Daily Mail and General Trust shares drop but online advertising offsets print decline

 
Alys Key
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Print volumes and advertising dipped but online income grew (Source: Getty)

Shares in the Daily Mail's parent company Daily Mail and General Trust fell today as the group said its profit would be at the lower end of expectations.

But growth in advertising revenue for the MailOnline made up for a decline in print advertising sales.

In an update covering the eleven months to the end of August, the group said its underlying revenue grew one per cent, with the strongest growth in its events arm.

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But the company said pre-tax profit was likely to be towards the lower end of estimates. Shares were down two per cent today.

Print advertising for the Daily Mail and Mail on Sunday newspapers continued to decline, down 11 per cent. A decrease of volumes was offset by an increase in the cover price on both publications.

But the MailOnline attracted enough new advertising to make up for this, growing 22 per cent to add £19m to the total. Advertising revenues as a whole grew by an underlying two per cent.

The number of monthly unique browsers on the website was in line with last year, but this excluded the Mail's content on platforms such as Snapchat and Facebook.

Read more: MailOnline growth drives advertising boost for DMGT

Last week the group announced it would dispose of its Hobsons' Admissions business, streamlining its information and education section.

Today the company said this was part of a move to enhance financial flexibility, and that it would present an update on its overall strategic review during full year results.

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