dh1989
10-08-2002, 03:28 PM
The following article tells us why Harry Potter will not fly on his Firebolt, eat Chocolate Frogs, or scowl at Snape this year. Harry Potter and the Order of the Phoenix is officially not a 2002 release. 2003, though, is likely.
No spells this year for Harry Potter book
HARRY Potter has cast a spell over the recent fortunes of Bloomsbury but, for the first time in five years, Britain’s last remaining stock market-listed book publisher is without a new instalment of the boy wizard’s adventures.
Its chief executive Nigel Newton yesterday confirmed that the fifth of JK Rowling’s phenomenally successful books – Harry Potter and the Order of the Phoenix –would not appear before the end of the year.
“Joanne is happily writing away, but the new Harry Potter will not form part of our 2002 financial year,” he said. “The publication date of the fifth book will be announced after it has been delivered.” Although there is no suggestion that Rowling will not complete her seven-book deal, the absence of Bloomsbury’s annual banker has unnerved some investors.
Its shares have proved among the most resilient of the media sector, but have still fallen by 39% since May. Analysts estimate that 50%-60% of annual turnover comes from the Harry Potter franchise.
But Newton insists that any fears that Bloomsbury is a one-product company are wildly overblown. Since it became apparent in 1997 that Harry Potter and the Philosopher’s Stone had the potential to be an international bestseller, Newton has been studiously investing the cash it generated in anticipation of the day when his company could no longer rely on another sequel.
Interim results published yesterday revealed what those investments have been. In the last six months alone Bloomsbury has bought four smaller rivals – dictionary publisher Philip Collin, Whitaker’s Almanac, Thomas Reed Nautical and the Poysers natural history list. Each operates in the reference market, a less sexy end of the trade than the fiction sector in which Bloomsbury has made most of its money.
The four companies cost a total of just £2mil, but Newton thinks their impact on the wider business will be far greater.
He says the content owned by each business is under exploited, and he has plans to not only publish more books but also distribute the reference material through the Internet and CD-ROMs. It was the same logic that in 2000 led Bloomsbury to pay £16.4mil to buy A&C Black, publisher of the Who’s Who directory and Blue Guide travel books.
“We have used our financial resources to make selected acquisitions in areas where we believe we can add real value,” he said.
Newton has been careful, however, not to dilute Bloomsbury’s reputation as a publisher of eclectic fiction. Editors at Bloomsbury's head office, a town house in London’s Soho Square, may at times be frustrated that Harry Potter always grabs the headlines – but its commercial success has enabled them to punch above their weight when bidding for books.
In the last six months investment in royalty advances for future unpublished titles rose 50% to £10.7mil. “We are pursuing more and bigger titles,” said Newton.
The group’s newfound clout will be underlined on October 28, when it publishes the Little Friend – the second novel from Donna Tartt – which drew interest from all the big houses. She wrote the Secret History, an early 90s sensation, and Mr Newton expects it to be a best seller. – Guardian News Services
Original URL: http://biz.thestar.com.my/news/story.asp?file=/2002/10/7/business/porterbiz&sec=business
No spells this year for Harry Potter book
HARRY Potter has cast a spell over the recent fortunes of Bloomsbury but, for the first time in five years, Britain’s last remaining stock market-listed book publisher is without a new instalment of the boy wizard’s adventures.
Its chief executive Nigel Newton yesterday confirmed that the fifth of JK Rowling’s phenomenally successful books – Harry Potter and the Order of the Phoenix –would not appear before the end of the year.
“Joanne is happily writing away, but the new Harry Potter will not form part of our 2002 financial year,” he said. “The publication date of the fifth book will be announced after it has been delivered.” Although there is no suggestion that Rowling will not complete her seven-book deal, the absence of Bloomsbury’s annual banker has unnerved some investors.
Its shares have proved among the most resilient of the media sector, but have still fallen by 39% since May. Analysts estimate that 50%-60% of annual turnover comes from the Harry Potter franchise.
But Newton insists that any fears that Bloomsbury is a one-product company are wildly overblown. Since it became apparent in 1997 that Harry Potter and the Philosopher’s Stone had the potential to be an international bestseller, Newton has been studiously investing the cash it generated in anticipation of the day when his company could no longer rely on another sequel.
Interim results published yesterday revealed what those investments have been. In the last six months alone Bloomsbury has bought four smaller rivals – dictionary publisher Philip Collin, Whitaker’s Almanac, Thomas Reed Nautical and the Poysers natural history list. Each operates in the reference market, a less sexy end of the trade than the fiction sector in which Bloomsbury has made most of its money.
The four companies cost a total of just £2mil, but Newton thinks their impact on the wider business will be far greater.
He says the content owned by each business is under exploited, and he has plans to not only publish more books but also distribute the reference material through the Internet and CD-ROMs. It was the same logic that in 2000 led Bloomsbury to pay £16.4mil to buy A&C Black, publisher of the Who’s Who directory and Blue Guide travel books.
“We have used our financial resources to make selected acquisitions in areas where we believe we can add real value,” he said.
Newton has been careful, however, not to dilute Bloomsbury’s reputation as a publisher of eclectic fiction. Editors at Bloomsbury's head office, a town house in London’s Soho Square, may at times be frustrated that Harry Potter always grabs the headlines – but its commercial success has enabled them to punch above their weight when bidding for books.
In the last six months investment in royalty advances for future unpublished titles rose 50% to £10.7mil. “We are pursuing more and bigger titles,” said Newton.
The group’s newfound clout will be underlined on October 28, when it publishes the Little Friend – the second novel from Donna Tartt – which drew interest from all the big houses. She wrote the Secret History, an early 90s sensation, and Mr Newton expects it to be a best seller. – Guardian News Services
Original URL: http://biz.thestar.com.my/news/story.asp?file=/2002/10/7/business/porterbiz&sec=business