Digital revenues at Reach plc, which publishes the Manchester Evening News and Liverpool Echo among many other local and national print and digital titles titles, have returned to growth in the full year to December 31, 2024.
Total revenues fell by 5.3% to £538.6m, but pre-tax profits improved, from £36.7m the previous year to £62.8m. Net debt rose from £10.1m to £14.2m, adjusted, while the annual dividend was unchanged at 7.34p per share.
Reach said print revenue was down 7.3% at £406.7m, while digital revenue returned to growth at £130m, up 2.1%. Digital advertising yields grew 19%.
Chief executive Jim Mullen said: “Our good performance in 2024 saw our digital business move back to growth, driven by our Customer Value Strategy and diversification into areas like affiliates and ecommerce.
“Our use of data allowed us to drive greater value from our digital content, increase engagement and deliver better performance for our advertisers. We continue to demonstrate expert management of our print business, maximising revenue and reader value, while maintaining our focus on costs across the business.”
READ MORE: Emmerdale and Coronation Street star dies – ‘reunited’ with beloved Countdown legend
He added: “The media landscape has continued to evolve, and the year saw us adapt our own proposition with the introduction of the Content Hub and increased video capability.
“Our audiences have responded positively, demonstrating support for our offer and for the value of free-to-access, advertising-funded journalism that informs, is reliable and gives them a voice. We are well placed for 2025.”
Analyst Jonathan Barrett, at investment bank Panmure Liberum, was cautiously optimistic about the results. He said: “Underpinning this performance is a move into growth for page views in Q4. Data-driven and more focused content creation is driving better engagement and an improved user experience. This compounds the effect of the ad monetisation optimisation strategy. We expect 2025 page views to see the benefit given the soft comps, however [Reach] probably won’t get to monetise the full benefit given the UK ad market has had a soggy start to 2025 and the outlook is now understandably marred by macro concerns.
“While we take a more cautious revenue approach active management of the cost base sees us nudge up our EBIT estimate by 1%, a reflection of just how in control management are of the business and expectations. This should provide some welcome relief given Trumpian macro concerns.”
