Emap boosted by celebrity titles as profits rise

LONDON - Celebrity magazine publishing continues to pay off for Emap, driving strong circulation revenues and buoyant advertising revenues as the group reported upbeat interim results with pre-tax profits up 23% to £86m.

The consumer division, Emap Consumer Media, which comprises Emap's women's, young women's, celebrity, men's, automotive and special interest consumer titles in the UK, as well as FHM internationally, reported a strong first half with revenues up 6%.

Adjusting for an extra issue of FHM in the first half of last year, like-for-like UK circulation revenues increased strongly by 9% and like-for-like advertising increased by 5%.

The division was boosted by the strong performance of its celebrity title Heat, which in the ABC figures for the six months to June recorded a third consecutive triple-figure year-on-year increase of 103%, taking it to 478,924, with Emap claiming even stronger copy sales since then.

Emap group chief executive Robin Miller said: "We are pleased to be delivering an improved set of results in a difficult market. We've made considerable progress in the last 18 months in restoring stability, regaining confidence and positioning Emap for a successful future -- a future with real momentum."

Emap said Closer, the weekly women's title combining celebrity news with real-life human interest stories that launched with a budget of £10m this year, has been warmly welcomed by the newstrade.

Emap said that advertising revenue has been strong across most of the portfolio with Heat, New Woman, MCN, Max Power, Today's Golfer, Angling Times and Match all performing well.

However, it also noted the tough conditions faced in the men's fashion market by its Arena and The Face titles.

In the US, Emap said that FHM went from strength to strength in the first half, increasing its advertising rate base from 1.0m to 1.1m copies, with advertising up nearly 50% year-on-year. Emap said that its biggest launch to date is now on track to break even during the second half of the next fiscal year.

Emap said its exhibition business had experienced strong autumn growth, but its trade magazine publishing business was still experiencing tough display advertising conditions while recruitment advertising in the sector had stabilised.

Emap said that in its radio operations, London audiences had bounced back but that radio airtime sales were flat. Its growing TV business, however, appeared to be doing much better, with Emap reporting that TV airtime sales for its cable and satellite music stations, which include Smash Hits TV and Kerrang!, were exceptional.

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