Skip to comments.Gannett Earnings Decline by 22% (Dinosaur Media DeathWatch™)
Posted on 07/19/2011 5:31:37 AM PDT by abb
Gannett Co.'s second-quarter earnings fell 22% as advertising and circulation revenue continued sliding, though the company posted strong digital sales.
The media company saw its bottom line rise for most of last year, aided by cost cuts and revenue growth at its broadcast and digital operations. But the trend ended last quarter, as earnings fell on persistent declines in print advertising and circulation.
Advertising revenue fell 7% while circulation revenue dropped 2%. The broadcasting segment saw a 0.2% revenue increase while the digital business posted a 13% gain.
Overall, revenue declined 2.2% to $1.33 billion.
Gannett reported a profit of $151.5 million, or 62 cents a share, down from $195.5 million, or 81 cents a share, a year earlier. The most-recent quarter included charges related to facility consolidations, work-force restructuring and tax settlements. Excluding items, earnings dropped to 58 cents a share from 61 cents.
Operating margin narrowed to 18.1% from 20% as operating expenses grew slightly.
(Excerpt) Read more at online.wsj.com ...
Good News to start the day, may they go under before the next election.
Gannett Newspaper Revenue Falls 6.5% in Weak Ad Climate
Gannett Profit Declines 22% as Print Revenue Falls; Dividend Is Doubled
Publisher Future hit by slump in US print titles
Tribune Co. reorganizes newspapers, cuts more jobs
Alden Global Capital drops a shoe: Is the Journal Register acquisition prelude to more consolidation?
American Newspapers: Rise and Fall
A hundred freepers are about to assail you, pointing out that “They are soon to be unemployed Americans and this is a horrible thing.”
While I feel for the people, you can't for a company run by
propagandists. About 10 years ago, the city held a "public"
meeting that was only open to "women of color". A reporter
tried to get in, was refused, and he wrote a story about it
illegally excluding people from a public meeting based on
gender and race.
The "city" complained, Gannett complied, and fired the reporter.
The reporter got a nice settlement when he sued Gannett.
I've noticed that ABC's Rick Klein (whom I happen to like) seems to have become a near negualr on FOX. He's often on Greta's show, and he's been getting several stints on the Special Report panel..( and I'd take him over Maura Liasson any time)
He's probably gotten MORE on-air time ON FOX than on ABC. So, what does this mean? I assume ABC has to allow him to do this,as I assume he's getting paid by FOX. Is he moving to FOX? Does this mean any "developing relationship" between ABC and FOX to share reporters/news gathering as the political season heats up?
It's the last apir standing..MBC has its MSNBC tie-in..CBS and CNN and long been rumored to be dating, and there is a fair amount of sharing of stuff ( other than CNN correspondents who have a habit of leaving for FOX.
ABC is the last really unattached of the BIG three..and as they have NO cable news outlet..a link-up with FOX makes sense for both..
Possibly. Theoretically, every publicly traded company is for sale every day, from 9:30 AM to 4:00 PM.
And they all have been sold/bought several times over the years. ABC started out as the NBC Blue network.
Would Disney sell ABC? (Who’d buy it?)
Commentary: Or ABC News to partner with, say, Bloomberg?
An ABC-FOX hookup makes all kinds of business sense (plus they are in close physical proximity in New York).
But it will never happen for ideological reasons. I would not want to be a member of the ABC brass attending their first Cocktail Party after making this announcement.
Now if they can take Rupert Murdoch down with a phone hacking kerfluffle and force him to sell to ABC so they can turn FOX liberal....that scenario is certainly out there.
Die die die dinosaur media!
No one wants your 1968 Hippie commune comments anymore.
WSJ Editorials Point Fingers at the Competition
Newspapers Win Suit Against Google, Get Their Wish To Be Delisted, Then Complain
Jay Rosen on Journalism in the Internet Age
This Murdoch thing could really backfire on the State-Run Media. Suppose they made Ailes CEO of the whole company? After all, he knows how to make money.
The LOndon hearing is wall to wall on all three cable nets..our debt crisis can’t compete
Tuesday morning even better news ...
Well managed companies try to conserve cash during hard times to rebuild, re-tool, redesign, recover, etc. Meanwhile, Gannett's earnings and revenue are both plunging while they are laying off employees. The only possible conclusion: this is a sign of desperate management trying to prop up their stock price ... probably to forestall takeover and/or liquidation. Unfortunately for them, unsustainable dividend boosts such as this will not have much of a long term effect.
What you’re witnessing is a direct attack by government on freedom of speech. The unspoken message is if you write or say unkind things about the political class, you will be hauled in front of a government committee and grilled.
And that’s what the State-Run Media wants in the United States.
1. Strategic, as in trying to keeps shares away from someone who mght attempt to take over the company. Hardly the case here..I mean, who would want to own Gannett now?
2. When companies are sitting on idle cash, they assess how best to employ it..expanding the business, making aquisitions, increasing the dividend are the main choices. The rationale generally given for a share repurchase it that the board sees NO BETTER opportunity out there. Anyone wanna run that one up the flagpole.
It could be an attempt to prop up the stock price, but it's like spitting in the ocean...ain't gonna do much good. They'd be far better off saving the $$ for severance packages..
CHICAGO Tribune to Print the Sun-Times
Tuesday, Jul 19, 2011 | Updated 10:34 PM CDT
The relinquishing of print and distribution duties, however, means that Sun-Times Media will be forced to cut several hundred jobs, although some of the layoffs could be offset by the 100 or so jobs to be added by the Tribune.
Zakeet, I always enjoy your analysis. I don’t remember a time that you didn’t seem “spot-on.”
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