Profits Slide at New York Times

New York Times (NYT Quote) reported Thursday that its third-quarter earnings dropped 39% on lower revenue, layoff costs and a loss related to the sale of its stake in the Discovery Times Channel.

The Old Gray Lady earned $14 million, or 10 cents a share, for the quarter, down from the $23.1 million, or 16 cents a share, it recorded for the same quarter last year.

The results include an after-tax charge of $4.3 million, or 3 cents a share, related to staff reductions, and an, after-tax loss of $4.3 million, or 3 cents a share, from the sale of a 50% stake in the Discovery Times cable channel.

Analysts, on average, had expected the media conglomerate to report earnings of 12 cents a share, according to Thomson First Call. That forecast doesn't include the one-time items.

New York Times' revenue for the quarter came in well short of analysts' estimates. The company reported a top line of $739.6 million, down 2.4% $757.8 million last year. Analysts, on average, expected revenue of $787 million.

Shares of New York Times were recently down 39 cents, or 1.7%, to $22.86.

"Our third-quarter results reflect the continued weakness in the print advertising marketplace," the company said in a press release. "We are, however, strongly encouraged by the discipline our teams have shown in holding the line on operating costs, which were virtually flat with the third quarter of last year."