Bee’s parent firm loses $23.8M
The McClatchy Co. reported Friday a net loss of $23.8 million and a 10 percent drop in revenue in the third quarter while also seeing a rise in digital subscriptions.
The Sacramento-based publisher of 30 daily newspapers including The Fresno Bee also saw a 48 percent year-over-year increase in digital subscribers in part because of a new sports-only subscriptions offering. The company ended the quarter with 137,000 digitalonly subscribers.
Still, total advertising revenues were down 17.5 percent and digital-only advertising revenues fell by 9 percent.
McClatchy also sold its remaining interest in the website CareerBuilder for $5.3 million.
“While headwinds in print newspaper advertising remain strong, this trend in our digital revenue signals that our relentless focus on digital transformation continues to be an effective strategy for sustainability and future growth,” CEO Craig Forman said in a prepared statement.
McClatchy is one of three bidders vying to purchase Tribune Publishing, a legacy newspaper chain briefly known as Tronc, according to news reports. Forman, during an earnings call with investors, declined to comment.
McClatchy’s shares opened trading at $7.35.