Meredith Corp., owner of WFSB Channel 3 in Rocky Hill and the publisher of women’s magazines such as Ladies’ Home Journal, reported a 51 percent increase in net income for the second quarter as lower costs and a smaller year-ago charge more than offset a decline in revenue.
Meredith earned $18.9 million, or 42 cents per share, in the quarter compared with $12.5 million, or 28 cents, in the same quarter a year earlier.
The company cut 45 jobs and took a 7 cents per share charge in the quarter to reflect severance costs and realignment of its special interest media division. Last year included a special charge of 21 cents per share.
Excluding the special charges, the company earned 49 cents per share in the quarter, flat from the prior year. Revenue fell 6.7 percent to $336.8 million.
Meredith’s performance exceeded analysts’ average earnings forecast of 45 cents per share and revenue outlook of $335.6 million, according to Thomson Reuters.
In the quarter, advertising revenue fell by 7 percent but circulation revenue rose. Total operating expenses were down 7.9 percent.
Looking ahead, Meredith said it expects to post third-quarter earnings of 55 cents to 60 cents per share. Analysts were expecting 55 cents.
For the year, the company is forecasting earnings of $1.90 to $2.05 per share. Analysts were forecasting $1.95 per share on average. Meredith is based in Des Moines. (AP)
