NYT's paid digital subscriptions exceed 1 mn for the first time

07 Aug 2015

The New York Times said its digital paid subscriptions had exceeded 1 million for the first time, as it reported a quarterly profits jump.

The prestigious US daily, which is in the process of transiting to digital, said it hit the milestone for digital-only subscriptions on 30 July, some four-and-a-half years following the launch of its pay model.

The 1 million plus digital-only subscribers are in addition to Times' 1.1 million print subscribers, who also got access to digital news.

''This is a major milestone for our digital consumer business, which we launched in 2011 and has continued a strong and steady growth trajectory. It puts us in a unique position among global news providers,'' said Mark Thompson, president and chief executive of the New York Times Company, The Star Online reported.

''We believe that no other news organisation has achieved digital subscriber numbers like ours or comparable digital subscription revenue. It's a tribute to the hard work and innovation of our marketing, product and technology teams and the continued excellence of our journalism.''

The Times launched its online paywall strategy in 2011 and has been emphasising digital as also circulation and advertising decline. (See: New York Times' profits beat forecasts).

The company in 2012, reported more revenue from circulation than advertising for the first time.

Meanwhile, the company stock was down 3 per cent yesterday closing at $12.80, after it beat quarterly earnings expectations, despite falling short on revenue.

The 1.5-per cent revenue decline, to $382.9 million, included a circulation increase of 0.9 per cent that was more than offset by an advertising decline of 5.5 per cent.

''Times journalism has a broader reach and wider impact now than at any time in our history,'' Publisher Arthur Sulzberger Jr said of print-and-digital circulation combined.

Adjusted diluted earnings per share from continuing operations rose 86 per cent in the quarter, to 13 cents per share, exceeding analysts' projection of 11 cents.

The company said the earnings boost came on cost declines, which outpaced its revenue declines.