Independent News & Media today reported a 13 per cent rise in annual pre-tax profits. This is slightly behind expectations and its cautious outlook disappointed traders.
The company posted profit of euro 155.3 million on a 15 per cent increase in turnover to euro 1.34 billion.
By 8.50 a.m. the shares were off 3 per cent in London to 176p and 1.7 per cent down in Dublin at euro 2.80.
The company said revenue growth was most pronounced in the British market. Circulation of British daily The Independentand its Sunday sister rose to its highest since 1997, the company said.
But revenues out of Australia and New Zealand were around 5 per cent behind expectations while Irish revenues came in 2 per cent short of forecast.
"There's not a lot to hang on to here and the outlook is very watery. I don't think we'll be seeing any earnings upgrades on the back of these numbers," one Dublin-based trader said.
Independent said that in response to a rapidly changing market environment it had rationalised its spending on new media but added it remained committed to extending its traditional brands into the digital arena.
New media yielded revenues of euro 7.7 million - representing 0.6 per cent of group turnover - and losses of euro 10.0 million versus euro 2.8 million in 1999 - a figure it said was below expectations.