Tags: New | York | Times | NYT

New York Times’ Digital Strategy

By    |   Monday, 12 Dec 2011 08:20 AM

The New York Times Company (NYT) is the poster child for traditional news and media companies trying to stay relevant and profitable in the digital world. The company is putting its efforts into new and existing digital ventures with the goal of reversing a trend of declining revenues.

The New York Times Company owns The New York Times, Boston Globe and International Herald Tribune plus the associated online versions. The company also owns 15 smaller market newspapers. Digital properties include About.com and related websites.

Revenues are broken down into the News Media Group and the About Group. Approximately 50 percent of revenues come from advertising, 42 percent from circulation sales and the balance is lumped in an “other” category.

For the first nine months of 2011, revenues decreased by 3 percent to $1.68 billion from $1.73 billion in 2010. The decline was led by a 5.6 percent drop in advertising revenues. In the third quarter ad revenues fell at a faster 8.8 percent rate, year-over-year.

The company defines net profits in several ways on the earnings reports. The company reported "diluted earnings per share from continuing operations excluding severance and special items" for the first three quarters of the year of 15 cents per share and a GAAP loss of 67 cents.

Digital earnings

At the end of the first quarter of 2011, The New York Times Co. launched a subscription service for the flagship newspaper. By the end of the third quarter, the company had accumulated 324,000 digital subscribers on top of 800,000 newspaper subscribers who get the digital version for free.

Times Media group digital advertising increased by 6.4 percent in the fourth quarter, reducing the 10.4 drop in print advertising to an overall 7.3 percent decline for the group. The About Group saw revenues drop by 21 percent in the third quarter, as the online content media business experienced drops for most companies involved in this type of media.

Recently, UBS analysts reiterated their hold rating on NYT but reduced their target price by $1.

The company next reports on Feb. 2.

© 2017 Newsmax Finance. All rights reserved.

 
1Like our page
2Share
Companies
The New York Times Company (NYT) is the poster child for traditional news and media companies trying to stay relevant and profitable in the digital world. The company is putting its efforts into new and existing digital ventures with the goal of reversing a trend of...
New,York,Times,NYT
345
2011-20-12
Monday, 12 Dec 2011 08:20 AM
Newsmax Inc.
 

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

NEWSMAX.COM
MONEYNEWS.COM
© Newsmax Media, Inc.
All Rights Reserved