Fairfax had some good news for shareholders yesterday, posting an increase in underlying earnings of 37%, and a return to profitability.
Cost cutting and a rise in digital advertising revenue have played their parts in the $149 million interim profit. Analyst forecasts suggest a full-year growth in earnings is ahead, though the Fairfax chief executive was careful to point out that booking cycles remained short, and he wouldn t commit to the recent improvement in advertising being a described as a permanent trend.
The Fairfax share price was up two cents at $1.805 at the end of trading yesterday, and the interim dividend was cut from 2c to 1.1c a share.
Elsewhere in media companies, James Packer s Consolidated Media Holdings saw an 11.6% drop in first-half profit.
Fairfax Media
ASX Code: FXJ
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For more on this news story:
- The Age: Resurgent ad market lifts Fairfax
- The Australian: Fairfax cuts costs and makes money online for a turnaround profit
