New York Times Company Q2 2024 Financial Results

The New York Times Company has released its second-quarter 2024 financial results, showcasing significant growth in digital subscriptions and advertising revenues. The company continues to expand its digital footprint, driven by its diverse product offerings and strategic initiatives.

Financial Highlights

For the second quarter of 2024, the New York Times Company reported a notable increase in key financial metrics:

• Total revenues: $625.1 million, up 5.8% year-over-year.
• Digital-only subscription revenues: $304.5 million, a 12.9% increase year-over-year.
• Digital advertising revenues: $79.6 million, up 7.8% year-over-year.
• Operating profit: $79.4 million, a 42.4% increase year-over-year.
• Diluted earnings per share (EPS): $0.40, up from $0.28 in Q2 2023.

Business and Operational Highlights

The company added approximately 300,000 net digital-only subscribers in the second quarter, bringing the total to 10.21 million digital-only subscribers. The average revenue per user (ARPU) for digital-only subscriptions increased by 2.1% year-over-year to $9.34. This growth was primarily driven by subscribers transitioning from promotional to higher prices and price increases on tenured non-bundled subscribers.

Other revenue streams also saw growth, with a 4.9% increase year-over-year, primarily due to higher Wirecutter affiliate referral and licensing revenues.

Strategic Initiatives and Corporate Developments

During the quarter, the company repurchased 208,083 shares of its Class A Common Stock for approximately $9.5 million. As of August 2, 2024, approximately $201.5 million remains available and authorized for repurchases. Capital expenditures for the quarter totaled approximately $9 million, driven by investments in the company's printing and distribution facilities, headquarters improvements, and technology to support strategic initiatives.

Management's Perspective

Meredith Kopit Levien, president and chief executive officer, commented, "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. The combination of our world-class news destination plus market-leading lifestyle products means we have complementary offerings in big spaces, each with multiple growth levers fueling multiple revenue streams."

Future Outlook

Looking ahead to the third quarter of 2024, the company expects digital-only subscription revenues to increase by 12-15%, total subscription revenues to increase by 7-9%, and digital advertising revenues to grow in the high-single-digits. Adjusted operating costs are projected to increase by 5-6%.

SEC Filing: NEW YORK TIMES CO [ NYT ] - 8-K - Aug. 07, 2024