Gannett’s profit and revenue in the last
quarter dropped. Although, there was strong TV advertising, the slump in
the print division could not be offset by it.
Profit and revenue
of broadcaster and publisher, Gannett (NYSE : GCI), dropped in the last
quarter even though there was stronger TV advertising, but it could not
offset the slump in the print division early in the year. Net income
dropped to $68 million, a drop of 24 percent from $90 million. However,
the drop was in part due to restructuring costs of $20 million.
The company said Monday that broadcasting revenue rose 7.5 percent to $176 million on strong advertising demand, citing higher auto spending, advertising related to Super Bowl and an increase of $3.8 million in political ad demand. The company owns 23 percent covering 18.2 percent of the US market.
There was an increase of 17 percent in retransmission revenue to $22.8 million and a growth of 6.4 percent in television station digital revenues. The company earned operating income of $72.6 million in broadcasting, up 14.4 percent. As per current trends for the current second quarter, the company expects the percentage increase in total television revenues to be in high single digits compared to the 2011 period.
Publishing revenue for Garnett fell to $874 million from $929 million reflecting soft advertising demand, which in part is due to the slow pace of the economic recovery. The year started on a weak note in January and although activity improved in February and March, it was not enough to offset the slow start.
The company said Monday that broadcasting revenue rose 7.5 percent to $176 million on strong advertising demand, citing higher auto spending, advertising related to Super Bowl and an increase of $3.8 million in political ad demand. The company owns 23 percent covering 18.2 percent of the US market.
There was an increase of 17 percent in retransmission revenue to $22.8 million and a growth of 6.4 percent in television station digital revenues. The company earned operating income of $72.6 million in broadcasting, up 14.4 percent. As per current trends for the current second quarter, the company expects the percentage increase in total television revenues to be in high single digits compared to the 2011 period.
Publishing revenue for Garnett fell to $874 million from $929 million reflecting soft advertising demand, which in part is due to the slow pace of the economic recovery. The year started on a weak note in January and although activity improved in February and March, it was not enough to offset the slow start.
Resource Link: Gannett’s ( GCI) Profit and Revenue Drop in Last Quarter
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