Daily Mail publisher DMGT has warned of uncertainty in the advertising market after seeing revenues from its regional newspaper division slump 12 per cent since the start of the year.
This compares to a six per cent fall in the previous quarter and has been partially blamed on tough comparatives owing to increased advertising spend in the run-up to the general election last year.
Recruitment advertising at local papers fared even worse, dropping 27 per cent.
However, overall revenue at the group was up five per cent.
National newspaper advertising rose four per cent, albeit slower than the six per cent growth in the previous quarter. Total revenues for Associated Newspapers were up three per cent despite a drop in circulation revenues. Both the Daily Mail and The Mail on Sunday continued to improve their market share.
Business-to-business operations – a standout performer for the group – showed a 10 per cent increase in revenues. Its events division also saw a spike in growth, with revenues up 11 per cent after a string of lucrative events including the New York International Gift Fair and the Adipec oil show in Abu Dhabi.
The company cut seven per cent of its staff in the five months to the end of February.
Advertising revenues from DMGT’s digital-only businesses, including Mail Online, which the firm bills as the world’s most popular newspaper site – rose four per cent.