Education business, fewer print ads hurt Washington Post
(Reuters) - The Washington Post Co reported a fall in quarterly revenue as new student enrollments dropped in its Kaplan education business and print advertising revenue slid.
Revenue in the Kaplan division, which accounts for more than half of Washington Post's total revenue, fell 9 percent to $558.4 million in the second quarter.
New-student sign-ups, which returned to growth two quarters ago after four straight quarters of declines, reversed direction again to fall 1 percent.
Enrollments have been under pressure at U.S. for-profit colleges after they tightened admission standards to comply with tougher government regulations.
Rival Apollo Group Inc, seen as a bellwether for the education sector, also swung to declines in its most recently reported quarter after two quarters of growth.
Print advertising revenue dropped 15 percent to $56.7 million. Like most U.S. newspapers, Washington Post has been hit by falling advertising revenue and circulation as more readers switch to digital media.
The company's net income from continuing operations attributable to common shareholders fell to $33.9 million, or $4.48 cents per share, from $47.6 million, or $6.00 per share, a year earlier.
Income from continuing operations, excluding charges, was $5.38 per share.
Total revenue fell 5 percent to $1.01 billion.
The company's shares, which have lost nearly a fifth of their value since touching a year high in January, were flat at $332.03 in morning trading on the New York Stock Exchange.
(Reporting by Sagarika Jaisinghani in Bangalore; Editing by Maju Samuel)
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