Dundee-based media group DC Thomson saw a rise in trading revenues of more than £10 million.
The family firm’s newspapers include The Courier, The Press and Journal and The Sunday Post.
Its magazine portfolio includes The People’s Friend, My Weekly, The Scots Magazine, Puzzler, Stylist, bunkered and Beano comic.
In the financial year ending March 31 2022, total revenues rose to £174.1 million from £160.2m in 2020-21. The company made pre-tax profits of £7.3m in the latest period.
DC Thomson said the increase in revenues was due to sales recovering from Covid-19 disruption and new digital sales streams.
However, the company has also been impacted by rising inflation.
“The return of events, growth in subscriptions and increased digital advertising sales all contributed to a strong year for the media business,” the firm said.
“Despite strong sales, margins were down 1% year-on-year as the impact of the pandemic, the war in Ukraine and rising inflation saw an £8m increase in the cost of raw materials, including paper.”
Digital subscriptions and adverts
The launch of the 1921 England and Wales census in January this year helped towards a £3m sales boost for DC Thomson’s genealogy business Findmypast.
The company also owns cloud computing business Brightsolid.
Revenue classed as circulation was down slightly, from £80m in 2021 to £78.6m.
However, the company highlighted the growth in digital subscriptions, which now exceed 25,000 for its newspaper brands.
“Circulation revenue, newspaper and magazine news stand sales, were marginally down on last year, but were largely compensated by increases in print and digital subscriptions,” the company added.
“DC Thomson continued to invest in the transformation of its media business, recruiting new talent and investing in digital skills and technology.”
DC Thomson takes ‘long-term view’
The accounts include losses and gains on the company’s investments.
In 2022 the company made a £32.8m gain on the disposal of its associate business Twig Education but overall saw a £33.9m reduction in the value of its investment portfolio.
Reflecting on the year, chairman Christopher Thomson said: “The impact of our transformation programme and the easing of disruption caused by the pandemic both contributed to an improved year of trading for DC Thomson.
“We saw encouraging growth in subscriptions, events and digital revenues with growth revenues outstripping the decline in traditional print revenues for the first time.
“The first half of this current financial year saw that growth continue but we, like all UK businesses, now face considerable economic headwinds.
“But we take a long-term view. We are confident that we have the right strategy in place and continue to invest in building the business for a sustainable future.”
DC Thomson history
DC Thomson has its origins in shipping entrepreneur of William Thomson in the early 19th century.
During the mid-19th century, the Thomson family invested in publishing, taking an interest in the Dundee Courier and buying it in 1886.
At that stage there were two major publishing houses in Dundee. The other was run by Sir John Leng.
In 1905, the Thomson and Leng firms merged under the leadership of William Thomson’s son David Couper (DC) Thomson.
Throughout the 20th century, it became one of the UK’s leading publishers.
Today the company uses insight and data to create content and experiences that connect strongly with customers and build loyal communities.
