Two US media groups – Dow Jones and E W Scripps – have reported tumbling earnings for the first quarter of 2002 as the slump in print advertising persists.
Dow Jones posted a 59% slide in Q1 net income to $12.3 million (€14m; £8.6m), down from $30.5m last year and slightly below analysts’ expectations. The group’s revenues dropped 14.6% to $392.9m, as ad linage at the flagship Wall Street Journal tumbled 25%.
The publisher also forecast a 10%–20% drop in the Journal’s ad linage for the second quarter. “We still feel the effects of a weak global advertising environment and continue to do all that we can to mitigate those effects,” declared chairman/ceo Peter Kann.
Meanwhile, Scripps – owner of newspapers, cable networks and TV stations – reported a 40% decline in net income from $66.4m in Q1 2001 to $39.9m, while revenues slipped from $362.1m to $359.8m.
However, excluding one-time items, earnings from core operations rose from $34.8m twelve months ago to $45.3m, ahead of expectations.
Data sourced from: Financial Times; MediaWeek.com (USA); additional content by WARC staff