The move signals a hardening of the group's attitude to the sector, which has witnessed severe price decline. It described prices as "unsustainable" in some of its markets.
"We are undertaking a complete review and will remove or replace work that is not economically beneficial," stated managing director Brian Edwards.
He said it was "not just about price" and that factors such as weekend scheduling, where St Ives was unable to cover the cost of overtime premiums, would also be taken into account.
St Ives revealed the review as it announced interim results for the six months to 30 January. Sales slipped by 6.3% to 208.8m (or 4.4% taking into account currency fluctuations), but the group achieved a modest improvement in underlying profitability as the benefits of its cost reduction actions flowed through. Pre-tax profit prior to exceptionals rose 2.6% to 17.1m.
Exceptional charges of 22.1m saw the group post an operating loss of 5.5m, the first loss in its 40-year history. The exceptional costs related to the closure of its Case-Hoyt business in the USA, announced at the end of January.
Further costs, including the 4m relocation of its Kent multimedia business and the 25m payment into its pension fund, came after the half-year.
Although books remained buoyant, chairman Miles Emley said conditions continued to be "exceptionally challenging... against that background we didn't do too badly".
A "rigorous review" of the cost base across all the group's divisions is ongoing, with "nothing ruled in and nothing ruled out".
Edwards' response to speculation regarding the long-term future of the Caerphilly web plant was: "It's the same as any other plant. If it makes a return it's fine. If not, it's not fine."
A 5m investment in Ferag bindery kit at Peterborough is underway, and further details of the installation will be released next month at Drupa. The installation will result in 50 redundancies in the plant's bindery.
There is no news yet on Peterborough's much-anticipated press hall upgrade. "Their kit, along with some of our other plants, is under review," Edwards said. "Investment will be subject to the supplier lowering the cost of production."
While the group remains confident of its long-term prospects, Edwards said the downturn was the "worst and most extended" since he joined the industry 25-and-a-half years ago: "Previous recessions didn't go on as long or affect as broad a range of products".
St Ives shares moved with the market and fell 2.5p to 384.5p after the interim results were revealed on 14 April. They have since slipped further and closed at 360.75p yesterday (21 April).
Summary: Mixed fortunes for St Ives
Books modest sales growth of 2.4%, export sales up
Direct response lower UK sales but improved margin due to higher added-value work mix
Financial Reduced losses in UK, but price pressure in R&A and fund markets due to new entrants. Cut workforce by further 20. Group will "sit it out in belief that market will come back".
Magazines volumes volatile, complete review to weed out "uneconomic" titles underway. 50 jobs to go at Peterborough because of 5m investment in new Ferag bindery kit
Multimedia market subdued, but "modest improvement" in financial performance
Germany sales flat, losses halved
USA market oversupplied, lower margins, Case-Hoyt closed this month with loss of 300 jobs
