NYT Q2 2020 Earnings Report
Key Takeaways
The New York Times Company reported a 7.5% decrease in total revenue for Q2 2020, amounting to $403.8 million, compared to $436.3 million in Q2 2019. Despite a decrease in advertising revenue, the company added 669,000 net new digital subscriptions.
Total revenues decreased by 7.5% due to the COVID-19 pandemic.
Digital-only subscription revenue increased by 29.6%.
The company added 669,000 net new digital subscriptions.
Total digital revenue exceeded print revenue for the first time.
NYT
NYT
NYT Revenue by Segment
Forward Guidance
The Company expects subscription revenues to increase, but advertising and other revenues to decrease in the third quarter of 2020. Operating costs are expected to be flat or to decrease in the low-single digits.
Positive Outlook
- Total subscription revenues are expected to increase approximately 10 percent.
- Digital-only subscription revenue is expected to increase approximately 30 percent.
- Operating costs are expected to be flat or decrease slightly.
- Company is continuing to invest in digital subscription growth.
- Deferring non-essential spending.
Challenges Ahead
- Total advertising revenues are expected to decline approximately 35 percent to 40 percent.
- Digital advertising revenue is expected to decrease approximately 20 percent.
- Other revenues are expected to decrease approximately 10 percent.
- The COVID-19 pandemic could impact the outlook.
- Uncertainties in the business and competitive environment.
Revenue & Expenses
Visualization of income flow from segment revenue to net income