Summary:

As advertising-funded publications collapse around it, income for DMGT-owned B2B publisher Euromoney’s subscription print and online titles…

As advertising-funded publications collapse around it, income for DMGT-owned B2B publisher Euromoney’s subscription print and online titles grew 35 percent in the six months to March 31. But that couldn’t stop it swinging to a pre-tax loss of £41.8 million thanks to restructuring costs and currency fluctuations.

Revenues were actually four percent higher at £160.7 million, but the financial publisher was hit by restructuring and impairment costs of £32.2 million, including a £19.9 million foreign exchange loss on tax contracts, £9 million due to currency fluctuations and £3.1 million for redundancy pay-outs. That wiped out the £15.1 million profit the company scored in the year-ago period.

But the fundamentals are sound – selling B2B subscriptions isn’t a problem for Euromoney. They now account for 47 percent of its revenue, up from just 27 percent five years ago, making its future far less reliant on the stormy advertising market. Which is handy – its advertising revenue dropped 10 percent from last year to £25.6 million.

The company says transferring its Metal Bulletin titles from print to online was a success and that it will be giving more of its titles a “web-first” publishing model. Euromoney isn’t alone in suffering short-term pain after making swingeing cuts – it’s made savings worth £13 million a year so far, and they will continue throughout the year. Chairman Padriac Fallon, <a href="Release.” title=”in the release”>in the release, “trading may get worse before it gets better, but we will be ready when the recovery begins.”

Meanwhile, fellow UK B2B publisher Centaur Media admitted in an interim management statement that trading in the year so far has been “very challenging” but that the company has offset the downturn through an “extensive cost reduction programme”. Centaur expects full-year trading to June 30 to be in line with its expectations, thanks in part to its investment in online. The company has re-negotiated its banking covenants with Royal Bank of Scotland and now has a revolving credit facility of £5 million until 2012. Release.

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