:max_bytes(150000):strip_icc():format(jpeg)/GettyImages-1896219538-4b63f30940134daebbefac61ed4114fe.jpg)
Key Takeaways
- The New York Times Co. on Wednesday reported second-quarter revenue and profit that beat analysts’ estimates.
- The media outlet topped 10 million digital subscribers and reported digital advertising revenue rose 7.8% year-over-year.
- Shares rose more than 5% in intraday trading.
Shares of the New York Times Co. (NYT) surged in intraday trading Wednesday after the media outlet’s second-quarter results beat estimates as its surpassed 10 million digital subscribers for the first time.
The Times reported a 41% year-over-year jump in net income to $65.5 million on revenue that rose roughly 6% to $625.1 million. Both figures narrowly topped analysts’ estimates compiled by Visible Alpha.
Subscription, Digital Ad Revenues Rise; Print Revenue Falls
The company had a total of 10.8 million subscribers as of the end of the quarter, 10.2 million of whom were digital subscribers. Subscription revenue rose 7% to $439.3 million, with average revenue per user (ARPU) rising 2% to $9.34.
Advertising revenue overall rose 1% to $119.2 million, with digital advertising revenue adding 7.8% but print advertising revenue falling 10%.
“It was a strong second quarter for The Times—one in which we made further progress on the path to grow our subscriber base and become the essential subscription for every curious person seeking to understand and engage with the world,” Chief Executive Officer (CEO) Meredith Kopit Levien said.
Shares rose about 5% to $54.70 as of 11:50 a.m. ET and are up about 12% so far this year.