The company reported post-tax profits of $4.94m for the six months to 31 December, off the back of flat revenues of $29.56m.

However, the company actually grew sales by 7% when taking into account its “strategic exit” from the Queensland sheetfed market at the end of 2009. The printing operation had contributed around $2m worth of revenue.

Mid last year, Wellcom sold off its stake in Adelaide-based web offset business Cadillac Printing to private interests controlled by Wellcom chief executive Wayne Sidwell (pictured).

Chief financial officer Julian Graham told ProPrint that the growth in pre-media was just an example of Wellcom sticking to its roots.

“The business has always at its core been a pre-media or data content business. We had service offerings that sat around that, be they web print, sheetfed, TV commercials or web development.

“We had a review of the business and we are able to go and buy those [printing] services at a competitive rate. So we can still give customers that product offering but have aligned the business so its doesn’t have to invest the capital on what is a comparatively expensive business.”

Graham pointed out that Wellcom still has a substantial digital print offering via its HP Indigo 5000 and 7000 devices.

“We invested in the new 7000 in the past six to nine months. We see it as a part of our business that is digital.

“It has been growing for us, and the capital investment is not as great as on the sheet or web side,” added Graham.

Comment below to have your say on this story.

If you have a news story or tip-off, get in touch at editorial@sprinter.com.au.  

Sign up to the Sprinter newsletter