Meredith Corporation saw a 3 percent revenue growth, reaching a record $1.65 billion, the company revealed today in its FY 2016 report. The company, known for its large female audience, also reported that it reached an all-time high of 102 million American women.
Even in a year of industry concern over print revenues, the publisher boosted its magazine readership to a record 127 million. Overall advertising for its National Media Group, which includes such titles as Better Homes and Gardens, Shape, and Parents, grew 6 percent. Interestingly, print advertising increased 3 percent and circulation revenues increased 5 percent to $329 million.
The increase in advertising and circulation revenues is largely attributable to the recently acquired Shape and Martha Stewart brands, and the continuing strong performance of the Allrecipes and EatingWell brands.
However, the report noted that Meredith's National Media Group had an operating loss of $18 million for FY 2016. Yet excluding special items (such as severance and related benefit costs), its operating profit actually grew 10 percent to $150 million, and revenues increased 4 percent to $1.10 billion.
The company continued its 69-year streak of paying a dividend, which has increased for 23 consecutive years. In FY 2016, it increased by 8 percent to $1.98 per share on an annualized basis.
Meredith Corp. predicted total revenues will be up in the mid-single digits for the first quarter of FY 2017, potentially higher than this past year. However, its outlook National Media Group revenues was down in the low single digits, hinting at less growth in magazines compared to other platforms.
In April, Meredith shuttered women's lifestyle magazine More, though just last week the company announced a new quarterly lifestyle magazine in partnership with HGTV's "Fixer-Upper" stars Joanna and Chip Gaines.