The "newspapers are doomed" theme has been making its rounds for over a decade now, buoyed in large part by the fact that it's basically true. For the most part, the days of the locally-owned and operated daily newspaper are long gone, or at least gone insofar as a growth story. But that doesn't automatically mean that large media companies like Gannett (NYSE:GCI), New York Times (NYSE:NYT) and McClatchy (NYSE:MNI) are doomed. The question, though, is whether there's any clear way for these companies to unlock whatever value remains of their businesses.
Another Gloomy Quarterly Report
Gannett did not post disappointing numbers for the second quarter relative to expectations, and that may be the best that can be said about it. Revenue was down a bit more than 2%, led by the ongoing erosion of the publishing business. Publishing revenues were down almost 5% on a greater than 6% drop in ad revenues. Broadcasting was ever so slightly positive and though digital revenue was up more than 12%, it still comprises just about 13% of total revenue.
The full article can be found at this link:
http://stocks.investopedia.com/stock-analysis/2011/Gannett-Looks-To-Be-A-Survivor-GCI-MNI-NYT-NWS-GOOG-MWW-WPO0719.aspx
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