Dolan Co., which owns business newspapers across the country, reported a net loss and a decline in revenue for the first quarter.
The Minneapolis-based company reported that first quarter revenues decreased 8.5 percent year-over-year to $54.7 million. Its net loss was $7.2 million, or 25 cents per diluted share. This includes an $10.7 million impairment charge, partially offset by the reversal of a $5.0 million purchase price hold back.
In its business information division, which includes the business newspapers, revenue declined by almost 11 percent to $15.8 million in the first quarter compared to last year. This was driven by public notice revenues, which declined 17 percent. Similar to the preceding quarter, public notice advertising felt the impact of lower mortgage default volumes, which reduced margins and profitability.
In the business newspaper division, direct operating expenses were $6.0 million during the first quarter of 2013, a 7.9 percent decline compared to $6.5 million last year. In addition, selling, general and administrative expenses of $7.5 million were 3.8 percent lower than last year.
Dolan owns the Long Island Business News, the Idaho Business Review and the Daily Journal of Commerce in Portland, Ore., among others.
Read the earnings release here.
