NYT

As the Q2 earnings season comes to a close, it’s time to take stock of this quarter’s best and worst performers in the consumer discretionary - media industry, including The New York Times (NYSE:NYT) and its peers. The Consumer Discretionary sector, by definition, is made up of companies selling non-essential goods and services. When economic conditions deteriorate or tastes shift, consumers can easily cut back or eliminate these purchases. For long-term investors with five-year holding periods, this creates a structural challenge: the sector is inherently hit-driven, with low switching costs and fickle customers. As a result, only a handful of companies can reliably grow demand and compound earnings over long periods, which is why our bar is high and High Quality ratings are rare. Media companies create, aggregate, and distribute content—including news, entertainment, and advertising—across television, print, digital, and out-of-home channels. Tailwinds include growing digital advertising budgets, content licensing opportunities, and global audience expansion through streaming and social platforms. Headwinds are substantial: traditional advertising revenue from print and linear TV continues its structural decline as audiences migrate to digital alternatives. Content creation costs are escalating amid intense competition for talent and intellectual property. Media fragmentation makes it difficult to build sustainable audience scale, while AI-generated content threatens to commoditize production and disrupt established business models. The 7 consumer discretionary - media stocks we track reported a satisfactory Q2. As a group, revenues missed analysts’ consensus estimates by 0.8%. In light of this news, share prices of the companies have held steady as they are up 2.1% on average since the latest earnings results. Founded in 1851, The New York Times (NYSE:NYT) is an American media organization known for its influential newspaper and expansive digital journalism platforms. The New York Times reported revenues of $762.5 million, up 11.2% year on year. This print exceeded analysts’ expectations by 1.4%. Overall, it was a satisfactory quarter for the company with a beat of analysts’ EPS estimates. Even though it had a relatively good quarter, the market seems discontent with the results. The stock is down 10.6% since reporting and currently trades at $67.56. Is now the time to buy The New York Times? Access our full analysis of the earnings results here, it’s free. Established in 2013 after a restructuring, News Corp (NASDAQ:NWSA) is a multinational conglomerate known for its news publishing, broadcasting, digital media, and book publishing. News Corp reported revenues of $2.34 billion, up 10.8% year on year, outperforming analysts’ expectations by 4.1%. The business had an exceptional quarter with a beat of analysts’ EPS estimates and a solid beat of analysts’ EBITDA estimates. News Corp delivered the biggest analyst estimate beat among its peers. The market seems happy with the results as the stock is up 7.4% since reporting. It currently trades at $31.21. Is now the time to buy News Corp? Access our full analysis of the earnings results here, it’s free. Creator of the legendary Scholastic Book Fair, Scholastic (NASDAQ:SCHL) is an international company specializing in children's publishing, education, and media services. Scholastic reported revenues of $476.1 million, down 6.3% year on year, falling short of analysts’ expectations by 7.9%. It was a softer quarter as it posted full-year EBITDA guidance missing analysts’ expectations significantly. Scholastic delivered the weakest performance against analyst estimates of the whole group. As expected, the stock is down 15.7% since the results and currently trades at $39.14. Read our full analysis of Scholastic’s results here. Formed from the merger of WarnerMedia and Discovery, Warner Bros. Discovery (NASDAQ:WBD) is a multinational media and entertainment company, offering television networks, streaming services, and film and television production. Warner Bros. Discovery reported revenues of $8.72 billion, down 11.2% year on year. This print missed analysts’ expectations by 5%. More broadly, it was a mixed quarter as it also recorded a beat of analysts’ EPS estimates but a slight miss of analysts’ EBITDA estimates. Warner Bros. Discovery had the slowest revenue growth in the group. The stock is up 10.7% since reporting and currently trades at $28.76. Read our full, actionable report on Warner Bros. Discovery here, it’s free. Originally launched as a soccer streaming platform, fuboTV (NYSE:FUBO) is a video streaming service specializing in live sports, news, and entertainment content. fuboTV reported revenues of $1.48 billion, up 38% year on year. This result came in 1.1% below analysts’ expectations. Zooming out, it was a mixed quarter as it also produced an impressive beat of analysts’ EBITDA estimates but a significant miss of analysts’ EPS estimates. fuboTV scored the fastest revenue growth among its peers. The stock is up 6.2% since reporting and currently trades at $10.15. Read our full, actionable report on fuboTV here, it’s free. Over the past year, investors have been forced to repeatedly answer the same question: what is the market’s biggest risk? The answer has changed several times, and each shift has reshaped market leadership. Late in 2025 and early 2026, artificial intelligence became the market’s primary uncertainty. Investors questioned whether AI would erode software pricing power and weaken competitive moats as AI made it easier to replicate once-differentiated products. By the spring, technology took a back seat to geopolitics. The U.S. conflict with Iran briefly became the market’s dominant narrative, raising concerns about oil prices, inflation, and global growth. But as energy markets remained orderly and fears of a prolonged supply disruption faded, investors quickly turned their focus back to fundamentals. Want to invest in winners with rock-solid fundamentals? Check out our 9 Best Market-Beating Stocks and add them to your watchlist. These companies are poised for growth regardless of the political or macroeconomic climate.

