Egmont UK saw 2019 revenue dip but posted profit ahead of HarperCollins sale

Egmont UK's 2019 revenue decreased 8.9% to £37.9m but the publisher showed a £369,000 pre-tax profit in the financial year before the book business was bought by HarperCollins, new figures uploaded to Companies House show.

HarperCollins bought Egmont Books UK last year for an undisclosed sum and it is now run as a distinct children's division led by m.d. Cally Poplak. The magazine publishing side was not part of the deal and was retained by Egmont Publishing.

Before the sale, overall revenue at Egmont UK—which then included the books and magazine business—fell from £41.7m in 2018 to £37.9m in the year ending 31st December 2019. The company said this followed a trend of declining retail sales but was largely due to “the consolidation of the portfolio and costs associated with new brand launches”. It added these were still “robust sales in what remains a challenging economic environment”.

Pre-tax profit hit £369,000 compared to a £267,000 loss the year before, while profits after tax were £103,000.

Separate figures for the book side of the business were not broken out, but the report noted Egmont was the “top specialist children's publisher” in the UK, selling 12.8 million books and five million magazines.