Earnings: Primedia Revs Slip, But Income Up On Lower Costs

This story was written by Joseph Weisenthal.
Real estate related content is a tough business, but Primedia (NYSE: PRM), a provider of guides and directories is hanging on. The company said Q2 revenue fell 2.2 percent to $76.8 million. And because the company cut costs in the quarter, the company actually grew op income 23.3 percent to $9.5 million. Net income stood at $1.9 million ($.08 per share). Not surprisingly, there's a split in the company's products for renters and those targeted towards home buyers. The aparentments business (Apartment Guide, ApartmentGuide.com and Rentals.com) grew 2.1 percent to $52.4 million. New Homes (New Home Guide, NewHomeGuide.com and Professional Edition) on the other hand was not so good, with revenue falling 16.4 percent to $10.5 million. Not too much digital-only data, though the company said its Rentals.com site fell 6 percent year over year, which it chalked up to execution issues. As evidence that the site is on a turnaround, the company notes that revenue was up 7.9 percent from Q1.

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By Joseph Weisenthal