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Ad sales keep dropping at Lee and Gannett

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Davenport-based newspaper chain Lee Enterprises Inc. saw advertising revenues decrease 5 percent in the 13 weeks that ended March 27. In the same period, Virginia-based Gannett Co. Inc., publisher of The Des Moines Register, experienced a 7 percent drop in ad revenues.

The figures were included in reports that the companies filed with the Securities and Exchange Commission.

Lee said its print retail revenues were down 8.2 percent compared with the year-ago quarter, but digital retail advertising increased 43.8 percent. The company cut compensation expenses 3.5 percent, as the number of full-time-equivalent employees shrank 3.8 percent.

At Gannett, digital segment operating revenues improved by 12 percent; the company credited higher employment advertising demand at its CareerBuilder website.

Gannett’s payroll expenses were down 1 percent, although operating expenses were affected by $6 million in costs attributed to workforce restructuring. The company said it saved $10 million through employee furloughs.