Editor & Publisher’s Mark Fitzgerald takes a look at Gannett Co.’s second-quarter earnings and says in his Fitz & Co. blog that simply cutting costs, which for the most part means laying off staff, no longer flies for newspaper publishers.
“The Street will no longer be satisfied with earnings pumped up only by continual cost-cutting. Gannett (GCI) handily beat Street estimates of earnings – but its overall earnings, in a quarter when its broadcast properties were humming nicely, was down 1.6%. … GCI got hammered for those results Friday, falling more than 10 percent.”
Gannet’s print and circulation revenues were down for the quarter also.
Other publishers’ stocks are also down as their 2Q reports come in the next several days, Fitzgerald says.
Tags: Editor & Publisher, Fitz & Co., Gannett, Mark Fitzgerald, profits, revenue