Reach has reported improved year-on-year revenue compared to the second quarter, driven by both print and digital.
Third quarter revenue performance was distorted by the Queen's death, which benefited circulation, but significantly reduced advertising, due to the blackout during national mourning. This lead to revenue decline of 8.1% in September.
July and August were therefore more indicative of underlying revenue performance, with print down 2.8%, while digital was up 5.9%.
Circulation revenues were up by 2%, following recent price increases, with volumes responding as anticipated.
Circulation in September was up 4.3%, with The Express and The Mirror growing aggregate volumes by around 30% on the day following the Queen's death and the day after the funeral. However, this upside was more than offset by an associated reduction in print advertising, down by 17% in July and August, but 32.2% in September.
Some stability in the cost of newsprint returned during the period, with cost management actions taken during the first half, including reductions in print pagination and supply - along with the operating model changes - helping to offset persistent inflationary pressures.
"The macroeconomic and political climate is volatile, and we are mindful of the potential impact of changing consumer behaviour on trading, given this uncertain external environment," read the trading update. "We expect circulation revenue to be supported by increased cover prices, while advertising revenue should benefit from seasonally stronger yields, particularly around Black Friday and Christmas and from the football World Cup which starts in November."
Separately, Reach and its group chief financial officer Simon Fuller have "mutually agreed that it is an appropriate time for him to step down and move on to new challenges".
He will leave on 31 December, following a period of garden leave, and is set to be succeeded by Darren Fisher, whose start date will be confirmed in due course.
Fisher joins from ITV, where he was group director of finance and has been responsible for all group finance functions and operations. Previously he served as director of finance for Micro Focus and Sage.
Chief executive Jim Mullen stated: "Simon has played an important role for Reach, helping to steer the business through the pandemic.
"I am delighted to welcome Darren to Reach, he brings a strong set of financial, operational and strategic skills to the board."
Commenting on the wider results, Mullen said: "Actions on costs are helping to mitigate inflationary pressures and while macro uncertainty persists, improved revenue trends during the third quarter are a positive.
"The strength of our balance sheet underpins ongoing investment in the strategy, as we continue to transition to an increasing mix of higher quality digital earnings."
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