Emap boss underlines commitment to French arm

by Daniel Farey-Jones, Brand Republic 16-Nov-05, 11:00

LONDON - Tom Moloney, Emap chief executive, has talked up the idea of launching more titles in France in reaction to speculation that the company might exit the country after profits dived.

Moloney also denied that Emap has received any offers for its French arm, echoing French publisher Lagardere's denial of press speculation that it was preparing a bid.

In a conference call yesterday, Moloney said Emap was "committed" to the business and that product launches were "the best way forward" for it and the company.

Most recently, Emap successfully launched its celebrity title Closer across the channel, having beaten its circulation target with sales of 440,000 a week.

However, the £6m launch costs and weak advertising market dragged first-half operating profits down year-on-year from £28m to £14m. Revenue grew marginally, from £147m to £148m.

Moloney admitted that any continued slowdown in revenue would lead to more intense questioning about whether the business should be sold.

"If we can not demonstrate to investors that we have restored earnings growth momentum, then I think those questions will get tougher," he said.

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