McClatchy beats 4Q forecasts

Thanks in part to ramping up its digital operations, McClatchy Company announced today its net income in the fourth quarter of 2011 reached US$42 million (49 cents per share), compared with $15.7 million (17 cents) in the same quarter in 2010.

Revenue dropped 5 percent to $351 million, from $370 million.

Online investments like Classified Ventures, of which McClatchy owns a 25.6 percent stake, saw growth, bringing in a dividend of $17.4 million in December. Classified Ventures owns auto website Cars.com, rental site Apartments.com and jobs site CareerBuilder.com.

“These equity investments also contributed $27.8 million in earnings in 2011, more than double the 2010 earnings of $11.8 million. We are especially pleased with the performance of our internet investments. These companies provide important products to our newspaper websites and are strategic partners in our digital success,” Gary Pruitt, chairman and chief executive officer, said in a statement.

The U.S. newspaper chain beat analysts’ estimates of 42 cents per share, Boston.com noted.

However, the company continues to face falling print advertising revenues – an issue all print media face, paidContent pointed out. Although circulation has stablised and finances are improving at its newspapers, such as the Miami Herald and El Nuevo Herald, digital growth for newspapers is also slow.

Advertisements
This entry was posted in newspapers, revenues. Bookmark the permalink.

2 Responses to McClatchy beats 4Q forecasts

  1. I guess it won't be long until we start seeing noticeable decline in print media products. The internet and the discouragement of cutting trees may have been the major causes for this.

  2. Por And Para says:

    a great information you post on your blog people will get good information from your blog and keep sharing more information. thank you.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s