Associated Newspapers says: “The price of the Saturday edition and that of The Mail on Sunday remain unchanged.
The circulation of the Daily Mail has significantly out-performed the market throughout the last year; however, the continuing high cost of newsprint means it is necessary to increase the cover price of the newspaper. This is the first increase in the price of the Monday to Friday Daily Mail since April 2008.
In its Half Yearly Financial Report for the six months ended 3rd April, 2011, released on 26th May, DMGT reported that trading during April and the first three weeks of May had seen advertising revenues at Associated 5% below last year, despite the Royal Wedding and the fact that Easter had fallen within the period this year. DMGT also highlighted the expectation that the nervous consumer and retail market would continue through the summer and expressed caution about the outlook for the full year due to the volatile and uncertain market conditions faced by our UK consumer businesses.
Advertising revenues at Associated for the thirteen weeks to 3rd July, 2011 have been 7% below last year, with those for the five weeks of June down 9% against the backdrop of the fragile consumer economy which has meant continued uncertainty for the retail sector. Looking ahead, while the outlook remains uncertain, the July to September comparatives are less demanding. The cover price increase will mitigate some of the impact of the recent decline in advertising revenues.
Other than Associated, all wholly owned parts of the business are continuing to perform in line with previous guidance as reported on 26th May, 2011.”
