McClatchy profit down 83 percent, ad sales fall
NEW YORK (Reuters) - McClatchy Co (MNI.N) reported an 83 percent decline in quarterly profit on Thursday, as the newspaper publisher suffered from a combination of advertising and circulation declines.
Net income fell to $7.3 million, or 9 cents a share, compared with net income of $42.2 million, or 50 cents a share, for the same period last year.
The publisher of The Miami Herald and The Sacramento Bee said that total revenue fell 6.4 percent to $342 million.
Advertising revenue dropped about 8.2 percent to $260.5 million. Circulation revenue declined 2.4 percent.
Operating expenses, excluding severance costs, declined about 9 percent.
Chief Executive Gary Pruitt said in a statement that advertising revenue would decline again in the third quarter, but said the drop would be less steep than in the second quarter.
Shares rose 7 cents to $3.79 in early trade.
(Reporting by Jennifer Saba, editing by Gerald E. McCormick)