'Irish Times' narrows losses, boosts reserves
Revenues at the 'Irish Times' fell last year as both advertising and circulation sales took a hit.
The newspaper group announced yesterday that its total sales in 2012 were €85.5m, a drop of 6pc in comparison with the year before.
Newspaper advertising revenue fell 6.1pc and revenue from circulation dropped 3.9pc.
Digital activities accounted for 8pc to 9pc of the group's total revenues. A new tablet offering is to be introduced shortly, replacing the existing 'Irish Times' e-paper.
Managing director Liam Kavanagh said the digitisation of the industry was one of the reasons behind the fall in advertising and circulation.
But he added that the company outperformed the market in terms of advertising.
Despite the decline in sales, net losses after charges and exceptional items still narrowed – a loss of €779,973 in comparison with a loss of €1.9m in 2011.
Cash reserves rose to €11.2m at the end of the year, according to the firm's balance sheet, from €10.3m the year before.
As the group's cost-reduction programme continued, its cost of sales fell 6.8pc to €54.6m while administration expenses fell 9.9pc to €13.4m. However, distribution costs rose 8.7pc to €11.8m.
Headcount also fell during the year. In 2012 the company employed an average of 447 people, down from 462 in 2011.