Richard Desmond takes £40m payout

by Daniel Farey-Jones, Brand Republic 08-Oct-07, 11:00

LONDON - Daily Express boss Richard Desmond is reported to have paid himself £40.6m last year, or more than four times the £9.1m pre-tax profits of his Northern & Shell holding company.

The figures from Northern & Shell's accounts for 2006 published this week are expected to show Desmond has increased the amount of money he has taken out of the business, despite its revenues falling.

Turnover is expected to be £460.5m, down from £463.5m last year. The money comes from the Express and Star newspapers, celebrity weekly OK! and broadcasting business Portland. Pre-tax profits are expected to be up to £9.1m from £8.2m.

In 2005 Desmond paid himself the smaller figure of £27.3m, following a bumper 2004 payout of £51.7m.

His personal fortune is estimated at £1.9bn, placing him 28th in this year's Sunday Times Rich List.

Over the past year the Daily and Sunday Express' six-month average circulations have shrunk faster than the overall UK newspaper market, but Desmond's venture into the US market with OK! has proved successful. After a shaky start the magazine is now selling more than 1m copies per week.

Comments

Alex Donohue - 08/10/2007

You've earnt it Dezza. Saviour of the industry!

Craig Miller - 08/10/2007

I would'nt go as far as saying that Alex but fair play to him - he's the boss so he can do what he wants!

Alex Donohue - 08/10/2007

Slightly disingenuous comment to be honest; the downturn in performance across the Express titles is worrying (even if you're not a fan of Diana conspiracy stories). There's a credible argument for investing money in your company's resources, employees, new technology etc.