|  Updated: 

Daily Mail owner on track as Mail Online growth props up revenue

By:

Add as a preferred source on Google
An arranged photograph shows a copy of today's Daily Mail newspaper, pictured in a coffee shop in central London on March 28, 2017, featuring on its front page a picture of Britain's Prime Minister Theresa May and Scotland's First Minister Nicola Sturgeon. Britain's Daily Mail newspaper faced a backlash Tuesday for comparing the legs on show when British Prime Minister Theresa May and Scottish First Minister Nicola Sturgeon held talks. While the two leaders clashed over Brexit, which May is set to trigger Wednesday, and Sturgeon's push for another Scottish independence referendum, the Mail spun it as a battle of the legs and focused on what could be read into their outfits and body language. / AFP PHOTO / Justin TALLIS (Photo credit should read JUSTIN TALLIS/AFP/Getty Images)

Daily Mail and General Trust (DMGT) today said it is on track for full-year trading in line with expectations, as strong growth for Mail Online offset a decline in business to business revenue.

The publishing group posted a two per cent decline in revenue in the nine months to June after a mixed performance across its portfolio of titles

Read more: Shares in Daily Mail owner jump on profit boost as streamlining strategy pays off

Revenue from DMGT’s consumer division, which includes the Daily Mail and Mail Online, grew three per cent over the period, boosted by a rise in advertising income.

Revenue from the Daily Mail declined two per cent, mitigated by an increase in the cover price of the weekday edition from 65p to 70p in September.

Geordie Greig took the reins at the firm’s flagship paper in September, following editor Paul Dacre’s departure after 26 years at the helm.

DMGT said the strong trading from its consumer titles meant it now expected consumer revenue to be stable for the year, rather than the single-digit decline previously forecast. The firm also increased its profit margin forecast to roughly 10 per cent.

But the publisher’s overall figures were weighed down by sluggish results from its B2B division, which posted a revenue decline of six per cent.

DMGT said the revenue dip was a result of disposals over the period, partly offset by a stronger US dollar.

In April the company returned its 49 per cent stake in business media firm Euromoney to shareholders, boosting Lord Rothermere’s stake in his media empire.

The firm said the disposals, which came as part of a simplification strategy, also helped cut net debt to £77m, compared to £146m at the end of March.

Read more: Daily Mail shares jump following Euromoney shareholder giveaway

Chief executive Paul Zwillenberg said the firm had delivered a “robust performance” over the period.

He said DMGT’s outlook for the full year was unchanged and in line with expectations.

Main image credit: Getty