Media holding company Gannett Co. Inc. (GCI) reported higher third-quarter net income attributable to the company of $133.08 million, versus $99.79 million a year ago, with earnings per share rising to $0.56, from last year's $0.41. On average, 9 analysts polled by Thomson Reuters expected earnings per share of $0.53 for the quarter. Analysts' estimates typically exclude one-time items.
Net income attributable to Gannett, on a non-GAAP basis, was $130.9 million, an increase of 23.3 percent from 2011.
Quarterly net operating revenues were $1.31 billion, up 3.4% from $1.27 billion in the previous year. Eight analysts estimated revenues of $1.29 billion for the third quarter. Higher costs associated with revenue growth drove the increases in the Broadcasting and Digital segment operating expenses.
The recent quarter's results include $14.7 million of special charges affecting operating income in addition to $10 million of strategic investments, Gannett added.
The company's Chief Executive noted, "We achieved record third quarter results in our Broadcasting segment. Our TV stations leveraged top 10 ratings positions and a more locally focused sales effort to generate substantially higher Olympic spending. Through strong ratings and a great footprint, they also maximized the opportunity to attract political spending. The early success of our new, all access content subscription model resulted in significant growth in company-wide circulation revenue, the first increase since early 2007."
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