From Yahoo Finance Today.
8:34AM New York Times reports April revenues (NYT) 25.06 : NYT announced today that in April 2006 advertising revenues for the co's business units decreased 1.6% and total co revenues increased 0.1% compared with April 2005. "As anticipated, our advertising results were adversely affected by the timing of the Easter holiday, which fell in April this year but was in March last year... Easter Sunday is traditionally a time of reduced advertising at both The New York Times and The Boston Globe. In April we achieved healthy gains in online advertising revenues, which rose over 25% across the News Media Group. Advertising revenues climbed nearly 85% at About.com, which continued to experience very robust growth in both cost—per—click and display advertising. The Times Company continues to be the 10th most—visited parent company on the Web with 38 million visitors in the U.S. in April according to Nielsen NetRatings.
Because web advertisings revenues grew at a healthy pace, for total advertising revenues to decline, the newspaper revenues must have been down more than 1.6%. The Easter excuse is lame, a very marginal item. Newspaper advertising revenue is trending down, despite price hikes in the recent past.
Jack Risko and I pointed out that the NYT newsprint advertising business, the heart of the company, is declining. The new web business looks good for now, but time will tell. Meanwhile, cable television diversification efforts founder.
Not the sort of company that should be pouring hundreds of millions of dollars into a showplace headquarters building.
Hat tip: Ed Lasky
Thomas Lifson 5 17 06
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