New York Times Reports Strong Q2 Earnings

Shares of New York Times Co. (NYSE: NYT) experienced a surge of 1.6% in premarket trading on Tuesday, following the company’s impressive second-quarter earnings report. Despite flat advertising revenue, the company saw substantial growth in subscription revenue, leading to better-than-expected financial results.

Key Highlights

• Net income dropped to $46.6 million (28 cents per share) in comparison to $61.8 million (37 cents per share) in the same period last year.
• Adjusted earnings per share rose significantly to 38 cents from 28 cents, surpassing the FactSet consensus of 21 cents.
• Revenue reached $590..85 million, a growth of 6.3% and exceeding the FactSet consensus of $580.6 million.
• Subscription revenue spiked by 6.8% to $409.6 million, while advertising revenue showed a slight increase of 0.3% to $117.8 million.
• Other revenue witnessed impressive growth at 16.1%, reaching $63.5 million.
• Digital-only subscription revenue demonstrated a remarkable increase of 13% to $269.8 million.
• However, print subscriptions experienced a decline of 3.5% to $139.8 million, primarily due to a 3.9% drop in home-delivery revenue.

Positive Market Performance

Notably, New York Times Co.’s stock has soared by 25.8% year-to-date as of Monday, outperforming the S&P 500, which has achieved a gain of 17.7%.

Overall, the company’s impressive Q2 results reflect its ability to effectively navigate the challenges posed by the evolving media landscape and monetize its digital offerings through subscription-based revenue growth.