Earnings: MSO Q1 Revs Up 2 Percent; Net Loss Narrows
This story was written by Joseph Weisenthal.
Martha Stewart Omnimedia (NYSE: MSO) reported 2 percent Q1 revenue growth to $67.8 million. Net losses also improved, slimming to $4.2 million from $11.8 million in the year-ago quarter. In the company's core publishing business, revenue was basically flat at $40.8 million. Excluding Blueprint, which was shuddered, revenue growth would have come in at 4 percent. Internet revenue narrowed slightly, to $3.4 million from $3.5 million, but this was largely due to the transition away from its own Martha Stewart Flowers towards an outsourced deal with 1-800-Flowers. Under the new system, the flowers business will not be included in internet revenues, but in merchandising. Online ads grew at a brisk 31 percent. And so far, the company isn't worried about the economy. It says that despite the uncertain outlook its seeing positive ad trends.
By Joseph Weisenthal