The New York Times reported double-digit revenue growth in Q2, outpacing Wall Street’s expectations, yet the market’s negative reaction reflected investor concerns over rising costs and margin pressures. Management attributed performance to strong digital subscription gains, robust advertising demand, and expansion of video content. CEO Meredith Kopit Levien emphasized that “substantial progress against all of our priorities” was achieved, with digital-only subscription revenues and advertising both exceeding internal targets. However, CFO William Bardeen acknowledged that cost growth, particularly in sales, marketing, and compensation related to outperformance, was higher than anticipated. Is now the time to buy NYT? Find out in our full research report (it’s free). Revenue: $762.5 million vs analyst estimates of $752.3 million (11.2% year-on-year growth, 1.4% beat) Adjusted EPS: $0.69 vs analyst estimates of $0.67 (3.6% beat) Operating Margin: 15.5%, in line with the same quarter last year Subscribers: up 1.5 million year on year Market Capitalization: $10.28 billion While we enjoy listening to the management’s commentary, our favorite part of earnings calls is the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention. Jason Bazinet (Citi) questioned whether the rise in sales and marketing costs was structural or temporary. CFO William Bardeen replied that most of the increase was variable, tied to outperformance and specific events like the World Cup, rather than a permanent change in spending. David Karnovsky (JPMorgan) asked about the lower digital subscription growth guidance for Q3 and platform risks. Bardeen cited subscriber mix and pricing transitions, while CEO Meredith Kopit Levien said the company is building resilience through direct user engagement and less reliance on platforms. Cameron Mansson-Perrone (Morgan Stanley) inquired about video investment strategy amid industry competition. Levien responded that video aligns with long-term goals to grow new audiences and engagement, with the company still early in scaling both production and monetization. Kutgun Maral (Evercore ISI) pressed for details on digital ad growth and the contribution of video. Levien explained that advertising strength was broad-based across products and that video is still a small contributor but expected to grow in importance. Douglas Arthur (Huber Research) revisited rising costs, asking about the impact of events like the World Cup and potential pullback. Bardeen clarified that much of the Q2 cost growth was variable and linked to financial outperformance, not a fundamental shift in strategy. In the coming quarters, our team will track (1) progress in scaling and monetizing video content across the Times’ digital platforms, (2) the company’s ability to grow digital subscriptions while managing subscriber mix and pricing transitions, and (3) how effectively cost management initiatives offset increased spending on content and marketing. Shifts in referral traffic from major tech platforms will also be closely watched as a key risk factor. The New York Times currently trades at $63.98, down from $75.61 just before the earnings. Is the company at an inflection point that warrants a buy or sell? The answer lies in our full research report (it’s free for active Edge members). ALSO WORTH WATCHING: Top 5 Momentum Stocks. The best time to own a great stock is when the market is finally noticing it. These aren’t just high-quality businesses. Something is happening with them right now. Elite fundamentals meet near-term momentum — both boxes checked at the same time. Find out which stocks our AI platform is flagging this week. See this week’s Strong Momentum stocks — FREE. Get Our Strong Momentum Stocks for Free HERE. Stocks that have made our list include now familiar names such as Nvidia (+1,460% between June 2020 and June 2025) as well as under-the-radar businesses like the once-micro-cap company Kadant (+214% between June 2020 and June 2025). Find your next big winner with StockStory today.

Image source: The Motley Fool. Wednesday, Aug. 5, 2026 at 8 a.m. ET Senior Vice President, Investor Relations - Anthony DiClemente President and Chief Executive Officer - Meredith Kopit Levien Executive Vice President and Chief Financial Officer - Will Bardeen Operator: Good morning, and welcome to The New York Times Company's Second Quarter 2026 Earnings Conference Call. [Operator Instructions] Please note this event is being recorded. I would now like to turn the conference over to Anthony DiClemente, Senior Vice President, Investor Relations. Please go ahead. Anthony DiClemente: Thank you, and welcome to the New York Times Company's Second Quarter 2026 Earnings Conference Call. On the call today, we have Meredith Kopit Levien, President and Chief Executive Officer; and Will Bardeen, Executive Vice President and Chief Financial Officer. Before we begin, I would like to remind you that we'll be making forward-looking statements including about our business strategy and performance based on our current expectations. Our actual results could differ materially due to a number of risks and uncertainties described in the company's 10-K and subsequent SEC filings. We'll also be referencing non-GAAP financial measures for which there are reconciliations to GAAP measures in our earnings release at investors.nytco.com. And with that, I will turn the call over to Meredith. Meredith Kopit Levien: Thanks, Anthony, and good morning, everyone. Q2 was a great quarter for the Times. Our world-class journalism and premium lifestyle content continued to draw large audiences and powered strong results for the company. This was a quarter where we made substantial progress against all of our priorities for the year. First, we continued to cover the world's most important stories from politics to pop culture, from wildfires to wellness. Journalists around the globe reported on the ongoing conflict in the Strait of Hormuz, escalating drone warfare between Ukraine and Russia and the rapid advances in powerful AI models. We comprehensively covered the primaries in the U.S., a historic heat wave in Europe, and an epic few weeks in New York that saw the Knicks win their first championship in over 50 years and Taylor Swift tied the knot with Travis Kelce. Second, we presented our journalism in lifestyle products in all the ways people want to engage with them, including video. We're now producing thousands of new videos each quarter to reach the enormous audience for video in all the places people watch, including our own destinations. Just this week, we launched a shows tab in our flagship app, creating a new way to experience our long-form franchises in news, opinion, culture and lifestyle. The shows tab complements our existing Watch tab and the expanding volume of short-form video across the report. This is all part of our strategy to engage the people we already have more and engage more people. As we do that, we intend to make the Times as preferred brand for watching the news as it is for reading and listening. Third, we continue to add value in every part of our portfolio. We began to make a series of upgrades to our flagship news app, where we see strong subscriber engagement with the aim of making the app a more compelling experience for prospective subscribers. We also launched new