MSLO Narrows Second-Quarter Net Loss
NEW YORK-Martha Stewart Living Omnimedia (MSLO) reported a second-quarter net loss of $2.7 million, compared to a net loss of $2.9 million from the second quarter of last year.
The company was able to reduce its bottom-line loss through slimming down its expenses. As a dollar total, operating costs and expenses dropped 11.5 percent--although as a percentage of sales they increased 149 basis points to 106 percent.
Total revenues for the quarter, which ended on June 30, fell 12.7 percent to $47.9 million, driven down by reductions of 15.6 percent in revenues from publishing and 41.2 percent in revenues from broadcasting. MSLO's merchandising revenues were up 12.2 percent, which included a strong quarter from the Martha Stewart Collection at Macy's, in particular from sales of home textiles; and a solid gain from sales of Emeril-branded cookware from All-Clad.
Lisa Gersh, MSLO president and CEO, said the second-quarter results were "in line with our expectations for the quarter." Gersh added that the weakness in the publishing segment "will slow our planned return to profitability, but we continue to anticipate improving performance for the company in 2012."