Net profit after tax (before non-recurring items) will be broadly in line with the same period last year. Operating earnings will be marginally behind last year’s record result due to the increased costs of investment projects.”

In the first six months of 2007, APN had record profits of €45.1 million.

Independent News Media has a 38.5 per cent stake in the Australian group.

APN chief executive Brendan Hopkins said yesterday that revenues from the company’s outdoor advertising and Australian publishing businesses were comfortably ahead of 2007, while its New Zealand businesses were slightly behind.

He added that online operations continued to record strong revenue growth.

Meanwhile, Jagran Prakashan Ltd (JPL), in which the Independent group has a 20.8 per cent stake, published full-year results yesterday, showing profits after tax were up 28.7 per cent at €17.2 million.

JPL, which publishes India’s biggest circulation newspaper, Dainik Jagran, said operating revenues were up 25.3 per cent at €131.4 million in the 12 months to March 31st last.

Profits after tax were €17.2 million, an increase of 28.7 per cent on 2007. Earnings per share also increased 28.7 per cent, to 3.7 cent.

Revenues in the final quarter of its 2008 financial year – January 1st to March 31st – were €31.8 million and earnings before interest, tax and write-offs were €5 million, an increase of almost 10 per cent.

During the year JPL completed a share split, dividing stock worth 10 Indian rupees (15 cent) into units with two rupees to give small investors an opportunity to buy into the business.

The company said a recent survey confirmed that Dainik Jagran had the highest readership in India, with 56.6 million readers across all languages.

It launched six new editions for different regions during the period, and entered a joint venture with Television 18 India Ltd to produce a business paper in Hindi and other languages.

Chairman and managing director Mahendra Mohan Gupta said that, despite inflation and a slowing economy, he was confident the company would continue to deliver.