Leader group’s profits soar

THE Leinster Leader newspaper publishing group saw profits rise by more than 50% last year.

The group, which publishes the Limerick Leader, Dundalk Democrat, Offaly Express and Leinster

Express, saw operating profits rise from €2.3 million to €3.5m in the year to end August 2004.

Profits, which fell in 2003, rebounded to €2m from €1.2m at pre-tax level.

Turnover for the year rose dramatically, increasing by €3.2m to €26m, according to accounts filed at the Companies Registration Office (CRO).

The company was helped by an uplift in advertising, circulation and the first full-year inclusion of the Limerick Leader, which it bought in early 2003.

The accounts do not give a breakdown of the individual newspapers’ earnings.

The company’s balance sheet showed a fall in cash from €2.2m to €1.4m, while shareholders’ funds stood at €11.4m.

The increase in profits saw an improved dividend payment to shareholders.

The initial pay out for the year was €203,486, with a further €241,640 to come.

The main beneficiaries of the payment are accountant John McStay and the well-known solicitor Anthony Collins.

Directors’ pay for the year rose from €436,105 to €453,162.

The number of people employed by the Leinster Leader group fell by 10 to 277, though the wages and salary bill for the year rose by €1.1m to €8.9m, giving an average annual salary of €32,000.

The accounts also show that the employees’ pension fund deficit narrowed, helped by improving stock market returns. The deficit was down to 523,000 at the financial year end, compared to 981,000 in 2003.

Long-term debt, which rocketed following the €23m purchase of the Limerick Leader, stood at €18m at the end of the last financial year. The interest on the company’s debt fell from €1.4m to €1.1m.