Daily Mail owner raises profit outlook

DMGT posts rise in profit, shares up

Daily Mail and General Trust Plc (LON: DMGT) has raised its adjusted operating profit this year to £85m to £90m after an increase in advertising revenue.

The owner of Daily Mail, Mail Online the i and the Metro, said that it expects group adjusted revenue for the year to be between £1.205bn to £1.215bn.

Daily Mail and General Trust reported a stronger than expected September thanks to a growth in advertising revenue and its UK Property Information business, which “benefitted from an increase in property market transactions. This was aided by pent up demand, following some easing of lockdown restrictions, and the temporary reduction in UK stamp duty.”

Despite the strong results, the group said that economic repercussions remain “uncertain” surrounding the pandemic. The group said that new restrictions could impact its property, events, and consumer media divisions over the next year.

The company said that it had achieved this year’s results “without any government support, including furlough schemes.”

Earlier this year, Daily Mail and General Trust Plc warned that results would be impacted by the pandemic.

Chief executive Paul Zwillenberg said at the time: “Trading for the first five months of the financial year was in line with our expectations, but the impact of COVID-19 is likely to affect our business adversely.”

“I am confident, however, that the group’s diversified portfolio and strong financial position, with more than £700m of cash and bank facilities available, will enable us to withstand a sustained period of global economic uncertainty and continue to invest through the cycle.”

Daily Mail and General Trust Plc shares (LON: DMGT) are +3.70% at 700,00 (0920GMT).

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Safiya Bashir
Safiya focuses on business and political stories for UK Investor Magazine. Her interests include international development, travel and politics.