Future Publishing has reported the first profit at its struggling US business in seven years, as the embattled media owner cut total pre-tax losses to £1.3m in the half year to the end of March.
Future, publisher of a portfolio of websites and magazines including T3, Gizmodo and Total Film, also reported that 50% of its revenues now come from digital and diversified businesses.
The company, which reported a £35m loss and cut more than 400 staff last year, said that the transformation of the struggling print-focused business into a digitally diversified content business is now almost completed.
Adjusted profits – earnings before interest, tax, depreciation, amortisation and exceptional items – were £1.8m in the six months to the end of March.
“Both the UK and US businesses have reported profits in the first half, in the US this is the first time in seven years,” said the Future chief executive, Zillah Byng-Maddick. “Momentum is clearly building, with half our revenues now coming from digital and diversified activities. This is an important milestone for the business.”
The company said that its digital advertising revenues grew by 14% year on year, e-commerce revenues increased by 250% and events revenues rose by 15%.
The company said that the growing popularity of Black Friday and Cyber Monday online sales days saw global traffic rise 20%, driven by the popularity of its technology sites such as TechRadar.
Total revenues fell 14% year-on-year to £30.8m. UK revenues fell from £29m to £24.8m. The company said that digital advertising in the UK now accounts for 71% of total UK ad revenues.
In the the US revenues dropped from £7.1m to £6.3m. Digital advertising now accounts for 80% of all US ad revenues.
Future also said that Richard Haley, chief financial officer and company secretary, is to leave the company.
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