New York Times profit down and digital subscriptions up

Updated 29 July 2014
0

New York Times profit down and digital subscriptions up

NEW YORK: The New York Times Co. has reported a sharp drop in profits as lower advertising revenues offset gains in digital subscriptions.
Net profit for the second quarter fell to $9.2 million from $20.1 million in the same period a year ago.
Total revenues were essentially flat at $389 million, with circulation revenues up 1.4 percent and ad revenues down 4.1 percent.
The bottom line was also hurt by higher operating costs, which the company attributed to increased investments in boosting the digital profile of the prestigious newspaper publisher.
Digital advertising revenues were up 3.4 percent but that failed to offset a 6.6 percent drop in print advertising revenue.
“We saw continued growth in digital advertising and circulation revenues during the quarter,” said Mark Thompson, president and CEO.
“But know that we still have more work to do to transform our business and deliver long-term sustainable revenue growth for the company.”
The Times added 32,000 digital subscribers in the quarter, helped by newly released subscription options including NYT Now, NYT Opinion and Times Premier.
The NYT Now app is designed for mobile device users, and Times Premier is a premium news and information service that adds to the cost of a regular subscription.
“We’re encouraged by the reaction of users to the products, especially the high consumer satisfaction levels we’re seeing with the NYT Now app,” said Thompson, the former BBC chief who became president and chief executive in late 2012.
“But, while we expected the portfolio to take time to build, we want to accelerate the rate of growth in subscription sales, so over the coming months, we will refine some of the offers and the way we market the portfolio to accomplish this.”
Like other media firms, the Times is shifting its focus from print to digital as it strives to adapt to a decline in readership and competition from other sources of news online.


Saudi minister Al-Falih says Aramco IPO likely in 2019

Updated 25 May 2018
0

Saudi minister Al-Falih says Aramco IPO likely in 2019

  • Energy Minister Khalid Al-Falih: “We are ready, the company (Saudi Aramco) essentially has ticked all the boxes. We’re simply waiting for a market readiness for the IPO.”
  • Khalid Al-Falih: “Most likely it will be in 2019 but we will not know until the announcement has been made. All I could say is stay tuned.”

RIYADH: Saudi Arabia is most likely to hold the initial public offering (IPO) of oil giant Aramco in 2019, Energy Minister Khalid Al-Falih said on Friday, confirming a delay from the initial plan to list the company this year.

“The timing I think will depend on the readiness of the market, rather than the readiness of the company or the readiness of Saudi Arabia,” Khalid Al-Falih, who’s also the company’s chairman, said at the St. Petersburg International Economic Forum in Russia on Friday.

“We are ready, the company essentially has ticked all the boxes,” he said. “We’re simply waiting for a market readiness for the IPO.”

For almost two years, Saudi officials said the IPO was “on track, on time” for the second half of 2018. But for the first time in March they suggested it could be delayed until 2019.

“Most likely it will be in 2019 but we will not know until the announcement has been made,” Al-Falih said. “All I could say is stay tuned.”

The Aramco IPO would be a once-in-a-generation event for financial markets. Saudi officials said they hope to raise a record $100 billion by selling a 5 percent stake, valuing the company at more than $2 trillion and dwarfing the $25 billion raised by Chinese retailer Alibaba Group Holding Ltd. in 2014.