listening and commenting features in our flagship news app, made cooking a better companion for home cooks with a new cook mode, launched new features to celebrate the fifth anniversary of Wordle and its consistently strong audience and continued to add features to cross-play with its growing community of engaged players. The Athletic's approach to the World Cup represents how these 3 priorities come together to drive increasing value for audiences. The world's attention was on the games, and we delivered journalism and experiences like no one else could. Over 70 soccer experts from a 550-person sports newsroom covered the most interesting athletes, moments and stories from the tournament across 16 cities. We introduced new formats, including a daily long form World Cup show on Amazon and daily short-form recaps on the social and in our app. And we provided live updates and insights for all 104 games in popular interactive brackets that helped fans predict what would happen next. All of this led to the Athletic's biggest audiences ever and we expect these advances to power success in the NFL season and beyond. Now let me highlight a few results from the quarter. Digital subscription revenues grew 16% as we continue to become even more essential to even more people. We added 280,000 net new digital subscribers, bringing our total subscriber base to 13.4 million and keeping us on track to our next milestone of 15 million and beyond. In advertising, both digital and total advertising growth once again exceeded our expectations with digital advertising up 21%. This was the result of a clear strategy, capable execution, strong marketer demand and high engagement. Affiliate, licensing and other revenues also grew in the quarter. We continued to manage costs even as we invest into generational opportunities, making long-term bets video among them is how we expect to maintain and extend our strong market position and continue building a larger, more profitable company for the long term. I'll close by noting that we delivered our Q2 results against the backdrop of a rapidly changing information ecosystem shaped by a small number of big tech companies whose moves continue to result in less traffic to publishers. The Times isn't immune to that impact, but we have 4 enduring advantages that we believe give us resilience to these headwinds and also create long-term opportunity. Let me remind you of what those are. First, our products are in giant spaces, which deeply engage passionate audiences every day. In current events, sports, cooking, games and shopping, we offer the highest quality, most trustworthy experiences that leave people nourished, not depleted. Second, we're one of an increasingly small number of news organizations that are committed to doing original independent reporting and high-quality content at scale. While most publishers and broadcasters are doing less of this kind of work, the Times continues to invest. This makes our news coverage and lifestyle products increasingly rare and valuable in an information environment, awash in low-quality takes and disinformation. Third, we have a long track record of using technology to report, tell and distribute stories in all the ways that people want to engage with them. From text to audio to interactive graphics and video, we deliver information and experiences in the creative ways that make people pay attention. Finally, our multi-revenue stream model means we have multiple complementary ways to monetize our high audience engagement. Those 4 advantages taken together mean we're well positioned to continue making the New York Times essential for every person seeking to understand and engage with the world, and to continue to create more value for users, shareholders and society. And with that, I'll turn it over to Will. William Bardeen: Thanks, Meredith, and good morning, everyone. As Meredith described, our second quarter results reflected strong progress for our business. I'll begin with a discussion of the quarter's key results, followed by our financial outlook for the third quarter of 2026. Please note that all comparisons are to the prior year period unless otherwise specified. Overall, we saw healthy increases across our multiple revenue streams in Q2 with consolidated revenues growing 11%. AOP grew 16% as we continued to make disciplined investments aimed at further differentiating our high-quality journalism and digital products. Now moving to our subscribers and subscription revenues. As Meredith said, we added 280,000 net new digital subscribers within the quarter, and digital-only subscription revenues grew 16.4% year-over-year to $408 million. By the end of Q2, our digital-only subscriber base was 13.3% higher year-over-year and digital-only ARPU grew 3.1% year-over-year. Total subscription revenues increased 11.7% to approximately $538 million. Both digital only and total subscription revenues were within the guidance ranges we provided for the quarter. The growth was driven by multiple products across the portfolio. We continue to be pleased with the increase in our subscriber base in the quarter as well as the performance at our pricing step-up points. We believe this reflects that our audiences appreciate the significant value we're adding to our products. Now turning to advertising. Total advertising revenues for the quarter were $149 million, an increase of approximately 11.3%, which beat our expectations. Digital advertising revenues also came in above the guidance range we provided, increasing 20.7% to $114 million. Marketer demand in the quarter for our high-performing ad products exceeded our expectations. Affiliate licensing and other revenues increased approximately 7% in the quarter to $75.5 million, also beating our expectations. The outperformance was primarily the result of higher Wirecutter affiliate referral revenues. Adjusted operating costs grew 10%, largely as a result of higher compensation and benefits expenses, which included investments in our video journalism. Cost growth exceeded our guidance range primarily due to incremental variable compensation tied to financial outperformance. Increases in sales and marketing costs in the quarter included both higher marketing and promotion expenses and higher costs associated with our advertising revenues. As I mentioned at the top, AOP grew 16% in the quarter to approximately $155 million. Adjusted diluted EPS increased $0.11 to $0.69, reflecting 19% growth. We generated approximately $266 million of free cash flow in the first half of the year. Over that same period, we returned approximately $160 million to shareholders, consisting of approximately $92 million in share repurchases and approximately $68 million in dividends. This is consistent with our capital allocation strategy, which includes returning at least 50% of free cash flow to our shareholders over the midterm. I'll note that while our strong free cash flow in the first half primarily reflected our growing AOP and capital-efficient model, it also benefited from timing of seasonal working -- of working capital, some of which we expect to reverse in the second half. In addition, as we discussed last quarter, 2026 free cash flow will include a tax-related benefit of approximately $60 million, the majority of which we do not expect to recur beyond fiscal 