Martha Stewart Living Reports First Profitable Second Quarter Since 2008
The lifestyle media company posted lower revenue and weaker broadcasting unit results, though.
Martha Stewart Living Omnimedia on Tuesday reported a swing to a second-quarter profit, marking the firm's first profitable second quarter since 2008.
The lifestyle media company founded by Martha Stewart posted a profit of $1.77 million, compared with a loss of $1.18 million in the year-ago period.
Quarterly revenue fell from $42.2 million to $37.6 million as figures in all units — publishing, broadcasting and merchandising — declined.
Broadcasting unit revenue fell from the year-ago period, and the unit swung to a slight loss. "Last year's second quarter included revenue from the second season of Martha Stewart's Cooking School with higher sponsorship rates with no comparable revenue in this year's second quarter," the company explained.
"For the past several months, we have been focused on managing our costs and expenses without in any way sacrificing our high-quality content and designs," said CEO Dan Dienst, a turnaround specialist tasked with putting the company back on solid financial footing. "We saw the efforts of many of our talented staff pay off this quarter, which is the first profitable second quarter our company has achieved since 2008."
He added: "With the business stabilized, our business unit realignments behind us, and efficiencies and productivity measures being rigorously monitored, we are now keenly focused on the many growth opportunities ahead of us across all verticals and all geographies. As I have said on several recent occasions, the best years for MSLO are indeed ahead of us."
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