Jason's profit slips as advertising falls

Jason's profit slips as advertising falls

Dec. 6 (BusinessDesk) - Jasons Travel Media Ltd., the travel and accommodation guide publisher, first-half profit slipped as advertising revenue fell.

The Auckland-based company said net profit for the six months ended Sept. 30 fell 1.1% to $1.2 million while revenue fell 3.5% to $8.2 million. The previous first-half result had been down some 16%. New Zealand accommodation print revenues softened in the six months which was expected and forecast, it said.

“Despite stable domestic and inbound New Zealand travel markets, the reduced visitor spend levels have created uncertainty for some of the company's advertising clients,” chairman Geoff Burns said in a statement.

At the annual shareholders' meeting in July, the company said it expected this year's results will be in line with last year's although it couldn't provided a specific figure due to the fragility of the New Zealand and international economies.

Its net profit fell 31.4% to $553,000 for the year ended March 31.

Burns said the company recently undertook a major internal restructure of its Australian business which now has a primary focus on web-based information, rather than physical guides.

It is also working on a web-based New Zealand business model.

The company decided not to pay a first-half dividend after paying out 2.5 cents in the previous year.

Jason's shares last traded at 35 cents, their lowest level in a year which saw the price peak at 55 cents.

(BusinessDesk)

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