The New York Times Company continued its march toward a digital future in the third quarter of 2017, as strong growth in digital advertising and new online subscriptions helped counteract a further collapse in print advertising.
The company said on Wednesday that digital advertising revenue in the quarter rose 11 percent, to $49 million. The company also added 105,000 net digital-only subscriptions for its news product, helping to push digital subscription revenue to $86 million, a 46 percent increase compared with the same period a year ago. Over all, the company said, total revenue increased 6 percent in the quarter, to $386 million.
Including subscriptions for its crossword and cooking products, The Times now has nearly 2.5 million digital-only subscribers.
The Times, however, has not been immune to the punishing, industrywide downturn in print. Print advertising revenue fell 20 percent in the quarter, fueling a 9 percent decrease in total advertising revenue.
âWe had a strong quarter once again, with solid growth in digital subscriptions, digital advertising and subscription revenue and overall profitability,â Mark Thompson, the chief executive of The Times, said in a statement.
The sound, if not earth-shattering, financial results were announced as The Times fundamentally reshapes itself into a business no longer rooted in newsprint. In the past several months, it has eliminated its copy desk, offered buyouts to employees and reorganized the structure of its newsroom.
But from a financial perspective, The Times appears to be moving in a positive direction.
Operating profit for the quarter increased to $33 million, from $9 million in the same period last year. Adjusted operating profit rose to $57 million, from $39 million. (Adjusted operating costs in the quarter rose slightly, to $329 million from $324 million compared with the third quarter of 2016.)