"The ABM financial trend report, 1999-2003" released.

In related news, The Jordan, Edmiston Group, Inc., in cooperation with media consulting from Padin & Estabrook, has released "The ABM Financial Trend Report; Five-Year Analysis, 1999-2003 for members of the American Business Media. Results of the report were compiled from survey responses involving financial performance data from 21 b2b publishing companies producing 111 individual publications.

According to the results, average publication revenue for the period declined at a compound annual growth rate (CAGR) of -5.7%, going from an average of $4.6 million in 1999 to $3.64 million in 2003. Total publication expenses declined from $3.23 million in 1999 to $2.66 million in 2003, a CAGR of -4.8%. Aveage annual advertising revenue fell from $3.43 million in 1999 to $2.8 million in 2003 (CAGR -4.9%) while circulation revenue decreased CAGR -4.7%, going from 298,000 in 1999 to $245,000 in 2003. Annual ancillary revenues dropped from $881,000 per title in 1999 to $599,000 in 2003 (CAGR -9.2%).

Contribution (total magazine revenue minus total magazine expenses) for the average b2b magazine fell significantly over the period, going from $1.36 million in 1999 to $978,000 in 2003 (CAGR -7.9%). Contribution margin fell from 29.5% in 1999 to 26.9% in 2003.

The report also noted that while publishers were able to significantly lower costs, reductions were not enough to offset revenue losses. On a positive note, the report said that "recognizing profit erosion, publishers increased their focus on non-print initiatives, as a means to grow revenue and profitability, while reducing their dependence on advertising revenue.