Pearson (LON:PSON) profits grew 8% for the year, despite a fall in sales, as cost-saving initiatives took effect.

The educational publisher said adjusted operating profit for the year to 31 December 2018 was £546 million, despite underlying revenue declining 1% on a year-on-year basis.

The fall in revenue was attributed to “portfolio changes”. The firm is in the midst of a restructuring its business, as it turns it focus more towards digital publishing.

The firm also said it expects adjusted operating profits of between £590 million and £640 million in 2019.

The company also anticipated cost cuts of £130 million, placing around 1,500 jobs at risk.

John Fallon, Pearson’s chief executive said: “We made good progress last year. We increased underlying profits, outperformed our cost savings plan and invested in the digital platforms that are making us a simpler, more efficient and innovative company.

He added: “We have a lot still to do, but we expect company-wide sales to stabilise this year, and grow again in 2020 and beyond.”

Shares fell back in January after the company issued a trading update for the year, nothing a decline year-on-year revenues, as a result of a fall in sales of US Higher Education Courseware (US HECW) and US K12 courseware.

Pearson was founded 175 years ago in 1844, initially operating in Yorkshire under the name S. Pearson & Son.

Shares in the company are currently down -0.52% as of 11:38AM (GMT).