	fairfax says higher tax hits first half ings media group john fairfax ltd ffxa s said that its flat first half net profit partly reflected the impact of changes in the australian tax system fairfax earlier reported net ings edged up pct to mln dlrs in the weeks ended december from mln a year earlier although pre tax profit rose pct to mln from mln net would have risen pct but for the increase in company tax to pct from and the imposition of the tax on fringe benefits paid by employers and not the recipients the company said in a statement fairfax also pointed to the cyclical downturn in revenue growth in the television industry as another reason for the flat first half ings it said it considered the result satisfactory in view of these factors fairfax said its flagship dailies the sydney morning herald and the melbourne age boosted advertising volume as did the australian financial review and posted extremely satisfactory performances magazines also performed strongly but an pct rise in television costs outweighed a pct rise in revenue it said fairfax said a fall in net interest also contributed to net ings because group borrowings were reduced following the receipt of a mln dlr capital dividend from australian associated press pty ltd aap after the sale of aap s b shares in reuters holdings plc rtrs l this accounted for the mln dlr extraordinary profit fairfax said it is too early to predict results for the full year increased borrowings after the recent mln dlr acquisition of the hsv seven television station in melbourne will hit ings but networking with the channel sevens in sydney and brisbane will produce some offsetting cost savings reuter 