2026. I'll now look ahead to Q3. Digital-only subscription revenues are expected to increase 12% to 15% and total subscription revenues are expected to increase 9% to 11%. Digital advertising revenues are expected to increase mid- to high teens, and total advertising revenues are expected to increase high single to low double digits. Affiliate licensing and other revenues are expected to increase low to mid-single digits. This takes into account the timing shift of a marketing promotion by one of our affiliate partners, which occurred in Q2 of this year as compared to last year, where that promotion occurred in Q3. Adjusted operating costs are expected to increase 8% to 9%. We intend to continue operating efficiently while making disciplined investments in our high-quality journalism and digital product experiences that add value for our audiences and help reinforce and expand our competitive advantages. As we've discussed, video in particular, remains an important area of strategic investment being reflected in our results and in our guidance. We believe video allows us to have an even greater impact with the journalistic investment we are making by penetrating a large and new addressable market for us. We are confident in our ability to generate strong returns over the long term as we grow the amount and impact of video journalism in news and across the portfolio. In summary, our strategy continues to work as designed. Our strategic priorities are all aimed at building a larger and more engaged audience over time, growing our subscriber base and powering our multiple revenue streams. We continue to expect 2026 to be another year of healthy growth in revenues, AOP and strong free cash flow generation. We also remain on the path to achieving our midterm targets for subscribers, AOP growth and capital returns. With that, we're happy to take your questions. Operator: [Operator Instructions] The first question today comes from Jason Bazinet with Citi. Jason Bazinet: I wonder if I could just ask a question on expenses. You talked about the 2 drivers of the elevated sales and marketing. I think you said higher promo and then some costs related to video. Can you just unpack that a bit? Because I feel like your shares have reacted pretty sharply to elevated sales and marketing in the past, I think it was the fourth quarter of '24, and it ends up being nothing. It's not like a big structural change in your cost. But I wonder if you can just provide any color about how much of this is sort of temporary versus structural? William Bardeen: Yes, Jason, I'm happy to take that. We were pleased with our sales and marketing performance in Q2, and our approach there remains consistent. So no changes to the approach. I mentioned in my remarks, it's a little different than you characterized it in your question. There are really 2 different components to highlight there. The first is marketing. The second is actually advertising-related costs. And so in marketing, we continue to drive the majority of our subscription starts as our model is designed to do organically behind the strength of our ongoing investment in journalism and product development. And we continue to treat marketing as a useful additional growth lever. It can fluctuate, as you know, quarter-to-quarter as we continue to approach it with a lot of discipline. We're focused on efficiency and returns, leaning in when the moments call for it, for example, around the World Cup in Q2. Now beyond marketing in Q2, there was a separate portion of the growth associated with advertising as well, and that's for a couple of reasons. First, we outperformed our ad revenue expectations in the quarter, which meant a bit higher ad COGS, incentive compensation. And then second, this year, we staffed a new middle market ad sales team to access a part of the market that we weren't serving previously, which we see as another promising way to aim to strengthen that sort of those long-term growth drivers in advertising. So overall, I'd characterize the Q2 results as reflecting our strategy working as designed to help drive healthy revenue growth and AOP growth. Operator: The next question comes from David Karnovsky with JPMorgan. David Karnovsky: Will, on the digital subscription outlook, the 12% to 15% range, that's a bit below where you've operated or guided over the past several quarters. So just in that context, can you speak to any volume mix or pricing factors to be aware of? And then, Meredith, maybe relatedly, you noted Times isn't immune to broader trends in publishing. We've seen reports of some platforms kind of reconsidering deals with LLMs due to traffic impact. I know you haven't engaged on these, but just maybe you can give us the lay of the land as you see it right now? William Bardeen: Great. I'll start with that digital subscription revenue guide. First, to say we're pleased with our overall -- over 16% growth of digital subscription in Q2. Underlying that growth, as I mentioned in my prepared remarks, was over 13% year-over-year increase in subscribers over the last 12 months as well as pricing performance, which continued to go well. Now to your question sort of looking at Q3, it's, I think, helpful to recall that digital subscription revenue growth can be driven by a variety of factors. I'd roll them up for these purposes into sort of 3 basic categories. The first is that, as I mentioned, sort of that sub growth over the prior 12 months, even if subs can vary quarter-to-quarter, of course. The second is mix -- the mix of those subs between higher-priced bundle subs, lower-priced single product subs. And then the third, as you mentioned, is pricing step-up performance. And by step-up, I mean a couple of different things, how well are subs transitioning off promotion to higher prices as well as the timing and performance of any price increases. So as it relates to Q3, I'd note in part the cohort impact of the paywalling of the Mini in last year's Q3. That contribution from lower-priced single product subs a year ago plays a bit of a role in the sub mix in the quarter. Overall, I'd step back and say our strategy continues to work as designed. We're focused on sustaining healthy underlying drivers of digital subscription revenue as reflected in that guide, meaning continuing to add significant value to our products, generating strong engagement around them. And then we consider asking users to pay a bit more of their time as our products become even more differentiated and valuable in their lives. Meredith Kopit Levien: Let me take the second part of your question, David. Let me start by saying we've been saying for a while now that the overall direction of travel is less traffic to publishers from the big platforms. And as you heard me say in my prepared remarks, we delivered our Q2 results against the backdrop of a rapidly changing information ecosystem that's shaped by a small number of big tech companies whose moves are continuing to result in that less traffic. We're not immune to that impact, but we are building resilience to the trend, and we're doing that by investing in coverage and products and brands that are so good. They're worthy of being sought out and worthy of direct relationships. We're doing that by making our destination product experiences, I'd say now, especially our apps even more