Future Publishing will continue to focus on digital as its print business declines in the US and UK.
Group revenues for the nine months to June 30th, 2011 has dropped five per cent year-on-year. UK circulation revenues have fallen three per cent.
It’s not all bad news, at UK digital revenues have topped 1m, which has helped overcome a drop in print advertising. As a result, the UK business is expected to deliver earnings before tax in-line with predictions.
No such luck for the US business, which is likely to suffer an earnings loss for the full year that is 2m worse than expected.
As a result, the company will transform its US business to being primarily digital based, while the UK business wil be re-organised to ensure ‘faster adaptation to digital and more efficient execution of print’.
Because of this, the Future Publishing board says a one-off cost of 3.5m will be incurred for 2011.
Future operates many of the UK’s biggest games publications, including the Official Nintendo, Xbox and PlayStation magazines and website CVG.
The company last week closed its FirstPlay on-console PS3 show to be replaced by a new free offering.