Profit drops 25% at Haynes amid publishing 'slowdown'

Profit drops 25% at Haynes amid publishing 'slowdown'

Haynes Publishing Group has reported falls in revenue and profit in its results for the year ended 31st May 2013.

Revenue at the publisher, which specialises in car repair manuals, stood at £27.6m, down from £29.8m in 2012, a fall of 7%. Operating profits in 2013 were £3.8m, a 25% decline from 2012's £5.1m.

However, the profits were ahead of market expectations which stood at £3.6m.

Chairman J Haynes said the results were the result of "soft" demand for its traditional print manuals in the UK, but that its professional range, rebranded last year from Vivid to HaynesPro, has seen "strong revenue growth".

He added: "As a group, for the most part, we were able to weather the early impact of the economic downturn and, whilst it was unrealistic to expect sustainable growth during this period, we were able to maintain group profitability. However, over the last two years we have faced a strengthening headwind in our core automotive manual markets and more recently a significant slowdown in the UK general publishing market."

Earlier this month, the publisher, based in the West Country, announced it would restructure its editorial teams, and close its distribution centre in Yeovil, leading to what it called "a small number" of redundancies. The moves came after a six-month strategic review of the business, which will lead the publisher to focus on "areas with the largest growth potential—DIY manuals; information systems for use by professional mechanics; and the expansion of its digital offering, including the development of additional digital platforms."

Haynes said that the review of the company would "help return the group to revenue and profit growth".

This month, the company also announced the acquisition of Clymer and Intertec Manuals, a US motorcycle repair manual publisher. Haynes said the group would continue to review new acquisition opportunities.