effective at engaging prospects. And we're doing that, as you've heard both Will and I talk about by making video a bigger part of the experience. And I'll just say that our aim in all this over time is to become less reliant on the intermediaries. And you should imagine we are always calibrating between making our work available widely so that people can sample it and to make sure we're doing that in a way that isn't substitutional. And I think that gets at the specifics in your questions. Operator: The next question comes from Cameron Mansson-Perrone with Morgan Stanley. Cameron Mansson-Perrone: I wanted to ask about video. Competition seems to be higher than ever here, engagement issues at Netflix, YouTube investing more outside of creator video, social media platforms investing more behind short-form video. Are those trends supportive of consumer demand and therefore, your strategy? Or how do you think about the attractiveness of video investment kind of within that backdrop? Meredith Kopit Levien: Yes. I'm happy to take that one. My short answer is yes, those trends are consistent with our direction of travel and our strategy. And I'll say, it's early days in video for the Times, but we have dramatically scaled production, and we are growing video engagement on our platform and off our platform. Let me just reiterate what we're doing here from a strategy perspective. I think Will and I both alluded to this in our prepared remarks. We see video as a big long-term opportunity to establish the Times to be as preferred brand for watching the news as it is for reading and listening. And our efforts here are really meant to grow engagement with the audience we already have and also to reach net new audiences and build share with a new audience. And I would say we believe video allows us to have even greater impact with our journalistic investment because we're penetrating a large market and a new market for us. And I'll just -- I'll say on production, we're really scaling now, still early, but now producing thousands of original videos across the portfolio. Four real areas of growth in production, reporter video, news clips, our trademark visual investigations and then shows, which we've talked about extensively. It's early days on engagement, but we like what we see so far, and you've now seen us make a couple of deliberate moves to build engagement on our own platform with a Watch tab and now Shows tab for long-form watching. And we have a lot of confidence that as we build engagement at scale, we'll have a lot of ways over the long term to monetize it. Operator: The next question comes from Kutgun Maral with Evercore ISI. Kutgun Maral: Digital advertising had another strong quarter, growing 21% and again coming in ahead of expectations, and your third quarter guidance calls for mid- to high-teens growth. I was hoping you could unpack the Q2 upside across impressions, pricing, ad formats and maybe advertiser categories. And as we look ahead, how much of the momentum reflects structural drivers like additional ad supply and share of wallet gains versus maybe timing or other factors that we should be mindful of? And finally, are your investments in video beginning to contribute meaningfully to ad revenue at this point? And could increasing video monetization help offset the more difficult ad comps you'll face over the next several quarters? Meredith Kopit Levien: Thanks, Kutgun, I'll take that. Both good questions. Let me just start by saying Q2 was a very strong quarter for digital advertising. You know what the rate of growth was. And I would say, as to the drivers, the strategy is kind of working as it was designed to. We are in now a number of big spaces that have a lot of appeal to marketers. We have differentiated coverage in products in those spaces. And I will just say that growth in the quarter came from across the portfolio. So everything sort of working at the same time. And across the portfolio, we now have real scale of engagement, especially in news and games and sports, but really everywhere. And then lastly, as to the drivers, we have that very strong engagement. And then we also have ad products that really work for marketers. So campaigns renew because the ads perform. You've heard our outlook for Q3, and I think that continues to reflect healthy demand across the portfolio. We have said previously, and I'll reiterate that we are lapping, to your question about structural drivers, we're lapping strong growth in supply in the back half of the year from last year. So I would say, overall, we continue to be optimistic about our ad business. It can be a little variable quarter-to-quarter, but we're confident in its role as a long-term growth driver. And then remind me the second part of your question. I think you asked video, what role video played. I'll just say, you've heard me talk about how ambitious we feel about video and excited we are. It's playing a relatively minor role in the growth in advertising so far. And you're going to see us really focus on scaling production, scaling engagement and then scaling monetization, but minor role so far. Operator: The next question comes from David Plaus with Bank of America. David Plaus: Just 2 quick ones, if I may. You had an acceleration in digital ARPU in the quarter. I mean, does this reflect, is the way to think about this, like the full quarter of impact from pricing actions that you took in 1Q? Or is it sort of higher conversion to higher price tiers? Or maybe it's a little of both? What's the best way to think about that? And then the second question is, obviously, the Affiliate, Licensing and other line has multiple different components. Presumably, you've comped the Amazon AI deal from last year at this point -- at this point. Can you sort of talk about some of the puts and takes for growth for this line for the rest of the year? William Bardeen: Sure. I can take both of those. On the question about ARPU, yes, I mean, as I sort of said in my previous answer and in my remarks, notable strength in digital subscription revenue in Q2, that 16.4%, and we're pleased with that ARPU growth of 3.1%. What you're seeing there, a lot of different factors at play, but we are seeing the benefits of, for example, the digital bundle price increase that we mentioned in Q1, that started sort of seeing the benefits of Q1. That was a price increase from $25 to $30 for a cohort of tenured subscribers. And I also said in my prepared remarks, we continue to be pleased with the performance as subscribers roll off their promotions. So both the retention and yield there we continue to be pleased with. So those are some of the dynamics at play and what is supporting that Q2 ARPU growth. Anthony DiClemente: And then on affiliate, licensing. William Bardeen: Affiliate, licensing and other -- the other question. Yes, as you said and you know from previous calls, it's a mix of stuff in there, licensing deals, affiliate books, TV, film, commercial printing that can create some lumpiness, that ALO revenue growth of 7% in Q2 and being ahead of our guidance range and sort of the dynamic in Q3, it's worth noting that the -- that higher, what we call it affiliate revenue referral number takes into account the timing of a shift in a marketing promotion by one of our affiliate partners. It occurred in Q2 of this