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Reach PLC on Tuesday said it remained confident in delivering full-year guidance despite continued depressed conditions in the advertising market. The publisher, which owns national titles like the Mirror, Express plus regional brands such as the Manchester Evening News, said group revenue fell 2.5% in the third quarter to September 30 from a year prior, taking the year-to-date drop to 4.3%. Digital revenue increased by 2.5% in the quarter on-year, but print revenue fell 3.9%, including a 9.1% decline in advertising sales. Circulation revenue decreased 1.9%. Reach said digital revenue growth reflected strong digital trading, with the improved yield compensating for the page view volume decline of 5% year-on-year. Data-driven revenue grew 10% and now represents 46% of digital revenues, up from 43% on-year. In Print, circulation revenue remains ‘predictable,’ with cover price increases and strong promotional activity mitigating volume headwinds. Print advertising revenue continues to outperform volume declines, bolstered by demand from retailers, the firm said. Looking ahead, Reach said it remained ‘confident in delivering expectations for the full year’, expecting further digital growth in the fourth quarter. Reach said a company compiled consensus for full-year adjusted operating profit is £97.7 million. The company said it remained ‘focused’ on costs and is ‘tracking slightly ahead of the 5% to 6% cost saving target’ set at the start of the year. Shares in Reach rose 1.4% to 95.10 pence each in London on Tuesday. Copyright 2024 Alliance News Ltd. All Rights reserved.
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