NY Times reports 4Q profit of $90.9 million

By Beth Healy, Globe Staff

The New York Times Co. reported a profit of $90.9 million in the fourth quarter of 2009, up from $27.7 million in the same quarter a year ago, as circulation revenue rose and advertising declines slowed.

For the year, the company, which owns The Boston Globe, posted net income of $19.9 million, reversing a loss of nearly $58 million in 2008. The Times Co. posted operating earnings per share of 44 cents, excluding special items, for the quarter, exceeding Wall Street expectations of 38 cents a share.

Fourth quarter revenue slid 11.5 percent, to $681.2 million, a more modest decline from the third-quarter drop of 16.9 percent.

New York Times Co. chief executive Janet Robinson said in a statement that the advertising environment remains "challenging," but she expects some improvement in 2010.

Total ad revenue fell 15 percent to $398 million in the period, as a 20 percent decline in newspaper ad revenue was offset by an 11 percent increase in digital ads. Digital ads accounted for about 23 percent of ad revenue, reflecting how readers and advertising are migrating to the Internet for news.

Total advertising revenue for the New England Media Group, which includes the Globe, fell 20.3 percent in the quarter, to $62.6 million.

Circulation revenues company-wide rose 2.4 percent in the quarter, to $239.3 million, following newspaper price increases at the Globe and the Times last year. Circulation revenue climbed the most at the New England Media Group - by 8.5 percent, to $43.5 million.

"This growth demonstrates the strong demand and loyalty for our high quality news and information in print, even as the content marketplace becomes increasingly digital,'' Robinson said.

The company said it met its goal of cutting $475 million in costs for the year. It also reduced its debt by $290 million, to $769 million.

Robinson said the Times Co. is still working on a sale of its 17.5 percent stake in the Red Sox, but that "the process is complicated and is taking longer than we anticipated."