In the six months to 30 January sales were down 6.3% to 208.8m, while 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 exceptional costs relate 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, though St Ives net cash resources "remain substantial".

Chairman Miles Emley said trading conditions remained "extremely challenging" in all markets other than books, where sales, including exports to Europe, grew. He said the group's cost base would be "kept under review".

In the UK magazine sector profits and sales were down on the same period year-on-year.