Overall figures were up 17 per cent on the previous year, with basic earnings per share at 13.7 cents, an increase of 15 per cent.
APN operates 23 regional daily newspapers and more than 100 non-daily titles, which continued to trade well in the first half in both Australia and New Zealand. Excluding new product initiatives, revenue increased by eight per cent and earnings before interest and taxes by 16 per cent.
APN chief executive Brendan Hopkins says this performance was key to the company’s overall good results.
Real estate advertising recorded strong revenues, as did employment advertising, which increased 36 per cent in Australia and 30 per cent in New Zealand, following a unified employment section across all APN’s main titles.
New non-daily products were introduced in the high growth Sunshine Coast and south-western Brisbane areas, leveraging existing infrastructure in Maroochydore and Ipswich.
APN also publishes the four fastest growing daily newspapers in Australia (Mon to Sat average): The Daily Examiner (3.4 per cent), The Daily Mercury (3.1 per cent), News Mail (2.9 per cent) and The Gympie Times (2.2 per cent) and now owns seven out of the 10 fastest growing newspapers in Australia.
Circulation for New Zealand Regional Newspapers was also positive. APN publishes the two fastest growing newspapers in New Zealand – Bay of Plenty Times (1.6 per cent) and the Wanganui Chronicle (1.4 per cent). Bay of Plenty Times has consistently been the fastest growing newspaper in New Zealand over the past three years.
The $35m new printing facility announced last year on the Sunshine Coast at Yandina, is on target to be operational mid 2006. This facility will service the high growth South East Queensland market well into the next decade. In conjunction with the press investment, a $14m prepress system upgrade is being rolled out across all Australian regional centres.
Hopkins says early results for the second half are as anticipated with underlying growth rates moderating as trading is set against the strong 2004 second half comparisons.
“The board of APN continues to believe that, providing current trading conditions continue, the objective of double digit profit growth for the year as a whole will be achieved,” says Hopkins.
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