DMGT trading ahead of expectations

Newspaper publisher Daily Mail General Trust (DMGT) has said that it is trading ahead of expectation in its interim management statement for the third quarter.

Both business-to- business and consumer media income has increased year-on-year in the last quarter to 4 July 2010, the company said.

DMGT has also announced that long-time finance director Peter Williams will retire in March 2011.

DMGT is expected to record a turnover of £508m, down 2% on last year when it announces its results next month.

Chief executive Martin Morgan said: "Trading in the third quarter has continued to reflect the generally positive trends in our international B2B and UK consumer media businesses, although we remain wary about the medium-term outlook, particularly in the UK.

"Our significant exposure to non-UK markets leaves us well positioned to continue to deliver profitable organic growth over the longer-term."

B2B turnover was £234m, up 8% on the same period last year, while consumer media saw a 1% increase when compared to the same period.

Associated Newspapers' revenue dropped 4%, with circulation revenue for the publisher's titles down by 2%; however advertising increased by 6%. Regional publisher Northcliffe Media had a 6% drop for the quarter, with advertising down 7% and circulation dropping 6%.

At the same time as the results, 28-year DMGT veteran Williams intended to retire as company finance director, a position he has held since 1991. He will be replaced by Stephen Daintith, who is currently chief operating officer at Dow Jones.

DMGT owner Lord Rothermere said: "Peter has made a tremendous contribution over the last 19 years as finance director, making him one of the longest serving finance directors in the FTSE - a testament to his ability, loyalty and dedication.

"On behalf of the Board, I would like to thank Peter for his outstanding contribution and leadership and to wish him the very best in his retirement."