Shares in Johnston Press, the UK regional newspaper publisher, eased on Wednesday as the company warned of slower revenue growth for the year.

Johnston Press shares fell by 3 per cent in morning trading. It said ad revenues for the first two months of this year grew 2.6 per cent, but warned that it was unlikely that it would see a repeat of the 6 per cent growth reported for the first half of 2004.

“We’re relatively cautious about the rate of growth on the top line,” said Stuart Paterson, finance director.

The publisher of the Yorkshire Post and other regional papers, reported an 18 per cent rise in pre-tax profits to £150.6m on a 5 per cent increase in turnover to £518.8m for the year to December, thanks to strong classified advertising. Overall ad revenue rose 5.5 per cent to £391.7m.

Recruitment advertising rose 10 per cent to £117.2m and property ads increased by 9.6 per cent to £56m, lifting total classified ad revenue by 6.7 per cent to £281.2m. Display advertising rose 2.7 per cent to £110.5m.

It also announced that Les Hinton, executive chairman of New International, was joining its board.

The final dividend is up 20 per cent to 4.8p, bringing the total to 7.2p.