A Davenport-based publisher is reporting a profit and revenue drop as it tries to work its way out of bankruptcy. Newspaper publisher Lee Enterprises is on track to exit federal bankruptcy court at the end of January.
That’s according to Carl Schmidt, Lee’s C.E.O., and despite some bad news regarding profits and revenue. Profits dropped 23% for Lee’s fiscal first quarter that ended December 25th. During the same period a year ago, Lee posted a large gain by ending health benefits for retirees.
Company revenue was nearly $200 million during the fiscal first quarter, down 3.9-percent from a year ago. Advertising decreased 6.1 percent, while circulation revenue rose 2.7%. Digital advertising revenue was up 10 percent to more than $16 million.
In December, Lee filed a prepackaged bankruptcy, which was designed to restructure Lee’s debts by extending repayment.
By Phil Roberts, Davenport