Johnston Press trading boosted by pick-up in digital advertising

Newspaper publisher Johnston Press (LON:JPR) saw a boost in both digital and classified advertising revenues in 2017, despite the year’s “challenging” trading conditions.

In an update to the markets on Friday, the Johnston Press board said it expects trading for the full year to be in line with market expectations. Total revenues for the period, including the recently acquired i newspaper, were up 0.2 percent.

The group also saw a major boost in advertising revenues, with digital revenues up 10 percent, and an overall rise of 3 percent including classifieds.

Johnston’s investment in the i newspaper has continued to pay off, with newspaper sales volumes up 4 percent in the 12 months since its acquisition. Circulation revenues rose 23 percent and average website unique users grew 12 percent from February 2017 to March 2017.

Circulation volumes of its other key daily newspapers, The Scotsman and Yorkshire Post, also improved. However, the Board noted that “trading conditions for regional newspapers in the UK remain challenging and, while encouraged by improving trends across the Group, the management team continues to take actions to manage its costs tightly.”

Despite the encouraging figures, Johnston shares are currently down 1.34 percent at 14.55 (1028GMT).