Group revenues at Independent News & Media declined by 1 per cent, and circulation revenues fell, but the company said market conditions had indicated some improvement.

In an interim management statement, the company said total advertising revenue grew 2.9 per cent in the period from January 1st 2015 to May 1st, with digital ads revenue growth of 45.6 per cent offsetting a decline in print revenues. The company noted improvement in certain sectors, with motors, holidays and travel, magazines and features and supplements showing year on year growth.

Circulation revenue was down 4.2 per cent, a decline INM said had adversely impacted group revenues. However, continued cost savings have helped offset the effect, INM said.

During the period covered by the statement, INM said it would sell its 18.6 per cent stake in Australia and New Zealand-based group APN, using the €115.8 million proceeds to clear the group’s debt. The first tranche of the sale has already completed, with the second due around the end of May.

“2015 has started well and we remain confident that our full year performance will be in line with expectations,”INM said in the statement.