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Published on March 17, 2008

With the recent recovery in consumer spending, Amarin Printing and Publishing expects its regrouped units to record 10-per-cent earnings growth this year, a top executive said yesterday.

After last year posting a 20-per-cent drop in its net profit to Bt225.37 million, Amarin is now trading at 12 times its price-to-earnings ratio of 9 a year ago.

Rarin Utakapan, managing director of the Publishing Business Division, said the company would be "fully geared" for growth this year.

Although Amarin's overall sales showed only a slight drop last year, registering Bt1.71 billion compared with Bt1.74 billion in 2006, higher production costs prevented it from showing a profit.

The firm also cannot raise the price of its magazines, due to the soft market at present.

"The only title we could lift prices on is our home-decorative magazine Room, which sells for Bt90 this month, up from Bt80," she said.

The company this year plans to spend Bt100 million to add more advanced printing presses and launch new titles, she said.

It expects to publish 30-per-cent more pocketbooks, up from 250 titles last year.

It has seven magazine titles, mainly women's magazines, which form the biggest segment in the market.

Cheewajit magazine showed the greatest growth in circulation, up 15 per cent from its 11 titles, Rarin said, reflecting a high interest in health issues among readers.

"This year's trend in books and magazines will favour health and niche items. There's no longer any demand for titles covering general subjects," she said.

For example, We magazine has content for women who are getting married, while Shape is targeted at health-conscious readers, she said.

Amarin also plans to expand its non-printing businesses like training, touring and television production, although these businesses now contribute only 7-10 per cent of its revenue.

"We're now in talks with TV stations to provide more programmes. At present, Amarin provides the 'Health Club', which is aired on Channel 7," said Rarin.

Moreover, she said Amarin would add two projects to its tour business and hold two annual fairs: the Baan Lae Suan Fair and Amarin Book Fair.

Amarin also plans to add 30 more Nai-in bookstores this year, from 100 now.

Sucheera Pinijparakarn,

Sasithorn Ongdee

The Nation