Guardian News & Media reports losses of £30.9m

Guardian News & Media, home to The Guardian and Observer newsbrands, is said to be "heading in the right direction" following annual losses of £30.9 million in the year to 31 March.

Guardian News & Media: publisher's earnings show marked improvement
Guardian News & Media: publisher's earnings show marked improvement

The publisher's earnings before interest, tax and amortisation figure are a marked improvement on the £44.2 million losses GNM posted a year earlier, and comes on the back of £17 million cost savings and a 28.9 per cent rise (£10.2 million) in digital revenues to £55.9 million.

The reduction in GNM's operating loss was helped by cutting £9 million from print costs, including a reduction in pagination following a redesign, as well as nearly £3m savings from editorial budgets, with 60 of its 650 editorial staff leaving under a voluntary redundancy programme - 40 fewer than had been initially pursued last year.

Print revenues for The Guardian and Observer dropped £11 million in the year, following falls in advertising and copy sales. Overall revenues increased slightly to £196.3 million, up from £194.4 million in 2012.

Today's annual results complete the second year of GNM's five-year transformation programme, which has among its stated aims, the target of taking £25 million out of its cost base by the end of 2015/16.

Dame Amelia Fawcett, chair of Guardian Media Group, reiterated her belief that no publisher had yet found a definitive answer to the question of how to secure a sustainable future for quality journalism.

However, Fawcett said the group's performance over the past year, suggested "we are heading positively and confidently in the right direction".

She added: "At Guardian News & Media, the programme to reduce losses to a sustainable level over a five-year period remains on track, with a significant reduction in operating losses in 2012/13.

"The programme combines investment in the digital future with a targeted reduction in the cost base. This has meant some very difficult decisions, particularly on staffing levels.

"It is vital however, to press ahead with these measures if we are to complete the transformation of the business and so secure the future for the company, for the talented people who work here and for the principles on which the organisation stands."

Have your say...

Before commenting please read our rules for commenting on articles.

If you see a comment you find offensive, you can flag it as inappropriate. In the top right-hand corner of an individual comment, you will see 'flag as inappropriate'. Clicking this prompts us to review the comment. For further information see our rules for commenting on articles.

comments powered by Disqus
Media Week Jobs
Search for more media jobs

Latest

PHD co-founder Jonathan Durden reflects 25 years on

PHD co-founder Jonathan Durden reflects 25 years on

Who knew that a global phenomenon could be spawned from such humble beginnings? PHD co-founder Jonathan Durden takes a trip down memory lane.

Share
Friday's lesson? We should all be more unprofessional

Friday's lesson? We should all be more unprofessional

What kind of time is 18:05 to you? Home time? Carry on working time? Bloody big glass of wine time? At Brand Republic we know it's often time to recoup, when the day's meetings are over and you can catch up on the most important developments of the day. Our 18:05 digest brings you the five things you need to know at the end of every day. Whether it's the top news stories, what's trending on social, what the wider media is saying or irreverent inspiration for your journey home - we've got it covered. And don't worry, we'll keep it short.

Share
#MediaWeek30 set for bumper issue and party on 29 April

#MediaWeek30 set for bumper issue and party on 29 April

Media Week's 30th celebrations are taking shape, offering the chance for the UK's vibrant commercial media businesses to get involved.

Share

Get news by email