Reach (RCH)

Sector:

Media

Index:

FTSE Small Cap

77.10p
   
  • Change Today:
    -2.15p
  • 52 Week High: 353.50
  • 52 Week Low: 67.05
  • Currency: UK Pounds
  • Shares Issued: 316.06m
  • Volume: 231,847
  • Market Cap: £243.68m

Reach beats profit forecasts after Express and Star acquisition

By Duncan Ferris

Date: Monday 25 Feb 2019

LONDON (ShareCast) - (Sharecast News) - Daily Mirror owner Reach climbed on Monday after its profits beat forecasts following its acquisition of the Daily Express and the Daily Star titles.
For the year ended 30 December the newspaper, magazine and digital publisher reported profit before tax of £141.9m, up 15.8% compared to the year before, after revenue increased by 16.2% to £723.9m.

The £126.7m acquisition of Northern & Shell's publishing assets, namely the Daily Express and Daily Star titles, contributed revenue of £159.5m, helping to offset "a significant increase in the price of newsprint".

This meant that on a like-for-like basis revenue fell by 6.6% with publishing revenue dropping by 6.9%, with publishing print revenue falling by 8.7% and digital revenue up by 5.3%.

However, the publisher reported that it delivered structural cost savings of £20m, £5m ahead of its original target of £15m, as synergy cost savings of £3m were delivered from the integration of Express & Star.

In the current year, the company said it expects further structural cost savings of £10m as well as incremental synergy cost savings of £12m from integrating Express & Star, keeping the company on track to deliver at least £20m of annualised synergy cost savings by 2020.

The London-listed company had cash and cash equivalents of £19.2m at the end of the period, up from £16.0m at the same point the year before, and proposed a final dividend of 3.77p per share, bringing the total dividend for the year up 5.9% from the previous year to 6.14p per share.

Simon Fox, chief executive of Reach, said: "I am pleased with the performance we have delivered in 2018 and encouraged by the stronger finish to the year. We have begun 2019 in a strong financial position with good momentum on the integration of Express & Star and with clear plans for digital growth."

Reach's shares were up 5.39% at 60.60p at 1226 GMT.

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Reach Market Data

Currency UK Pounds
Share Price 77.10p
Change Today -2.15p
% Change -2.71 %
52 Week High 353.50
52 Week Low 67.05
Volume 231,847
Shares Issued 316.06m
Market Cap £243.68m

Reach Star Ratings

Compare performance with the sector and the market.
more star ratings
Key: vs Market vs Sector
Value
96.91% above the market average96.91% above the market average96.91% above the market average96.91% above the market average96.91% above the market average
100.00% above the sector average100.00% above the sector average100.00% above the sector average100.00% above the sector average100.00% above the sector average
Price Trend
74.89% below the market average74.89% below the market average74.89% below the market average74.89% below the market average74.89% below the market average
81.13% below the sector average81.13% below the sector average81.13% below the sector average81.13% below the sector average81.13% below the sector average
Income
99.07% above the market average99.07% above the market average99.07% above the market average99.07% above the market average99.07% above the market average
100.00% above the sector average100.00% above the sector average100.00% above the sector average100.00% above the sector average100.00% above the sector average
Growth
5.61% above the market average5.61% above the market average5.61% above the market average5.61% above the market average5.61% above the market average
7.69% above the sector average7.69% above the sector average7.69% above the sector average7.69% above the sector average7.69% above the sector average

What The Brokers Say

Strong Buy 4
Buy 0
Neutral 1
Sell 0
Strong Sell 0
Total 5
strong_buy
Broker recommendations should not be taken as investment advice, and are provided by the authorised brokers listed on this page.

Reach Dividends

  Latest Previous
  Interim Final
Ex-Div 11-Aug-22 12-May-22
Paid 23-Sep-22 10-Jun-22
Amount 2.88p 4.46p

Trades for 07-Oct-2022

Time Volume / Share Price
16:22 768 @ 77.10p
16:22 1,148 @ 77.10p
16:22 28,973 @ 77.30p
16:22 1,516 @ 77.30p
16:22 5,465 @ 77.30p

Reach Key Personnel

Chair Nick Prettejohn
CFO Simon Fuller
CEO Jim Mullen

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