Reach CEO predicts loss for print titles within a decade

Jim Mullen, the chief executive of Reach, which publishes the Mirror, Express and Star among others, has forecasted that the company’s print titles are likely to become loss-making by the start of the next decade. Despite this anticipated decline, Mullen remains committed to maintaining the print operations, indicating that their digital strategy will play a pivotal role in preventing closures.

Speaking to The Guardian, Mullen pointed out the importance of the print business, despite its challenges. “We are maintaining a well-loved but declining print business,” he said, clarifying that he referred to profitability, not the complete end of newspapers.

The print operation generated £406 million in revenue in the previous year, which represents a 6% decline on a like-for-like basis compared to 2023. Additionally, Reach has experienced a 17% fall in circulation year on year.

Mullen said that reduced sales have allowed the company’s cost base to diminish, citing decreases in expenses related to ink, newsprint, energy and printing plates.

As part of its strategy to adapt to evolving consumer preferences, Reach has been pivoting toward a digital-first approach. This shift resulted in significant job cuts in the print side of the business, yet also contributed to a revival in digital revenues, which increased by 2.1% to £130 million in 2024. Mullen highlighted that digital income now constitutes nearly a third of Reach’s total revenues. The fourth quarter showed an especially strong performance, with an 8.6% growth rate, marking the fastest increase in nearly three years.

Mullen refrained from making specific predictions about when digital revenue might surpass print, saying, “It is too far-reaching to be able to say. I don’t need to worry about that at the moment.” He also mentioned that discussions around when digital will eclipse print might yield an eventual positive benefit for print operations.

The digital transformation at Reach has led to considerable restructuring, including the loss of nearly 800 roles. This restructuring has affected senior editorial positions, with the departures of editors from major titles including the Mirror and Express. Mullen contended that the prevailing media narrative has overemphasised a cuts culture. He pointed out that Reach continues to hire, albeit at lower salary levels, with 60 new digital journalists joining the company in the latter half of the previous year to support its digital initiatives.

Source: Noah Wire Services