15 October
2024
Reach plc ("The Company") Q3 Trading update for the
3-month period to 30 September 2024
Confident in delivering expectations for the
full year
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Q3 YOY %1
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9 Months YOY %1
|
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Digital revenue
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2.5
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0.0
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|
Print revenue
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(3.9)
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(5.4)
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·
Circulation revenue
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(1.9)
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(3.0)
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·
Advertising revenue
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(9.1)
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(10.8)
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Group
revenue
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(2.5)
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(4.3)
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Digital revenue grew 2.5% over the quarter as a
result of strong digital trading, with the improved yield
compensating for the page view volume decline of 5% year-on-year.
As previously communicated, advertisers brought some of their spend
forward to June and July to align with key events, including the
European Football Championships. Our Customer Value Strategy
is driving higher levels of data-driven revenues which creates more
valuable advertising for our partners. Data-driven revenues grew
10% and now represent 46% of digital revenues (FY23: 43%).
In Print, circulation revenues remain predictable,
with the teams managing cover price increases alongside strong
promotional activity to mitigate the volume headwinds. Print
advertising revenue continues to outperform volume declines,
bolstered by demand from retailers.
Outlook
We remain confident in delivering expectations for
the full year2. We continue to monitor the impact from
the tech platforms' actions on referral volumes, and we expect
further digital growth in Q4. We remain focused on costs and we are
tracking slightly ahead of the 5-6% cost saving target we set at
the start of the year.
Jim Mullen,
Chief Executive
"Our Customer Value
Strategy continues to drive revenue diversification and has helped
us navigate the dynamic media backdrop. We continue to make good
progress with our investments including our US expansion, the
re-platforming of our websites and our in-house ad tech platform,
Mantis.
While the quarter
saw big news events such as the Olympics and developments in the US
elections, it also highlighted the importance of trusted news
sources to responsibly report on tragic events such as in
Southport, especially in the wake of disinformation and social
unrest."
Notes:
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1
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The results have been prepared for
the 3 month period ending 30 September 2024 and the comparative
period has been prepared for the 3 month period to 24 September
2023. There is one additional trading day within the 3 month and 9
month period. No adjustment has been made for this.
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2
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Market expectations compiled by the
Company are an average of analyst published forecasts - consensus
adjusted operating profit for FY24 £97.7m.
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3
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As a reminder the comparative periods
for Q423 and FY23 will include an additional trading week compared
to Q424 and FY24. The like-for-like results will also be disclosed
at the Full year results on Tuesday 4 March 2025.
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Enquiries
Reach
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Jim Mullen, Chief Executive
Officer
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Lija Kresowaty, External Communications
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communications@reachplc.com
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Jo Britten, Investor Relations
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+44 (0)7557 557447
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Teneo
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reachplc@teneo.com
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David Allchurch/Giles
Kernick
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+44 (0)207 353 4200
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About
Reach
We're Reach plc, the UK's and Ireland's largest
commercial news publisher. We're home to more than 120 trusted
brands, from national titles like the Mirror, Express, Daily Record
and Daily Star, to local brands like MyLondon, BelfastLive and the
Manchester Evening News, to our recently launched U.S. titles.
Every month, 47 million people come to us, via print and online,
for trusted news, entertainment and sport.
LEI: 213800GNI5XF3XOATR61
Classification: 3.1 Additional regulated
information required to be disclosed under the laws of the United
Kingdom