Key facts
- Bloomsbury's shares fell 30% following a profit warning.
- 2006 profits were expected to be 5m, significantly lower than the predicted 20m.
- 2007 pre-tax profits trebled to 17.9m on revenues of 150.2m.
- The final Harry Potter book sale exceeded expectations.
- Bloomsbury is developing new business areas and has a strong pipeline of titles for the post-Potter era.
Bloomsbury Publishing Plc is confident that a new Harry Potter TV show will drive record profits, despite a significant slide in its share price. The company reported 2007 pre-tax profits of 17.9m, more than trebled from 5.2m in the previous year, largely due to strong sales of the final Harry Potter book, Harry Potter and the Deathly Hallows. Revenues more than doubled to 150.2m from 74.8m. The company also benefited from sales of Khaled Hosseini's The Kite Runner and A Thousand Splendid Suns. Earnings per share rose to 16.1p from 4.99p, and the full-year dividend was raised by 9% to 4p. The final Harry Potter book sold more than 2.7m copies in British bookshops on its first day. Bloomsbury admitted the US market was tough last year, but stated that strong momentum from 2007 had carried into the start of 2008. The publisher is also looking to diversify with new business areas and a strong pipeline of titles for the post-Potter era, including books by Sheila Hancock and Mary Ann Shaffer.