Lee Enterprises – owner of the Quad City Times, Daily Dispatch/Argus and more than 70 other newspapers and online news sites – reported a $6.34 million loss for the fourth quarter ended September 25. However, the quarterly financial results were skewed into negative territory primarily by a $21 million (non-cash) write-down of company assets.
Without the write-down, Lee likely would have had positive earnings for the quarter, as opposed to the $1.09 per share loss it reported Thursday (December 8).
Total operating revenue for the three months was essentially flat ($193.6 million) compared with last year ($193.9 million). Operating expenses, boosted by the $21 million write-down totaled $198.6 million for the fourth quarter, compared with $181.9 million a year ago.
"I am really encouraged at the pace of Lee's digital transformation as our results and execution place us well on our way to achieving our long-term goals," Lee President and CEO Kevin Mowbray stated in the company's news release.
Mowbray stated the company's "total digital revenue" was $65 million, representing one-third of Lee's total operating revenue.
The write-down in the fourth quarter was to recognize "non-cash impairments of intangible assets and leases," according to the news release.
CLICK HERE to download/view the full fourth quarter report.