Meredith Revenue Inches Up in FQ1 2014
Full-year outlook predicted to trend up.
The Meredith Corporation announced fiscal first-quarter 2014 revenue increases, while earnings dipped slightly. The female-centric media and marketing company is relying on growth from its digital side, advertising revenue and the launch of the Allrecipes magazine to propel its full-year outlook.
Meredith‚Äôs total revenues inched up 1 percent to $356 million from $354 million in the same period last year. Year-over-year earnings per share dipped to $0.53 from $0.55 for the first quarter.
Stephen M. Lacy, Meredith chairman and CEO, remained optimistic saying, ‚ÄúWe‚Äôre off to a strong start in fiscal 2014,‚ÄĚ in a statement.
Lacy mostly championed record revenue and profit performance of the company‚Äôs Local Media Group, which grew total revenues 3 percent to $90 million. Non-political advertising revenues also increased 3 percent to $64 million thanks to strong performances from television stations.
‚ÄúOur record revenue performance‚ÄĒachieved in a non-political quarter‚ÄĒspeaks to the fundamental strength of our television broadcasting business,‚ÄĚ says Local Media Group President Paul Karpowicz, in a statement.
Digital advertising revenues also spurred growth showing a record high 12 percent increase for the quarter.
‚ÄúWe continued to successfully execute our Total Shareholder Return (TSR) strategy,‚ÄĚ Lacy says. ‚Äú Investor response has been strong with our share price more than doubling since we launched our TSR program [two years ago].‚ÄĚ
Next month, Meredith will launch its first digital brand print extension with Allrecipes magazine. In its first year, the title will publish six issues and have a rate base of 500,000.
Digital traffic, overall, averaged a first-quarter record of 47 million unique visitors while digital orders for print magazine subscriptions grew 7 percent to 1.2 million year-over-year.
Looking ahead, Meredith projects fiscal second-quarter earnings per share increase in the $0.65 to $0.70 range, while the fiscal full-year earnings outlook is expected to range from $2.60 to $2.95.