Future Publishing reveals operating losses of GBP 10 million

UK media company and videogame magazine specialists, Future Publishing, has announced its preliminary financial results for the year, showing an overall revenue increase offset by substantial operating losses.

For the year ended 30th September 2005, Future posted revenues of GBP 212.3 million; an increase of 12 per cent on the same period in 2004. The increase was offset by less positive results however, which showed an operating loss of GBP 10 million.

2005 has been an exceptionally busy year for the company, with office relocation, new magazine launches and redundancies following various acquisitions all having an affect on the overall financial results. Future acquired 38 non-gaming titles from Highbury House Communications earlier in the year, after initial plans for a complete acquisition of its rival was blocked by the Office of Fair Trading.

Overall circulation for all magazines increased by 7 percent (including acquisitions) and the gaming publications maintained steady profits throughout the year. Microsoft has extended the company's Official Xbox Magazine contract until 2011, which Future hopes will produce increased revenue as the Xbox 360 is steadily launched around the world.

CEO Greg Ingham stated: "The year to 30 September 2005 has been an important one for Future. Although the economic backdrop has been unhelpful, the Group has significantly grown the scale of its operations during the year. This provides the platform for the Group to develop its profits further over time. We are committed to building on our progress and to ensuring Future's continued growth through acquisitions and increased new product development spend on launches and internet expansion."

"Whilst we continue to take a cautious view on the near term outlook, trading in the first month of the new financial year is on track," he concluded.