The McClatchy Company (NASDAQ:MNI) swung to a first quarter loss, but results topped expectations. McClatchy Company is a newspaper company in the United States with 30 daily newspapers and approximately 50 non-dailies in 29 markets across the country. Are We Entering the Golden Era of Media?>>
The McClatchy Company Earnings Cheat Sheet for the First Quarter
Results: Swung to a loss of $2 million (2 cents/diluted share) in the quarter. The publisher had net income of $2.2 million or 3 cents per share in the year earlier quarter.
Revenue: Fell 9.5% to $303.7 million YoY.
Actual vs. Wall St. Expectations: MNI beat the mean analyst estimate of a loss of 10 cents/share. Estimates ranged from a loss of 4 cents per share to a loss of 15 cents per share.
Quoting Management: Commenting on McClatchy’s results, Gary Pruitt, chairman and chief executive officer, said, “The slowing in advertising revenue that we previously reported for January continued through the first quarter. National advertising continued to be one of the largest areas of decline, falling by 29.3% in the first quarter of 2011 compared to 2010. In addition, the shifting of the Easter holiday to a later date in April 2011 compared to 2010 had a negative impact on retail advertising in March. As a result advertising in March was down 12.7%, pulling down the overall ad revenues in the quarter to an 11.0% decline.”
MNI’s loss in the latest quarter follows profits in the previous three quarters. The company reported a profit of $14.9 million in the fourth quarter of the last fiscal year, a profit of $11.9 million in the third quarter of the last fiscal year and $7.3 million in the second of the last fiscal year.
Competitors to Watch: Gannett Co., Inc. (NYSE:GCI), GateHouse Media, Inc. (GHSE), The New York Times Company (NYSE:NYT), Lee Enterprises, Inc. (NYSE:LEE), A.H. Belo Corporation (NYSE:AHC), Media General, Inc. (NYSE:MEG), Sun Times Media Group, Inc. (SUTMQ), The E.W. Scripps Company (NYSE:SSP), Daily Journal Corporation (NASDAQ:DJCO), AOL (NYSE:AOL), Interactive Corp (NASDAQ:IACI), McGraw-Hill (NYSE:MHP), Pearson (NYSE:PSO), Washington Post (NYSE:WPO) and News Corporation (NASDAQ:NWSA).
Today’s Performance: Shares of MNI are trading at $3.18 as of April 26, 2011 at 3:24 PM ET, down over 10% from the previous closing price of $3.55.