Bulletin: NYT Co. reports Q2 financial results

The NYT Co. has just moved its second-quarter financial statement on Business Wire. The New York Times has now moved a story. Following is an excerpt of the company's statement:

The New York Times Company announced today 2010 second-quarter results.

Total revenues increased 1.2 percent to $589.6 million in the second quarter of 2010 compared with the second quarter of 2009, an improvement from the first quarter 2010 decline of 3.2 percent compared with the first quarter of 2009.

Operating costs excluding depreciation, amortization and severance declined 3.7 percent in the second quarter of 2010 versus the second quarter of 2009. On a GAAP basis, the Company's operating costs declined 4.3 percent in the second quarter of 2010 versus the second quarter of 2009.

Operating profit excluding depreciation, amortization, severance and a special item in 2009 grew 39.4 percent to $92.6 million in the second quarter of 2010 compared with $66.4 million in the second quarter of 2009. On a GAAP basis, operating profit more than doubled to $60.8 million in the second quarter of 2010 compared with $23.5 million in the second quarter of 2009.

Diluted earnings per share from continuing operations excluding severance and the special items discussed below more than doubled to $.18 per share in the second quarter of 2010 compared with $.08 in the same period of 2009. On a GAAP basis, the Company had diluted earnings per share from continuing operations of $.21 per share in the second quarter of 2010 compared with $.27 in the second quarter of 2009.

The Company continues to manage its liquidity, reducing its debt and capital lease obligations, net of cash and cash equivalents by approximately one third to $670 million from its balance at the beginning of 2009, even after making pension contributions totaling $87.5 million in the second quarter of 2010. The majority of the Company's debt matures in 2015 or later.

"These positive results continued to build on the momentum of the past few quarters as the Company was able to increase revenues and decrease operating costs," said Janet L. Robinson, president and chief executive officer, The New York Times Company. "In the second quarter, total revenues increased 1 percent, reversing the first quarter 2010 decline of 3 percent, as we experienced positive trending in both print and digital advertising revenues.

"Solid growth in digital advertising revenues, which rose 21 percent, offset a 6 percent decrease in print advertising, and advertising revenues ended the quarter roughly flat compared with the second quarter of last year. Online advertising revenues have become a larger part of our mix and made up 26 percent of the Company's total advertising revenues in the 2010 second quarter, up from 22 percent in the same prior-year period.

"Based on the early part of the third quarter, third-quarter revenue trends for print advertising are expected to improve from the levels of the second quarter, while digital advertising is expected to trend in the mid to high teens. The low-single digit circulation revenue growth we experienced in the first part of 2010 is not expected to continue in the second half of the year, as we will be cycling past the June 2009 price increases at The New York Times and The Boston Globe and thus expect 3 to 5 percent declines in circulation revenues in the third quarter.

"The Company is well-positioned to thrive in the evolving media marketplace, thanks to the significant progress we are making in reinventing our enterprise. Despite an increasingly competitive environment and volatile economic conditions, we believe that by staying committed to our brand promise of high quality journalism that engages audiences with our content across multiple platforms, when and where they want it, we will ensure The New York Times Company remains a dominant force in the media landscape."

Q1 earnings beat forecasts, but shares sink

The company today reported first quarter net income $12.8 million, or 8 cents a share, compared with a year-ago loss of $74.5 million, or 52 cents a share. Overall advertising revenue declines continued to moderate, dropping 6%, according to the NYT Co.'s statement.

The quarter included 3 cents per share in special charges. Overall revenue fell 3.2%, to $587.9 million. Analysts had been expecting earnings of 5 cents a share on revenue of $578 million.

Still, Wall Street beat up shares on a day when overall stock markets were down sharply: NYT's stock recently traded for $12.29, down 45 cents, or 3.5%.

In a crucial measure of future growth, the company said digital advertising sales jumped 18%, significantly offsetting a 12% decrease in print advertising.

NYT Co. continued to benefit from cost reductions over the past 12 months that included layoffs at the flagship New York Times. Employment plunged 18% last year, to 7,665 workers, public documents show.

Related: The Wall Street Journal's story on the results, and NYT's.

NYT Co. to release first-quarter earnings April 22

In a just-posted statement, the company says it will host an earnings conference call with Wall Street stock analysts April 22 at 11 a.m. ET, shortly after releasing the first-quarter report.

