New Media reports increase in profit, revenue in 1Q

NEW MEDIA Investment Group Inc. reported $5 million in profit, or 11 cents per diluted share, in the first quarter, reversing a loss in the year-ago first quarter of $6 million, or 14 cents per diluted share.
NEW MEDIA Investment Group Inc. reported $5 million in profit, or 11 cents per diluted share, in the first quarter, reversing a loss in the year-ago first quarter of $6 million, or 14 cents per diluted share.

PROVIDENCE – New Media Investment Group Inc. reported $5 million in profit, or 11 cents per diluted share, in the first quarter, reversing a loss a year ago of $6 million, or 14 cents per diluted share.
The media company, whose GateHouse Media owns the Providence Journal, reported $300.1 million in revenue, an increase of 19.7 percent from $250.6 million in revenue recorded in first quarter 2015.
It said revenue fell 5.1 percent on a same-store basis, and that total print advertising fell 11.2 percent on a same-store basis.
However, it said digital revenue reached $27.5 million, an increase of nearly 7 percent compared with the prior year’s quarter.
The company noted first-quarter highlights, including approximately $58 million in acquisitions, such as the business information division of Dolan LLC for $35 million, as well as the acquisition of the Erie Times-News and related publications for $11.5 million, and purchase of ThriveHive, a marketing software company that focuses on small businesses, for $11.8 million.
It said it also reached an agreement to acquire substantially all of the assets of Journal Multimedia, a multi-title publishing, events, media and research company, for $18 million, and said that is expected to close later this quarter.
Journal Multimedia includes Central Penn Business Journal, NJBIZ and Lehigh Valley Business, as well as Pet Age, a national trade magazine for the pet industry, and Central Penn Parent, in addition to Best Companies Group.

“Since inception New Media has been committed to its acquisition strategy and our year-to-date activity reflects the positive momentum we have carried into 2016,” Michael E. Reed, New Media president and CEO, said in a statement.

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