Future plc blames game market for disappointing full year performance
Future plc today issued an interim statement which warned that profits would not meet their targets for the international media company. Profits are now estimated to be around £8 million in 2013 versus a previous forecast of £9.7 million.
“We are disappointed to miss our target for the full year and as a result we are bringing forward plans to reduce legacy print costs and improve operating margins in the period ahead,” Mark Wood, Future plc Chief Executive, said in the statement.
The publisher put the blame on the weakness in the games market as advertisers hold back in preparation for new game device launches.
The Guardian is reporting that Future will be cutting “as many as 50 jobs” due to the poorer than expected performance.
The publisher was able to report that digital revenues were up 24 percent on the year, and that digital ad revenue is now approaching 60 percent of the total.
“We see encouraging trends across the business for the final quarter and the year ahead, including in the Games sector in the run up to major new console launches later this year, and anticipate delivering significant revenue and profit growth in the coming year,” Woods said.