Minneapolis-based Dolan Co., which owns business newspapers across the country. said on Tuesday that its net income declined 70 percent to nearly $2.6 million, or 9 cents per share in the second quarter, due to a slowdown in its foreclosure processing business.
Wendy Lee of the Minneapolis Star-Tribune writes, “Revenues for the Minneapolis-based company declined 12 percent to $69.4 million. The company experienced sales declines in both its professional services division, which handles foreclosure processing and other services, and its division which publishes media and legal publications. The publishing side of the business was hurt by a drop in public notices advertising.
“The company cut its earnings estimates for 2011 to between $61 million and $67 million. That’s compared to a 2011 estimate given in the first quarter of $77 million to $87 million.
“Part of the change in guidance was due to the company expecting that foreclosure volumes will not significantly improve for the remainder of the year, according to a company press release.
“Dolan Co. stock was up 4.5 percent in early hours trading to $8.16.”
Read more here. Dolan owns the Long Island Business News, Mississippi Business Journal, the Colorado Springs Business Journal, the Idaho Business Review and the Daily Journal of Commerce in Portland, Ore., among others.
