Grazia on target as Emap says profits rise 5%

LONDON - Emap said its new women's magazine Grazia is on target in terms of sales as pre-tax profits at Emap rise 5% to £205m on turnover of £1.07bn on the back of a strong performance in the UK consumer magazine sector.

Turnover was up 2% to £1,068m as Emap's dividend-a-share rose 6% to 24.9p.

Emap said Grazia is on target to succeed in terms of sales and audience while men's weekly Zoo has now joined Heat, Closer and FHM in the UK's top 20 magazines.

Emap chief executive Tom Moloney said: "We have started the new financial year well, and although the economic outlook is uncertain, we are in line to deliver against our full-year expectations."

Emap said that its radio business remains difficult with its key radio airtime trading described as "reasonable" and television airtime performance dubbed "weak". 

"In radio advertising, Emap is outperforming a weak market, with a modest year-on-year decline in April but growth expected for the group across the first quarter as a whole," Emap said.

Howebver, Emap was hit by continuing difficulties at its French TV listings titles with trading remaining volatile.

"French newsstand revenues are still being affected by year-on-year declines in the TV listings titles, although sales are now more stable week to week. There is some weakness across the rest of the portfolio," the company said.

Emap took the full-year results as an opportunity to announce that is investing £9m in the launch of a new weekly magazine in France, although no more details were given.

The company said it was confident of achieving full-year expectations. Shares in the company, listed on the London Stock Exchange, were trading up by 26p first thing this morning, to 791p, a rise of 3.4%.

Seperately, Emap has appointed Alan Cathcart and Rita Clifton as non-executive directors.

Cathcart is currently chairman of the Rank Group, Palletways Group  and Avis Europe while Clifton is chairman of Interbrand, a non-executive director and non-executive chairman of Times Pollstar, part of Populus.

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