RECORD orders for the next instalment of the Harry Potter series gave Bloomsbury, the publisher of the teenage wizard’s exploits, the confidence to forecast record profits this year.

The company, which generates about half of its revenues from the Potter franchise, said that profits before tax and goodwill would be “not less” than £20 million in 2005.

Although Nigel Newton, the chairman of Bloomsbury, would not be drawn on exact figures, he said that orders for the forthcoming Harry Potter and the Half Blood Prince would be “substantially higher than originally anticipated”.

The book, the sixth in the series, is due to be published on June 16. However, some booksellers are already taking orders for the title. The novel has been Amazon’s most requested title since the book’s launch date was announced in December, even though the online retailer has yet to deliver a single copy.

The best-selling previous instalment of the series, Harry Potter and the Order of the Phoenix, has sold 3.3 million copies, acccording to data collected by Nielsen BookScan. Many retailers are planning special promotions for the launch, which will be by some distance the biggest commercial event of the bookselling year.

Despite the success of Harry Potter, Bloomsbury is trying to find ways of reducing its dependence on J. K. Rowling, the author of the titles. She plans to write one more Potter book, although Mr Newton believes that “children’s classics have sales longevity matched by nothing else”.

Paul Richards, a media analyst at Numis, said: “This is a very good management team, which has a good track record at managing acquisitions and building the business. In 1999 Bloomsbury made profits of just over £2.6 million — they have produced one hell of an increase since.”

The company is aiming for organic growth in the UK and Germany, and hopes to make small acquisitions to build up its position in America, “possibly in the children’s area”, according to Mr Newton.

Last year, in which no new Harry Potter title was launched, Bloomsbury profits increased to £16.2 million, from £13.6 million the year before, on turnover of £84.4 million, up 2 per cent on the year.

Key books for the company during 2004 were Sheila Hancock’s The Two of Us, a reflection on the actress’s life with her late husband, the actor John Thaw, which sold about 600,000 copies, and Jonathan Strange & Mr Norrell, a story of 19th century magic, which sold more than half a million copies worldwide. Apart from Potter, Bloomsbury is pinning its hopes on new titles from John Irving and Adam Runaway and an adventure novel set in the 18th century by Peter Prince.

MAGIC FIGURES

Harry Potter UK sales

• Philosopher’s Stone: 2.3 million copies
  
  
• Chamber of Secrets: 2.2 million copies
  
  
• Prisoner of Azkaban: 2.5 million copies
  
  
• Goblet of Fire: 3.2 million copies
  
  
• Order of the Phoenix: 3.3 million copies
  
  Source: Nielsen BookScan

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