OSPREY MEDIA
Markham- based newspaper publisher Osprey Media Income Fund says its third- quarter profit dropped to $ 4.3 million from a year- earlier $ 4.4 million as the company continued to restructure its printing operations. The profit amounted to 8 cents per share diluted and compared with 9 cents, the fund said yesterday. Revenue for the quarter ended Sept. 30 was $ 54.2 million, up from $ 49.9 million in the same period of 2004.
“ We recorded encouraging improvements in same- store revenues and benefited from the contribution of acquisitions in the second half of 2004 and at the end of the second quarter this year,” Michael Sifton, president and chief executive officer of the fund, said in a release.
Almost half of the company’s revenue growth in the quarter was generated by the improvement in same- operation revenues, or those in operation for a year or more, Sifton noted.
“ Over the past year we have reduced our plants to 13 from 17, and while some of the transitional costs will impact our earnings in 2005, we remain confident these initiatives will have long-term benefits for unitholders.” Automotive advertising was strong during the quarter and was the main contributor to the increase in national and retail advertising, the company said. Government spending was weaker and multi- market- retail run of press advertising “remained soft as retailers continued to divert some or all of their advertising spending to inserts.”
Accordingly, the company’s insert revenue grew during the quarter.
Osprey, which was turned into an income fund in April 2004, owns 21 daily newspapers, all of them in Ontario, including the Sault Ste. Marie Star, Peterborough Examiner, Sarnia Observer and St. Catharines Standard.