The New York Times Co. (NYT) announced that its third-quarter earnings surpassed market expectations, although revenue growth slightly missed projections. In early NYSE trading, the company's stock price fell by 2.78% to $55.25.
Looking ahead to the fourth quarter, The New York Times anticipates a modest increase in total advertising revenue, with digital advertising expected to grow by high-single to low-double digits. Subscription revenue is projected to rise between 7% and 9%, driven by a substantial 14% to 17% increase in digital-only subscriptions. Additionally, other revenues for the quarter are forecasted to grow by 11% to 13%.
In the third quarter, the company's net income reached $64.14 million, or $0.39 per share, up from $53.62 million, or $0.32 per share, in the prior year. Adjusted earnings stood at $0.45 per share for the quarter, surpassing the average analyst prediction of $0.41 per share, as compiled by Thomson Reuters. It is important to note that analysts' forecasts typically exclude special items.
The company's quarterly revenue saw a 7% rise to $640.18 million, compared to $598.35 million the previous year, slightly below Wall Street's forecast of $640.80 million.
