Celtic Media makes €1.6m profit after buyout

Pre-tax profits at rescued regional newspaper group, Celtic Media totalled just under €1.6m in its first year of operation, new figures show.

In 2012, local management — led by former agriculture and business editor with The Irish Independent, Frank Mulrennan — bought out the publisher of The Meath Chronicle, The Anglo Celt, The Westmeath Examiner, The Offaly Independent and The Westmeath Independent; for €5.5m.

The assets acquired were put together at for close to €65m in the early 2000s by the Scottish newspaper group Dunfermline and other investors who created Celtic Media.

They bought the Meath Chronicle for €30m in 2001, the Anglo Celt for €15m in 2004, and the Westmeath Examiner, Westmeath Independent, and Offaly Independent, for €20m in 2004.

However, Mr Mulrennan and his colleagues saved the 125 jobs at the group when purchasing the business from a receiver in June 2012.

Along with publishing and printing the five newspapers, the group also prints The Irish Daily Mirror and sister titles, the Nenagh Guardian, Connaught Telegraph and Tuam Herald.

Newly filed accounts for Celtic Media Ltd show that the group generated revenues of €10.4m in the 12 months to the end of last June.

Chief executive Mr Mulrennan; group finance director Frank Long and chairman John Wood own 75%, with the remaining 25% shared by the management team.

Mr Long said yesterday: “The environment remains challenging, but we are pleased that stability has returned to the marketplace and our restructuring has positioned the group to perform well in the recovery.”

Profits last year include non-cash exceptional gains totalling €1.33m arising from the restructuring.

Mr Long said that the business “is pleased” with the group’s trading profit of €516,882 last year.

However, he pointed out that the cost of financing the purchase of the media group last year totalled €266,235 in interest payments — further reducing profits to €250,647.