Trinity Mirror: 'too soon to know' how phone-hacking allegations will progress

http://www.theguardian.com/media/2014/may/15/trinity-mirror-digital-revenues

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The publisher of the Daily Mirror, Sunday Mirror and the People has said it is "too soon to know" how allegations of phone hacking and bribery will progress, or their financial impact.

"The company also continues to challenge civil claims in relation to these matters," said the publisher, in a trading statement on Thursday. "The group will not accept wrongdoing and takes all allegations seriously. It is too soon to know how these matters will progress, whether further allegations or claims will be made, and their financial impact."

Chief executive Simon Fox could face questions on the claims at the company's annual meeting with investors on Thursday.

Trinity Mirror also announced that Fox's digital transformation of Trinity Mirror is gathering pace, with online revenues up almost 50% in the year to 27 April, helping counter a fall of 9% in advertising across its newspaper titles.

The company said that revenue trends improved during the trading period – total advertising income was down 8% in January and February but improved to 7% in March and April.

Ad revenue from its digital publishing operation rose 49% year on year in the period to 27 April.

Circulation revenues across its newspaper titles showed resilience, maintaining just a 1% decline.

Trinity Mirror said that total group revenues fell 3% year on year across the trading period.

"Continued momentum on our strategic initiatives coupled with ongoing cost mitigation provides the board with confidence that performance for 2014 is tracking in line with expectations," said the company.

Trinity MIrror said it is on track to deliver £10m in cost cuts this year.

Net debt fell by £26m to £71m in the period.

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