Independent News & Media has reported pre-tax profits of €140.7m for the first half of this year, up more than 80% on the same period last year. Total sales were 9% higher at €800.8m.
The pre-tax profit figure was boosted by exceptional profits of €37.7m - including €62.7m from the sale of its stake in mobile services group iTouch and also costs of €22.7m linked to the closure of its print facility in Terenure in Dublin. Operating profits before exceptional items were 12% higher at €141m.
Earnings per share jumped by 167% to 12.09 cent and there will be a 25% higher interim dividend of 3.75 cent. Advertising revenues at its newspaper titles were 12.4% higher, while circulation revenues were up 5.5%.
Chief executive Dr Tony O'Reilly said the company was confident of delivering double-digit percentage earnings growth for 2005.
In Ireland, profits grew by 16% to €44.7m, with total revenues up 9% to €207m. Advertising revenues rose by 14.6%, helped by strong property and recruitment advertising. Circulation revenues were 2.7% higher. Ireland chief executive Vincent Crowley told RTE radio said there were no plans for the Irish Independent to go fully compact. He also said the company was ready to counteract any competition from a new freesheet.
Profits at APN in Australia and New Zealand, in which Independent has a 40% stake, were up 8% to €81.6m, while profits in South Africa grew by 29% to €15m as business and consumer confidence remained high.
In the UK, revenues climbed by 4% to €104.3m. Strong advertising growth in its national titles was partly offset by a decline in recruitment advertising in the magazines division. Profits were flat at €5.8m, though the group says they were 8% higher in sterling terms.
Shares in the company closed four cent lower at €2.50 in Dublin this evening.
