Gannett Profit Falls 60 Percent
Gannett's first-quarter profit fell almost 60 percent, to $77.7 million from $191.8 million in the first quarter of 2008. Revenue fell about 18 percent, to $1.38 billion, hurt by a 34 percent drop in publishing advertising as the U.S. and British economies struggle. But digital revenue grew, as the McLean company consolidated its CareerBuilder and ShopLocal properties.
Operating expenses dropped more than 10 percent in the quarter as the company cut employees and instituted furloughs.
Shares of the publisher of USA Today and other newspapers were up about 5 cents, or 1.4 percent, around 12:30 p.m. today. Analysts had expected even worse results from the company, and shares had already had an interesting few days after last week's disclosure that Ariel Investments had more than doubled its stake in Gannett.
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Posted by: bs2004 | April 16, 2009 4:26 PM
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