Urgent: Company beats forecast, but shares plunge

(Updated at 1:52 p.m.) NYT Co. posted a higher-than-expected quarterly profit today after slashing costs, but the newspaper publisher warned that print advertising will continue to decline in the current quarter. In early afternoon trading, shares dived nearly 9% -- accelerating a sell-off that began earlier in the day.

Ad revenue at the news media group, which includes The New York Times, Boston Globe and other papers, fell 15% in the fourth quarter from a year earlier, Reuters news service says.

But CEO Janet Robinson offered a cloudy forecast for the current quarter, sending investors skittering. "In the first quarter of 2010, we expect the rate of decline for print advertising to continue to improve modestly from the fourth quarter," she said in a statement.

Net income was $90.9 million, or 61 cents a share, up from $27.6 million, or 19 cents a share in the year-ago fourth quarter. Excluding charges and other items, NYT Co. would have earned 44 cents a share, up 22% from a year earlier. Revenue was $681.2 million, down 11.5% from $769.5 million in the fourth quarter of 2008. Media stock analysts had forecast revenue of $653 million, down from $772 million. Earnings were expected to be 38 cents per share, double the 19 cents in the prior year.

Here's an interesting detail from the statement: "Corporate costs were $20.1 million compared with $11.8 million in the fourth quarter of 2008, mainly due to higher performance-related compensation costs." That sounds like higher bonuses, no?

Related: The NYT's story is here. And The Wall Street Journal's account is here.

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Earnings | Signs of hope in Wednesday's report?

The company reports fourth-quarter financial results on Wednesday morning, amid glimmers of growth in advertising sales that emerged toward the end of last year.

Media stock analysts are forecasting revenue of $653 million, down from $772 million in the comparable quarter of 2008, according to the Associated Press' run-up to the quarterly report. Earnings are expected to be 38 cents per share, double the 19 cents in the prior year. That follows $475 million in expense reductions, the news service says. What to watch for, according to the A.P.: "Signs of hope or more misery in a bleak advertising market that has tormented newspapers for the past three years."

CEO Janet Robinson (left) and other top executives are set to host a conference call with analysts at 11 a.m. ET Wednesday, following release of the earnings report before the stock market opens at 9:30 a.m. The call is open to the public, and will be webcast off Corporate's website, here.

Please post your replies in the comments section, below. To e-mail confidentially, write jimhopkins[at]gmail[dot-com]; see Tipsters Anonymous Policy in the rail, upper right.

McClatchy to stay focused on ad-supported model

Amid the NYT Co.'s plans for a New York Times metered paywall, McClatchy Co. CEO Gary Pruitt says the company is willing to experiment with charging readers for online content. But the newspaper publisher, reporting fourth-quarter earnings this morning, remains focused on a business model based on advertising sales, he tells Dow Jones Newswires.

McClatchy is the first of the major publishers to report fourth-quarter results. Overall revenue fell 17% to $393 million. Advertising revenue was down 20.5%, compared with a 28.1% decline in the third. Citing continued progress in January, the company says it expects ad revenue to decline this quarter by a percentage in the low to mid-teens, according to The Associated Press.

Related: New York Times Co. reports its quarterly results Feb. 10

Save the date: Fourth-quarter earnings out Feb. 10

In a statement, the company just disclosed that its fourth-quarter and full-year 2009 earnings conference call will be held at 11 a.m. ET on Wednesday, Feb. 10. The company's earnings announcement will be released before the market opens that morning and will be available on Corporate's homepage.

Robinson sees Q4 print ad revenue down 25%

For the current quarter, CEO Janet Robinson (left) says print-advertising revenue is expected to fall 25%, but online advertising is expected to grow 10%. Total debt, meanwhile, is forecast to fall nearly $500 million from a year ago, to $800 million, by year end, Robinson says, according to a new Wall Street Journal story.

"Over the past year, the company has instituted a series of cost-cutting measures as advertising revenue in the industry has dried up and threatened the company's ability to manage its debt," the WSJ says. "The company has borrowed money, sold assets and reduced wages, among other steps, hoping to avoid cuts to its news staff, which is larger than that of many competitors."

Robinson's remarks, in a company statement, came in advance of its presentation today at the UBS media conference.

Please post your replies in the comments section, below. To e-mail confidentially, write jimhopkins[at]gmail[dot-com]; see Tipsters Anonymous Policy in the rail, upper right.