The Washington Post Co. reported lower earnings this morning due to one-charges due to severance charges brought on by layoffs at the newspaper division, as well as charges on gain on sales and on unrealized foreign currency gains. As a rseult, earnings fell 55 percent while revenue increased slightly due to strong television revenue.
The newspaper publishing division saw continuing revenue declines, with revenue down 3.9 percent in the quarter to $127.3 million, versus $132.5 million for the same quarter last year.
The media company reported gains in newspaper online revenue. Online revenue rose 8 percent to $25.8 million in the quarter, with display rising 16 percent, but classified advertising falling 6 percent in Q1 of 2013.
The Washington Post Co. completed the sale in March of The Herald, its daily newspaper in Everett, WA., so the newspaper division’s operating results now exclude the newspaper.
The Kaplan education division, which had been driving revenue and profit growth at the company for years also continued to see declines as revenue fell 3 percent in the quarter.
The Washington Post today also updated its new Newsstand app, The Washington Post for iPad. The update adds the crossword puzzles in an interactive format.
The Washington Post introduced its new iPad app in March (see original TNM post here), moving the app into the Apple Newsstand and adding access to the app access to the print edition. Access is free of charge right now, though the paper is expected to introduce a paywall soon.