By: E&P Staff
“The media marketplace has been challenging in 2006, and we expect it will continue to be next year,” Chief Executive Janet Robinson of The New York Times Co. said in a statement on Tuesday.
The company does expect its Internet revenue could grow 30 percent in 2007. At the same time, it will cut costs and continue to juggle its portfolio of properties.
Advertising revenue will rise by a low single-digit percentage next year at the New York Times, but will be flat to slightly up at its Boston Globe, the company predicted.
It also expects an extra $12 million in print circulation revenue from its decision to raise the newsstand price of its northeast edition of the Sunday Times and its 4% hike in home-delivery prices.
The Times expects revenues from its Internet-related businesses, including About.com, to bring in about $270 million in revenue in 2006.
The Times said it will try to strengthen its business by ”continuing to rebalance our portfolio of properties and to exercise financial discipline as we allocate capital for the benefit of our shareholders.”
When asked if the property review includes the Boston Globe newspaper, spokeswoman Catherine Mathis told Reuters, “On an ongoing basis, we review all our properties to make sure they are meeting their financial targets and that they continue to be a strategic fit.”
The company also said that November advertising revenue declined 3.8 percent. Total company revenue, excluding TV stations up for sale, declined 1.7 percent to $278.5 million, the publisher said. Ad sales at the New England Media Group, led by The Boston Globe, slid 11 percent to $36 million. Ad sales at the flagship New York Times newspaper slumped 4.2 percent to $115.2 million.