Gannett reports Q3 earnings: operating income sinks 21%, broadcast and print revenues fall
Print revenue falls 5.9 percent, while digital revenue climbs 5.2 percent
The parent company of USA TODAY this morning reported declining revenues and lower operating income in the Q3 earnings report.
Print revenue fell 5.9 percent in the quarter, but broadcast fell hard, down 14.2 percent in a quarter that lacked the political advertising that came with last year’s Presidential campaigns.
“We achieved a 12 percent increase in digital revenue company-wide, which underscores our ongoing evolution into a more highly diversified, higher margin multi-media company.” – Gannett CEO
For the first nine months of the year, print advertising revenue is down 5.3 percent, while digital is up 4 percent. Broadcast, which was performing better before this last quarter, is down 1.9 percent for the year,
The highlight of the report, of course, was the recapping of the $1.5 billion merger with Belo Corp.
In the third quarter, we continued to take steps to further expand our digital offerings and execute across all of our media and marketing platforms,” Gracia Martore, president and chief executive officer, said. “We achieved a 12 percent increase in digital revenue company-wide, which underscores our ongoing evolution into a more highly diversified, higher margin multi-media company. In our Broadcast and Publishing businesses, despite challenging comparisons to third quarter 2012 — which benefited from Summer Olympic advertising, record political spending and the significant ramp-up of our content subscription model — we performed well. Total company-wide third quarter 2013 revenue was essentially flat, excluding the incremental impact from Olympic and political spending last year.”