Plus   Neg

New York Times Stock Rises As Q3 Results Beat Estimates


Shares of New York Times Co. (NYT) are rising more than 12 percent in pre-market activity on Thursday after the company's third-quarter results beat analysts' estimates. The results reflect growth in digital subscription, digital advertising and other revenues.

The company's third-quarter net income attributable to common declined to $24.98 million or $0.15 per share from $32.33 million or $0.20 per share in the year-ago period.

The latest quarter's results include a gain of $3.6 million after tax or $0.02 per share from a pension liability adjustment. The prior-year quarter's results include a gain of $6.1 million or $0.10 per share from joint ventures related to the sale of the remaining assets of Madison Paper Industries.

Adjusted earnings per share from continuing operations were $0.15, compared with $0.12 in the year-ago period.

On average, five analysts polled by Thomson Reuters expected earnings of $0.11 per share. Analysts' estimates typically exclude special items.

Total revenues for the quarter grew 8.2 percent to $417.35 million from $385.64 million in the same period last year. Analysts had a consensus revenue estimate of $408.54 million.

Subscription revenues rose 4.5 percent, primarily due to growth in the number of subscriptions to the company's digital-only products. Revenue from the company's digital-only subscription products, which include the company's news product, as well as its Crossword and Cooking products, increased 18.1 percent to $101.2 million.

Advertising revenues increased 7.1 percent and other revenues increased 49.3 percent. Digital advertising revenue increased 17.3 percent.

The company said it added 203,000 total net new digital-only subscriptions in the quarter. It now has more than 3 million digital-only subscriptions and more than 4 million total subscriptions.

Looking ahead to the fourth quarter, New York Times forecasts total subscription revenues to decrease in the low to mid-single digits, with digital-only subscription revenue expected to increase in the high-single digits compared with the year-ago period.

Total advertising revenues in the fourth quarter are expected by the company to decrease in the mid-single digits, with digital advertising revenue expected to increase in the mid-single digits. The outlook is on a 13-week 2018 to 14-week 2017 basis.

For comments and feedback contact: editorial@rttnews.com

Business News

Editors Pick
Amazon plans to more than double its corporate workforce in Las Vegas by creating 125 additional jobs in the city. The e-commerce giant recently opened a new 30,000 square foot office in Town Square in downtown Las Vegas and plans to expand its corporate workforce in the area to support its Human Resources division. Amazon also said it will donate $100,000 to two food bank partners. Consumer Reports has once again recommended Tesla's Model 3 and Model S sedans as reliable, after the vehicles were previous downgraded by the organization. Consumer Reports said that the two sedans regained its recommendation due to improved reliability reports from owners of the cars, based on the results of its annual Auto Reliability Survey that were announced Thursday. Sears Holdings recalled about 700 units of Kenmore Elite microwave ovens for possible electrical burn hazard, a statement by the U.S. Consumer Product Safety Commission said. The company said the incorrect wiring of the microwave oven causes its exterior to reach temperatures exceeding 183 degrees fahrenheit that could result in a burn hazard to the user.
Follow RTT