Gannett 2Q Results: Postgame Scorecard
Gannett's (NYSE:GCI) profit dropped in the second quarter.
Earnings and Revenue The company posted an EPS above analyst expectations, though revenues fell short of predictions. The company reported adjusted net income of 56 cents a share versus the 53 cents a share estimate and revenues of $1.31 billion versus the $1.32 billion estimate.
The company's net income for the quarter was $119.9 million. This is a 20.9% decline from last year. Revenue fell 2.1% from $1.33 billion in the same period last year.
Company Fundamental Trends Revenue has fallen in at least each of the past four quarters.
History Against Expectations The company has now topped analyst estimates for the last three quarters.
Official Comment: Gracia Martore, president and chief executive officer, said, "Gannett is making measurable progress in implementing our growth strategy. We are pleased with the early results of these efforts and look forward to strong progress in the second half of the year. Our all access content subscription model has been successfully rolled out in half of our U.S. Community Publishing properties through the end of the quarter, and is generating the revenue growth we had anticipated. We expect to realize year-over-year circulation revenue growth in the range of 25 percent at these properties as we cycle our longer term subscriptions. Demand for our digital marketing services is strong and is already attracting significant new client relationships.
Estimates provided by Zacks Investment Research and company fundamentals from Xignite Financials.