McClatchy Reports Net Loss of $5.9 Million in First Quarter

By: Press Release | The McClatchy Co.

The McClatchy Company today reported a net loss, excludng the net impact of cerftain items, of $5.9 million for the first quarter of 2014, compared to a net loss in the 2013 first quarter, adjusted for similar iteams of $.7 million.

On a GAAP basis, the net loss in the first quarter of 2014 was $15.8 million, or 18 cents per share compared to a net loss in the 2013 first quarter of $12.7 million, or 15 cents per share.

Commenting on McClathcy's 2014 first quarter results, Pat Talamantes, McClatchy's president and CEO, said, "The total revenue trend improved this quarter compared to the first quarter of 2013. We consider this a meaningful result accomplished in the face of the unusual snow and ice storms that hit the Midwest and Southeast during the quarter and the shift in the Easter holiday from the first quarter last year to the second quarter this year. Importantly, we continue to see revenue growth fom direct marketing, digital advertising and circulation. Our digital audience is showing healthy growth. Monthly unique visitors were up 33.0 percent  in the quarter compared to the same quarter last year and mobile users represented 43.0 percent of total monthly unique visitors in the quarter compared to 40.0 percent in the fourth quarter of 2013."

Talamantes added, "We ended the first quarter with $96.4 million in cash and our financial position has strengthened even more since that date. At the beginning of our second quarter, we received the distribution from Classified Ventures related to the sale of Apartments.com. The additional liquidity furthers our ability to continue to reduce debt and to focus more resources on accelerating our digital transformation."

Total revenues in the first quarter of 2014 were $287.2 milluion, down $2.7 percent from the first quarter of 2013. Advertising revenues were $183.9 million, down 6.7 precent, and circulation revenues were $90.8 million, up 5.8 percent from the same quarter in 2013. Circualtion revenues were up approximately 0.7 percent for the quarter excluidng the $4.3 million in revenue related to the transition to free-for-service circulation delivery contracts at certain newspapers. Total digital-only revenues, which include digital-only revenues from advertising and circulation, were up 11.6 percent compared to the same quarter last year.