New York Times eyes further digital growth as profit sinks

The New York Times Co. said Tuesday profit in the fourth quarter slumped 47 percent from a year earlier, hit by costs for restructuring and investment in digital operations. The prestigious newspaper publisher reported a net profit for shareholders of $34.8 million, down from $65 million in the same period in 2013.
Revenue was nearly flat in the period at $444 million. The Times faced increased costs in the quarter for severance as it reduces its newsroom staff, and from investments in its online operations as readers shift away from print. Times Co president and chief executive Mark Thompson said he was nonetheless encouraged by growth in digital subscribers and that the company would keep investing in digital. The Times ended the year with 910,000 paid digital subscribers, up 150,000 from the previous year, and hopes to reach one million in 2015.