New York Times Digital Subscription Growth Slows To Lowest In Three Years
The New York Times Co’s (NYT.N) quarterly digital subscription growth slowed to its lowest in three years as the news cycle cooled after an action-packed 2020 that was dominated by headlines on the U.S. presidential election, political unrest and the pandemic.
The 170-year-old publication added only 142,000 digital subscribers in the quarter ended June, its lowest since the second quarter of 2018.
The Times has grown its digital business in recent years by offering a rich library of content that ranges from news to podcasts and crosswords.
During the peak of the COVID-19 pandemic last year, it also benefited people spending hours on its popular word games and using its recipes to whip up meals and desserts.
“We continue to expect that our total annual net subscription additions (for 2021) will be in the range of 2019, although that remains difficult to predict with precision,” Chief Executive Meredith Kopit Levien said in a statement.
At the end of the second quarter, the Times had 7.9 million total subscriptions, of which 7.1 million were digital-only.
The company’s quarterly revenue came in at $498.5 million, beating the average analyst estimate of $487.7 million, according to Refinitiv IBES data.
That was driven by a recovery in advertising sales in both print and digital, as businesses increased spending after last year’s pandemic-driven slump. Advertising sales jumped 66.4% to $112.8 million.
Excluding items, The Times earned 36 cents per share, above estimates of 27 cents per share.