year instead of Q3, which is the quarter it happened last year. I would say, given the sort of multiple parts in that, you've seen our guide and it takes them to -- that into account, licensing is obviously an important part of the business as well, and we're pleased with what's going on with the line, but nothing more to unpack there. Operator: The next question comes from Benjamin Soff with Deutsche Bank. Benjamin Soff: You recently announced a local news product in at least one market, and I'm hoping you can talk about how this fits into your broader strategy and how you think about the opportunity with local news. And then could you remind us where you are in the process of ramping up production for each of the 3 types of video content in your business plan, whether that's podcasts, reporter-led video or visual investigations? Meredith Kopit Levien: Thanks for both questions. Let me take the local one first. I would regard it as an experiment and something we're excited about and something we regard as more than anything kind of supportive of a broader local journalism ecosystem. In the specific product launch we announced, we are collaborating with a local player in the market. So I'd regard it as we are always experimenting with and testing with new ways to meet news needs and ways that we can both support and benefit from others in the ecosystem, and that's what we're doing there. On video, I think your question is kind of where are we in the scaling of different types of video. Is that right? Benjamin Soff: Yes, that's right. Meredith Kopit Levien: Right. So what I would say is I referred in my prepared remarks to producing, I think, in the 1,000 range of new original videos across the enterprise in the quarter. A lot of that is signature reporter video. That's a format that I think the Times is doing particularly well, and that's where a reporter in the course of sort of doing the work to unearth information in addition to the typical publishing of, let's call it, an 800-word article or a live blog, they also now can have an output, which is explaining what they found in their reporting and explaining sort of the process of how they got it, and that has the effect of getting the information out there in a new format that appeals to people and also it's kind of inherently humanizing and trust building. So we're particularly excited about that format. And I'll just say nowhere near done, rolling that out across the newsroom, lots and lots of progress, but still a lot more to come. In visual investigations, which is another, I'd call it, signature Times format, where we're doing something quite different than what's out there in the market at some real scale now. That is big enterprise stories where we are able to tell a unique story about something very important happening gathered from all different kinds of available video to piece together what really happens somewhere. So the -- I think I talked in the last quarter about the work we did on understanding the bombing of the school in Minab, Iran happening at the hands of the U.S. In the last quarter, we used the visual investigation to tell that. You should imagine we're going to keep doing that. We're going to expand that as we can. And then I'd say we're early in our shows footprint. You've heard us talk about some of the shows in politics and culture and business. But you have to imagine early days, and we will continue to expand the portfolio and experiment with different kinds of long-form formats. So all relatively early, and I would say we're excited about all of them. Operator: The last question today comes from Doug Arthur with Huber Research. Douglas Arthur: Yes. Will, I don't want to beat a dead horse here on the costs. I think that when you came into the quarter, you were talking about 8% to 9% guide on the adjusted operating costs. You came in above that. On the sales and marketing, I mean, you mentioned a bunch of variables, including compensation, but how much of it was the success of the World Cup Athletic and kind of leaning into that? And could we see a pullback, therefore in the fourth quarter? William Bardeen: Yes. Thanks, Doug. So what I want to make -- I said in my prepared remarks, the reason for the sort of slightly higher cost growth in the quarter versus our guidance was primarily due to incremental variable compensation tied to financial outperformance. You'll note, among other things, that very strong advertising revenue growth in the quarter versus our expectations. So that's the sort of primary reason we exceeded our guidance. Of course, the reason for the cost growth overall, the primary driver there is compensation and benefits associated with our core strategy, which is investing into our journalism in particular and digital product experiences, Meredith and I have both talked about video, for example. And so just to then follow up on the sales and marketing component. As we've said, we're always -- we're very disciplined there. We're very focused on making sure that when we see opportunities in the market for efficient returns, and we think it makes sense to capture them, we do. You saw that a bit in the quarter. I mentioned one of the things in my previous answer you highlighted on it, but I wouldn't over-rotate on any specific event. It's about making sure we're driving efficient returns with the marketing spend, keeping in mind, of course, that's a lever and we like it. But overall, our model is still very much an organic growth model, driven by our journalism and product. Operator: This concludes our question-and-answer session. I would like to turn the conference back over to Anthony DiClemente for any closing remarks. Anthony DiClemente: Well, that's it. Thank you all for joining us for our second quarter earnings call. And if you have follow-up questions, feel free to reach out to us. Otherwise, we'll see you next quarter. Operator: The conference has now concluded. Thank you for attending today's presentation. You may now disconnect. Before you buy stock in The New York Times Co., consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and The New York Times Co. wasn’t one of them. The 10 stocks that made the cut are built for long-term growth and could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $403,337!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,334,946!* That performance is why people listen. With a track record of beating the S&P 500 by 4x, Stock Advisor offers a distinct advantage. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built for the long haul. See the 10 stocks » *Stock Advisor returns as of August 12, 2026. This article is a transcript of this conference call produced for The Motley Fool. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has positions in and recommends The New York Times Co. The Motley Fool has a disclosure policy. NYT (NYT) Q2 2026 Earnings Call Transcript was originally published by The Motley Fool

