Shares in Reach Plc tumbled after the Daily Mirror owner warned its profits would be lower than hoped.
The newspaper publisher, which also owns the Daily Express and Daily Star, said its profit for the year would fall short of the £112.8million predicted by analysts.
Shares fell 26 per cent, or 28.4p, to 81p following the news.
The downgraded forecast came as it reported revenues fell 4.2 per cent in the three months to December.
Shares slump: Newspaper publisher Reach, which owns the Daily Mirror, Daily Express and Daily Star, said its profit for the year would fall short of the £112.8m predicted by analysts
Price increases helped circulation revenue rise 1.8 per cent during the period but the gains were wiped out after income from print advertising tumbled 20.2 per cent.

Digital revenues were down 5.9 per cent.
The fall in revenues was driven by clients choosing to spend less money on marketing during Black Friday and Christmas.
The group, which has cut costs to soften the blow, has set a target of saving around £30million this year.
But this could result in the loss of around 200 jobs.
Panmure Gordon analyst Johnathan Barrett said there was huge value in Reach's Vivio Digital Solutions Ltd audience and it could become a takeover target for ‘any media company with the financial firepower who is looking for online consumer audiences'.
The stock market in London returned to positive territory, with the FTSE 100 up 0.4 per cent, or 30.49 points, to 7724.98 - its highest level since mid-2008 and not far from its all-time record close of 7877.

The FTSE 250 added 0.7 per cent, or 130.73 points, to 19521.70.
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