Outlook Hits New York Times Co.
The
New York Times Company
(NYT) - Get Report
Tuesday offered lukewarm first-quarter guidance, citing "uneven advertising" and a "challenging market."
The New York-based media company said EPS is expected to be 74 cents to 76 cents based on generally accepted accounting principles, or GAAP.
That forecast includes a gain of 46 cents a share from the sale of assets, including the company's headquarters. It also includes expenses of 5 cents a share covering stock-based compensation and costs related to the redemption of debentures.
Based on those items, the forecast is 31 cents to 35 cents a share. The consensus forecast is 34 cents a share, according to Thomson First Call.
"In the first quarter, advertising performance remained uneven across our properties, with
The New York Times
experiencing modest year-over-year improvement and
The Boston Globe
seeing declines stemming from the banking and telecommunications categories," the company said."Our larger properties will be adversely affected by the timing of Easter, which fell in March this year but was in April last year. Traditionally, advertising is lighter on holidays such as Easter Sunday."
The Times said its broadcast media unit was able to show a revenue gain in the first quarter.
"Given the challenging market, we remain focused on finding new revenue streams and limiting expense growth," the company said.
The company plans to report its first-quarter results on April 14.
Shares fell 70 cents, or almost 2%, to $35.10 in premarket trading, a new 52-week low.