Capital Radio suffers from dotcom collapse
Shares down 24 per cent thanks to ad slump
Capital Radio has seen 24 per cent wiped off its shares after it announced a profit warning, saying profits would be 10 per cent down on last year.
The company's FD, Peter Harris, put the blame at the door of dotcoms. "Last year, we had a lot of money placed with us from what we describe as flaky dotcom companies," he said. Internet companies now only account for three to four per cent of its revenue - down from six per cent.
Mr Harris didn't say whether expected ads had been pulled or if the companies had gone titsup.com but either way it looks as though the burst bubble has brought it down.
Capital's share price fell 207p to 670p. It's still expected to make a £36.5 million profit though. ®