Interested in The New York Times Company? Here are five stocks we like better. Strong second-quarter performance: New York Times revenue rose 11%, adjusted operating profit increased 16% to about $155 million, and adjusted EPS climbed 19% to $0.69. Digital-only subscription revenue grew 16.4%, while digital advertising rose 20.7%. Subscriber growth and shareholder returns: The company added 280,000 net digital subscribers, reaching 13.4 million and staying on track toward its 15 million goal. First-half free cash flow was approximately $266 million, with $160 million returned through share repurchases and dividends. Investment-led outlook: Management is expanding video, product development and journalism while addressing declining traffic from major technology platforms. For the third quarter, it expects digital subscription revenue growth of 12%–15% and digital advertising growth in the mid- to high teens, alongside continued investment-driven cost increases. USA Today's Digital Revival Is Gaining Steam, But With Plenty of Risk New York Times (NYSE:NYT) reported second-quarter revenue growth across subscriptions, advertising and affiliate licensing, while executives highlighted investments in video, product development and journalism as central to the company’s long-term strategy. Chief Executive Officer Meredith Kopit Levien said the company added 280,000 net new digital subscribers during the quarter, bringing its total subscriber base to 13.4 million. Digital subscription revenue rose 16%, supported by product expansion across news, sports, cooking and games. → Sandisk Just Delivered a Blowout Quarter—Here's Why the Stock Is Falling Willing and Abel: Berkshire's New CEO Makes Huge Portfolio Changes in Q1 “Q2 was a great quarter for The Times,” Kopit Levien said, pointing to audience engagement with its journalism and lifestyle offerings. The company remains on track toward its next subscriber milestone of 15 million, she said. Chief Financial Officer Will Bardeen said consolidated revenue increased 11% from the prior-year period, while adjusted operating profit, or AOP, increased 16% to approximately $155 million. Adjusted diluted earnings per share rose 19% year over year to $0.69. Digital-only subscription revenue increased 16.4% to $408 million. Total subscription revenue rose 11.7% to approximately $538 million. Total advertising revenue increased 11.3% to $149 million. Digital advertising revenue climbed 20.7% to $114 million. Affiliate, licensing and other revenue increased about 7% to $75.5 million. → 4 Oil and Gas ETF Plays as Prices Stay Sky-High How Berkshire’s New York Times Bet Looks Today Bardeen said digital-only subscribers were up 13.3% year over year at the end of the quarter, while digital-only average revenue per user increased 3.1%. He attributed the ARPU growth to several factors, including the benefit of a digital bundle price increase implemented in the first quarter for a cohort of tenured subscribers, as well as retention and pricing performance as subscribers moved off promotional offers. First-half free cash flow was approximately $266 million. The company returned about $160 million to shareholders during the period, including roughly $92 million in share repurchases and $68 million in dividends. Bardeen said free cash flow also benefited from seasonal working-capital timing and a tax-related benefit of approximately $60 million in 2026, most of which is not expected to recur after this fiscal year. → No Hangover: Revisiting Microsoft One Week After Earnings Digital and total advertising growth both exceeded the company’s expectations in the second quarter. Kopit Levien said the performance reflected marketer demand, strong engagement across the company’s portfolio and advertising products that generate results for clients. “Campaigns renew because the ads perform,” she said. Management said growth was broad-based across its products, including news, games and sports. However, Kopit Levien said video has played only a relatively minor role in advertising growth so far, as the company is still focused on expanding production and engagement before scaling monetization. Bardeen said higher-than-expected advertising revenue also contributed to adjusted operating-cost growth of 10%, which exceeded the company’s prior guidance. The primary reason was incremental variable compensation associated with financial outperformance, he said. Sales and marketing costs also rose because of marketing and promotional spending, along with higher advertising-related costs. Bardeen said the company staffed a new middle-market advertising sales team during the quarter to pursue a segment it had not previously served. He characterized marketing as a disciplined, variable lever rather than a structural shift in costs, noting that the company still drives most subscription starts organically through its journalism and product investments. The company increased its promotional efforts around the World Cup, which contributed to The Athletic’s largest audiences to date, according to Kopit Levien. The company is expanding video production as it seeks to become “as preferred a brand for watching the news as it is for reading and listening,” Kopit Levien said. The Times is producing thousands of original videos per quarter across reporter-led videos, news clips, visual investigations and longer-form shows. During the quarter, the company launched a Shows tab in its flagship app, adding a destination for long-form programming in news, opinion, culture and lifestyle. The addition complements the app’s existing Watch tab and short-form video distributed across the company’s products and external platforms. Kopit Levien said the company is still in the early stages of its video strategy, particularly for longer-form shows, but sees an opportunity to reach new audiences and generate greater returns from its journalism investments over time. She also acknowledged that major technology platforms continue to send less traffic to publishers. The Times is not immune to those changes, she said, but is seeking to reduce its reliance on intermediaries by investing in differentiated coverage, direct relationships with audiences, app experiences and video. The company also recently announced a local-news product in at least one market. Kopit Levien described the initiative as an experiment involving collaboration with a local participant and said it is intended in part to support the broader local-journalism ecosystem. For the third quarter, the company expects digital-only subscription revenue to increase 12% to 15% and total subscription revenue to rise 9% to 11%. Bardeen said the subscription outlook reflects factors including subscriber growth, the mix between higher-priced bundles and lower-priced single-product subscriptions, and pricing step-up performance. He noted that the prior-year paywalling of The Mini affects the comparison because it added lower-priced single-product subscribers to the mix in last year’s third quarter. New York Times expects digital advertising revenue to grow by the mid- to high teens in the third quarter, with total advertising revenue expected to increase by high single digits to low double digits. Affiliate, licensing and other revenue is projected to rise by low to mid-single digits, reflecting in part a timing shift in a Wirecutter affiliate partner’s marketing promotion that occurred in the second quarter this year rather than the third quarter. Adjusted operating costs are expected to increase 8% to 9% in the third quarter as the company continues to invest in journalism, digital products and video. The New York Times Company is a publicly traded media organization best known for publishing The New York Times newspaper and operating the NYTimes.com digital platform. The company produces daily print and digital journalism covering national and international news, opinion pieces, feature stories, and multimedia content. Alongside its flagship newspaper, the firm offers a range of subscription-based services, including Times Cooking, NYT Games, podcasts and newsletters, designed to engage a broad audience of readers and advertisers. Founded in 1851 by Henry Jarvis Raymond and George Jones, The New York Times has built a reputation for in-depth reporting and investigative journalism. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "New York Times Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

