Mecom rocked by €42m loss

EUROPEAN newspaper group Mecom has posted a €42m (£33m) pre-tax loss ahead of a likely break-up of the business, a week after announcing that chief executive Tom Toumazis will leave.

Mecom, which owns papers in the Netherlands, Denmark and Poland, saw turnover fall by eight per cent to €492m due to a 15 per cent fall in advertising revenues in the first half of the year.

The group announced a “strategic review” last week when it revealed that Toumazis would step down in September.

Numis analyst Gareth Davie said there is a “high likelihood” that Mecom’s Danish and Polish operations will be sold.