TORONTO – Postmedia Network Inc. reported a $40.3-million profit in its latest quarter, boosted by the sale of its Infomart business.
The media company said Thursday the profit amounted to 43 cents per share for the quarter ended Aug. 31 compared with a loss of $99.4 million or 35 cents per share a year ago.
Revenue for the company’s fourth quarter totalled $176.8 million, down from $194.6 million in the same quarter last year.
Postmedia sold its Infomart business to Meltwater News Canada Inc. for $38.3 million.
“This quarter we have continued to divest of non-core assets — including the sales of the Infomart business and the Islington, Ont., print facility — with the net proceeds applied to debt repayment,” Postmedia chief executive Paul Godfrey said in a statement.
“On the revenue front, while traditional print revenues continue to be under significant pressure, this was our third quarter of continued digital advertising revenue growth — a positive sign that new customers are embracing our innovative solutions.”
Print advertising revenue fell 15 per cent compared with a year ago, while print circulation revenue dropped 7.3 per cent. Digital revenue increased 15 per cent compared with the same quarter last year.
For its financial year ended Aug. 31, Postmedia said it earned $44.8 million or 40 cents per share compared with a loss of $352.5 million or $1.25 per share in the previous financial year. Revenue totalled $754.3 million, down from $860.4 million.
The results came as Postmedia announced that chief operating officer Andrew MacLeod has added the role of president to his job as part of the company’s succession plan.
MacLeod takes over the title from Paul Godfrey who will remain the company’s chief executive, a position he has held since the company’s inception in 2010.
Postmedia said the move formalizes a clear succession plan and acknowledges the collaborative executive structure already in place.
MacLeod joined Postmedia in 2014 as chief commercial officer and was named chief operating officer in 2016.
Postmedia (TSX:PNC.A, TSX:PNC.B) owns the National Post as well as several other major Canadian newspapers as well as digital platforms.