APN print profits plummet

Compounding the slump in earnings for the printing division was the fact that print accounted for seven per cent of the company's operating revenue but only one per cent of its overall earnings.

While APN's printing division might have suffered during 2005, operations are otherwise going gangbusters with profits rising 16 per cent to reach $149.7 million, representing the fourth consecutive year of double-digit growth for the company. Revenues grew 7 per cent to $1.36 billion.

Brendan Hopkins, chief executive of APN, says the results show that the company performed extremely well in 2005, particularly with its publishing division whose profits blew out by 10 per cent to reach $222.3 million.

“We have continued to launch new publications and radio stations into growing markets, building on strong existing operations and infrastructures,” says Hopkins.

Earnings for APN's regional publishing division by 12 per cent in 2005, with magazines launched in new market segments and eight daily titles redesigned with new editorial sections.

APN holds the title for New Zealand's most widely read metropolitan newspaper with the New Zealand Herald, and its reach in the market was extended by a number of new product and supplement launches during 2005.

Hopkins claims the company is well on the way to repeating its success during 2006.

“Whilst it is too early to predict a fifth consecutive year of double digit earnings growth and given a continuation of current conditions, the board believes that further significant earnings growth for the year of at least five percent looks likely,” says Hopkins.