Just 3 months after announcing £10m in cuts, Trinity Mirror has revealed it is doubling them to £20m, due to falling print revenues.
The publisher of regional titles including the Manchester Evening News, Liverpool Echo and Newcastle Chronicle said in its pre-close trading update that it had been a challenging “revenue environment.”
It said that it expected revenue to fall by 11% year-on-year, with underlying profit down by 9%. Publishing is expected to drop by 9%, with print down 11%. Digital remains strong with a 26% growth. Print advertising is also falling, with revenue expected to fall by 19% over the period.
“In light of the more challenging revenue environment the Group has reviewed its current cost reduction programme and is now targeting structural cost savings of £20 million for the year, an increase on the £10 million target announced in March 2015,” read the statement.
“This coupled with ongoing cost mitigation actions and continued investment to drive digital audience and revenue will help underpin profits. The increased targeted cost savings will result in restructuring costs increasing by some £5 million to £15 million.”