Updates

Reach - Plus products now over 30% of Digital

September 2022

Investing in shares may lose you all or some of your money. Past performance is no indication of future performance. Some of the shares recommended here may be small company shares, which can be relatively illiquid and hard to trade and this makes such shares more risky than other investments.

Reach again showed its mettle in tough advertising conditions with first half revenues declining 2% to £297.4m. However, a 7% rise in operating costs - chiefly a 54% hike in newsprint to £38.8m alone – meant operating margins declined almost 7% to 15.9%, leading to a one third decline in operating profit to £47.2m and eps to 12p.Digital revenue growth slowed to 5.4% year on year in H1, with Q2 flat, driven by a significant proportion of “brand unsafe” content due to the Ukraine war and a deterioration in wider market yields as weaker macro conditions caused advertisers to cut back. However, this was partially offset by strong performance in its data driven Plus products, with yields up to 10x OMP, and which now represents over 30% ...

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Ten Entertainment - Another ‘beat’ triggers 17% upgrade

Somero

Reach - Deutsche says “forecast risk firmly to the upside” (December 2024)

Reach - Operating margins soar 4% to 16.8% (September 2024)

Reach (June 2024)

Reach - Shares bounce 22% after results (April 2024)

Reach (December 2023)

Reach (September 2023)

Reach - Comparables to get easier in H2 (June 2023)

Reach - Data driven revenues up 56% (April 2023)

Reach (February 2023)

Reach - Q3 shows impressive print sales resilience (November 2022)

Reach - CEO and chairman buy shares (June 2022)

Reach - High margin digital side could be 50% turnover by FY’25 (April 2022)

Reach - Recruits another 400 writers (January 2022)

Reach - Gain in two months: 69%! (September 2021)

Reach - Direct advertising set for exponential growth; DIRT CHEAP on PE of 6.5 (July 2021)

Reach - Newspaper group could double profits through digital advertising explosion (February 2021)

With small companies there is an above average degree of risk compared to buying blue chips. Please be aware that we have not assessed the suitability of any of these investments for you. The newsletter simply states a personal view and diarises the editor’s investment decisions. Please speak to your stockbroker or other qualified individual to ascertain whether any of these companies mentioned would form useful additions to your own portfolios. Past performance is no indication of future success.

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