Posted on 03/23/2006 8:52:19 PM PST by LdSentinal
NEW YORK (AP) — The New York Times Co. said Wednesday that it expects lower profits in the first quarter and reported uneven advertising results for February amid weakness at its New England media group, which includes The Boston Globe and the Worcester Telegram & Gazette.
The company, which also publishes the International Herald Tribune and a group of regional newspapers, forecast net income of 22 cents to 24 cents per share, which includes estimated costs for job cuts of 3 cents to 4 cents per share.
Excluding the charges, analysts polled by Thomson Financial had expected earnings of 29 cents per share.
In same period a year ago, the company had net earnings of 76 cents per share, which included a special gain of 46 cents per share from the sale of its current headquarters and another property.
The company also said it was reviewing its joint-venture investments and might have to take an impairment charge in the first quarter, which would further lower earnings.
The Times said that advertising trends in February were uneven across its properties, with gains at its flagship paper and regional papers as well as its online properties, but weaker trends in New England, where print advertising suffered from consolidation among its advertisers and “spotty” economic growth in the Boston area.
Overall, advertising revenues across the Times company rose 3.7 percent in February, while total company revenues rose 3.4 percent compared with the same month a year ago. Excluding About.com, which the Times acquired in March 2005, ad revenue edged up 0.6 percent in February, and total company revenue increased 1.2 percent.
New York Times shares fell 49 cents, or 1.9 percent, to close at $25.30.
Sure. That's it. It's the fault of the economy; it's not that the NYTimes product is cr*p.
There are none so blind...
NYT management shouldn't be surprised; the same decline in readership happened to Pravda. Santayana call your office.
The "Fourth Estate" has become the "Fifth Column".
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