By: (AP) The New York Times Co. reported a 15% profit decline for its first quarter on Monday as higher costs offset a gain in revenues.
The company, which also publishes The Boston Globe, earned $58.4 million, or 38 cents a share, in the three months ending in March, versus $68.8 million, or 45 cents a share, a year ago.
On a per-share basis, the latest earnings came in 2 cents above the estimate of analysts surveyed by Thomson First Call.
Revenues rose 2% to $801.9 million from $783.7 million a year ago, but those gains were offset by a 5% increase in expenses, including a charge associated with closing a job fair business, printing plant remediation, higher costs for newsprint and compensation, and investments in The International Herald Tribune and a national expansion plan for the Times.
Russell T. Lewis, president and chief executive, said in a statement that the company concluded the first quarter on "a decidedly positive note" across all its businesses thanks to "solid" advertising gains in March and an improving economic climate.
"We were particularly encouraged by the revenue picture throughout our newspaper group in March, including substantial gains in help-wanted advertising revenues," Lewis said.
He also said the company's broadcast properties, which include eight network-affiliated TV stations, also reported improved results thanks to political advertising.
The company's shares were off 2 cents at $47.05 in early trading on the New York Stock Exchange.
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