Business
Interim Management Statement
Interim Management Statement.
About this update from Smiths News Plc
[{"type":"text","content":"\n \nRNS Number : 6578L Connect Group PLC 08 July 2014 \n \n\nConnect Group PLC\n('Connect Group' or \"the Group\")\n \nINTERIM MANAGEMENT STATEMENT\n \nConnect Group PLC (\"the Group\") a leading specialist distributor operating in three divisions; News & Media, Books and Education & Care, is today issuing its Interim Management Statement covering the 44 week period to 5 July 2014.\n \nTotal Group revenues increased 0.2% year on year and performance for the Group remains broadly in line with current market expectations for the full year.\n \nThe performance of each division is as follows;\n \n· Connect News & Media; News revenues increased by 0.1% driven by strong World Cup sticker sales. Like for like revenues decreased by 2.1% with both newspaper and magazine performance continuing at recent robust run rates. Consequently, full year performance will be above previous expectations. Media revenues decreased by 3.2% and on a like for like basis by 2.8%.\n \n· Connect Books; revenues increased by 2.6% due to recent acquisitions and by the continued strong performance of Wordery. Like for like revenues decreased by 3.2% reflecting increased pressure across other channels. Recent recovery actions expected to reduce costs and increase margins are being delivered, although as a result of continued sales pressure particularly in Library services and Academic markets we expect full year performance will be below previous expectations.\n \n· Connect Education & Care; revenues increased by 2.2% and on a like for like basis by 2.2%. Core revenues were up 4.4% on a like for like basis with the Education and Early Years channels performing more strongly than the smaller Care channel. Momentum is building for the key peak trading period which has started as planned and full year performance remains in line with previous expectations.\n \nThere has been no change in the underlying financial condition of the Group since the half year ended 28 February 2014 and the Group continues to operate well within its bank facilities.\n \nThe Group will announce its preliminary results for the twelve months ending 31 August 2014 on 15 October 2014.\n \nNote: The following definitions apply consistently throughout Connect Group ...