Trinity Mirror announces £145m profits as cuts continue
26 February 2009
Trinity Mirror’s 2008 figures show that, despite the downturn, the company still made operating profits of over £145 million – of which £68 million came from local media. The company’s profit margin is almost 17 per cent, which the NUJ said exposes the short-term profit motives at the heart of the company’s massive cutbacks.
The NUJ has today called on the firm to put a stop to its cost-cutting programmes and come up with a strategy that shows respect for local communities and invests in a long-term plan to ensure the success of its papers and websites.
Michelle Stanistreet, NUJ Deputy General Secretary, said:
“These results expose the lie proffered by media companies that they have to slash editorial investment to remain profitable. Trinity Mirror’s cutbacks and pay freezes are all about preserving short-term profits and nothing to do with survival.
"If it was genuinely interested in the long-term prospects of its business, it would be investing in journalism, not pushing journalists out of the door.
“Today’s figures show that, despite the downturn, Trinity Mirror is still making lots of money. The company’s exceedingly healthy profit margin is far beyond what’s expected by many multinationals.
"Last year saw one of the toughest economic climates for years, but the company still made tens of millions of pounds in operating profits. These results show that there is still money to be made from local media.
“Yet more cuts will damage quality and put that long-term profitability at risk – but Trinity Miorror boss Sly Bailey’s focus on cost cutting shows that she is more interested in keeping those profit levels up than building a sustainable media business.”