Communisis says profits plunged in 'disappointing' year

The Leeds-based company, which has diversified from traditional printing to specialise in marketing campaigns, targeted mailouts and email marketing, said it made operating profits of 7.2m on revenues of 190.2m. That compared to profits of 15m on 257.7m revenues in 2008.

Communisis said it suffered as banking customers cut back spending, hitting its Leeds-based direct mail business.

Chief executive Andy Blundell said: "For the economy as a whole 2009 has been a very difficult year and Communisis has not escaped the impact of those challenges.

"Nevertheless, in spite of the economic difficulties particularly in the financial services industry, each segment of our business has remained profitable this year.

"Additionally, in Technology & Services, which represents the future for Communisis, we have succeeded in delivering revenue and profit growth. This growth has been supported by the successful integration of Ai, which has made a positive contribution in its first year as a part of our group.

"At this point in the year, and as the economy emerges from recession, it is too early to say just how quickly demand will return. We take some encouragement from increased activity taking place now at the marketing campaign planning stage: activity which should filter through to Communisis later in the year.

"Whilst the macro economy remains uncertain, the board believe we are well placed to benefit from the opportunities that an upturn will bring."