Lee Enterprises digital revenues grow, but overall revenues and earnings drop in second quarter

Despite gains from its digital operations, Lee Enterprises, Inc. – owner of 77 media properties including the Quad City Times and the Argus/Dispatch – saw overall revenues and earnings fall during the second quarter compared with a year ago.

Lee reported Thursday (5/5) it lost $6.7 million ($1.26 per share) during the second quarter ended March 27. That compares with a loss of $608,000 ($.20 cents per share) for the same period a year ago.

The Lee earnings news release stated net income was $6.5 million, but that number excluded normal expenses including interest, depreciation, taxes and amortization. For Lee, with a debt of $463 million, its interest expense for the quarter was $10.5 million.

As with previous quarterly earnings releases, Lee touted its digital revenue streams and conversion of its print subscriber base to online only subscribers.

While digital revenue increased nearly 25 percent to just over $113 million for the quarter, print revenues fell 11 percent to $279 million. Operating expenses increased nearly 3 percent to $374 million.

“Our second quarter results have us on track to achieve all of our fiscal year 2022 digital revenue targets," President and CEO Kevin Mowbray stated in the Lee news release. "These early returns on our digital investments give us confidence we have the right strategy, the right team and we are executing with velocity.”

CLICK HERE to download the Lee second quarter earnings news release.

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