TORONTO — Postmedia Network Canada Corp. continued to experience significant revenue erosion at its newspaper business during its fourth quarter, which ended with a $22.8 million net loss.
The company, which owns the National Post as well as newspapers in several of Canada’s largest cities and smaller print and digital publications, said the loss amounted to 24 cents per share.
The loss compared with a profit of $40.3 million or 43 cents per share in the same quarter a year ago when the bottom line was helped by a gain from the sale of Infomart and a lower restructuring expense compared with this year’s fourth quarter.
Postmedia’s fourth-quarter revenue fell to $158.68 million compared with $176.8 million a year ago, despite a 10 per cent increase in digital revenue, which rose to $28.9 million.
The company announced in June that it would begin another round of cost-reductions aimed at reducing compensation expenses by about 10 per cent during the financial year ended Aug. 31, through voluntary and involuntary departures.
The downsizing comes amid declining revenue for most traditional newspaper and broadcasting companies as they battle newer types of digital media and internet services for audiences and advertisers.
Companies in this story: (TSX:PNC.A, TSX:PNC.B)
The Canadian Press