Metro International, the publisher of 56 free newspapers in 18 countries, has not made a profit in four years (and even then it was very small).
But its chief executive, Per Mikael Jensen, is predicting that the Swedish-based company will enjoy a 15% profit margin by 2012.
One of the reasons for the better results is that expansion costs will be minimal in the coming years. Launches and start-up costs for the giveaway commuter dailies are very expensive.
The company has also closed or sold off loss-making operations in the USA, Spain, Portugal, Greece and Italy.
(NB: The British Metros are not part of Metro Int. They are published by Associated Newspapers).
Source: Newspaper Innovation
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