Providence Journal’s parent company, A.H. Belo, swings to the black in 3Q

DALLAS, Texas – The A.H. Belo Corp., parent company of the Providence Journal, swung to the black in the third quarter, reporting a profit of $4.57 million, or 20 cents per diluted share, compared with a loss of $5.77 million for the same 2009 period.

The company had posted losses since it was spun off from Belo Corp. in 2008, except for one quarter.

The newspaper publisher, also responsible for The Dallas Morning News and California’s The Press-Enterprise, said Wednesday that revenue shrunk 6.1 percent to $119.13 million for the three months ended Sept. 30, compared with $126.87 million as seen a year earlier. Total advertising revenue, including print and digital revenue, declined 11.2 percent as circulation revenue slipped 0.9 percent.

“Our corporate and operating unit teams have worked intensely for the past two years to reach this relative stability in an industry environment that continues to change at a rapid pace,” said Robert W. Decherd, chairman, president and CEO of A.H. Belo.

Operating costs and expenses declined 19.6 percent to $115.55 million in the third quarter from $143.77 million a year earlier; A.H. Belo said its newsprint expense increased 10.5 percent in the third quarter as newsprint consumption grew 2.5 percent and newsprint cost per metric ton jumped 7.7 percent.

The company said its third-quarter earnings reflect a $1.6 million pension expense; excluding the pension expense, operating expense was $113.9 million, declining 20.7 percent from 2009.

A.H. Belo also reported its earnings for the nine months ended Sept. 30. The newspaper publisher decreased its loss to $4.73 million from a loss of $113.54 million as seen in 2009. Operating revenue year to date was $356.46 million, compared with $382.87 million a year earlier.