According to Trinity Mirror plc:
Although the trading environment has remained challenging during the third quarter of the year, our continued focus on growing digital revenue and driving efficiencies, provides the Board with confidence that profit for the year will be in line with market expectations.
Group revenue on a like for like basis is expected to fall by 9% in the third quarter compared to a decline of 8% in the first half. Publishing revenue is expected to fall by 10% with print declining by 12% and digital growing by 11%. Publishing print advertising and circulation revenue fell by 21% and 6% respectively. Classified digital revenues, which are substantially jointly sold with print, remained under pressure but we delivered strong growth in digital display and transactional revenue of 24% as digital audiences continued to grow.
During the third quarter, the Group has:
* acquired 1.6 million shares for £1.5 million under the £10 million share repurchase programme announced in August;
* completed the sale of Rippleffect, a digital marketing services agency which was reported in our Specialist Digital division, for a cash consideration of £2 million. The business generated revenue of £5.7 million in 2015 and £3.4 million prior to its disposal in 2016 and will have no impact on profits for the year; and
* handed back four of the eight regional Metro franchises it operates to Daily Mail and General Trust plc with effect from 1 January 2017. These titles are expected to generate revenue of circa £10 million in 2016 with a minimal contribution to profits.
We continue to make good progress against our strategic initiatives and the business continues to deliver strong cash flows supported by structural cost savings of some £20 million for the year which is £5 million ahead of our initial target.