The New York Times Company NYT delivered second-quarter 2026 revenue growth across subscriptions, advertising and other digital businesses, while adjusted operating profit and earnings also increased. The results reinforced the strength of its digital model.Subscriber growth remains positive, but quarterly digital-only additions have moderated from the second half of 2025. That puts more weight on engagement, pricing and newer monetization channels as NYT works toward its next subscriber milestone. Second-quarter revenues rose 11.2% year over year to $762.5 million. Digital-only subscription revenues increased 16.4% to $407.9 million, while total subscription revenues advanced 11.7% to $537.9 million. Adjusted operating profit climbed 16.1% to $155.3 million and the adjusted operating profit margin expanded 90 basis points to 20.4%.NYT’s multi-product strategy spans News, The Athletic, Audio, Cooking, Games and Wirecutter. Subscription growth came from multiple products across the portfolio, supporting a model that can deepen engagement and create more opportunities to monetize existing audiences. Image Source: Zacks Investment Research Digital advertising revenues increased 20.7% year over year to $114 million, while total advertising revenues rose 11.3% to $149.1 million. Management attributed the digital gain to marketer demand, expanding advertising supply and engagement across News, Games, Sports and other products.News Corporation NWSA provides a relevant digital-publishing comparison, with Dow Jones continuing to expand digital-only subscriptions. Fox Corporation FOXA also shows how media companies are pushing further into digital monetization through businesses such as Tubi. NYT expects third-quarter digital advertising revenues to increase in the mid-to-high teens. Video is becoming a larger strategic investment for NYT. The company is producing thousands of original videos across reporter-led formats, news clips, visual investigations and shows, while its Watch and Shows tabs are designed to increase discovery and engagement on owned platforms.The monetization opportunity is still developing. Management said video currently contributes only a relatively minor share of advertising growth, leaving room for production, engagement and commercial capabilities to scale over time. The near-term trade-off is higher investment as the company builds that audience. NYT ended the quarter with 13.35 million total subscribers, including 12.80 million digital-only subscribers. Management continues to target 15 million subscribers and beyond.Sequential momentum has cooled. Digital-only net additions fell to 280,000 from 310,000 in the first quarter, after reaching 460,000 and 450,000 in the third and fourth quarters of 2025, respectively. Pricing helps offset that moderation. Digital-only average revenue per user rose 3.1% to $9.94, supported by promotional roll-offs and price increases for certain tenured subscribers. The New York Times Company price-consensus-eps-surprise-chart | The New York Times Company Quote The earnings update supports a constructive view of NYT’s digital growth, but subscriber moderation, print declines and rising costs keep the outlook balanced. Adjusted operating costs increased 10% in the second quarter, and third-quarter guidance calls for an 8-9% increase as investment continues.NYT currently carries a Zacks Rank #4 (Sell). It has a Growth Score of A, Momentum Score of A, Value Score of D and VGM Score of B. The growth and momentum grades point to favorable characteristics in those styles, while the weaker Value Score reflects less attractive value characteristics. Style Scores complement the Zacks Rank, so the current rank keeps the near-term signal cautious despite the stronger Growth and Momentum Scores. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report The New York Times Company (NYT) : Free Stock Analysis Report News Corporation (NWSA) : Free Stock Analysis Report Fox Corporation (FOXA) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

The New York Times Company NYT reported second-quarter 2026 adjusted earnings of 69 cents a share, which surpassed the Zacks Consensus Estimate of 67 cents by 2.99%. The bottom line increased 19% from the year-ago quarter's adjusted earnings of 58 cents per share. Quarterly revenues rose 11.2% year over year to $762.5 million and exceeded the Zacks Consensus Estimate of $748 million by 1.94%.The strong quarterly performance reflected continued momentum in the company's subscription-first strategy, supported by healthy digital subscriber growth, higher digital-only average revenue per user (ARPU), robust digital advertising demand and continued expansion across its diversified digital products. Total subscription revenues increased 11.7% year over year to $537.9 million in the reported quarter. Subscription revenues from digital-only products rose 16.4% to $407.9 million, benefiting from growth in digital-only subscribers and higher ARPU. Print subscription revenues declined 0.8% to $130 million due to lower single-copy and domestic home-delivery revenues.The company ended the quarter with approximately 13.35 million total subscribers, including 12.80 million digital-only subscribers. Digital-only subscribers increased by approximately 1.5 million from the prior-year quarter. During the second quarter, NYT added approximately 280,000 net digital-only subscribers, which moderated from 310,000 in the first quarter of 2026.Digital-only ARPU jumped 3.1% year over year to $9.94, primarily driven by subscribers transitioning from promotional pricing to higher-priced plans and price increases for certain tenured subscribers. Management expects third-quarter 2026 digital-only subscription revenues to increase 12-15% year over year, while total subscription revenues are projected to grow 9-11%. The New York Times Company price-consensus-eps-surprise-chart | The New York Times Company Quote Total advertising revenues increased 11.3% year over year to $149.1 million. Digital advertising revenues jumped 20.7% to $114 million, benefiting from strong marketer demand and continued growth in advertising supply. Print advertising revenues declined 11.1% year over year to $35.2 million.Affiliate, licensing and other revenues improved 7.1% year over year to $75.5 million, primarily driven by higher Wirecutter affiliate referral revenues, which benefited from a shift in the timing of a marketing promotion by one of the company's partners. For the third quarter, NYT expects digital advertising revenues to increase at a mid-to-high-teens rate, while total advertising revenues are projected to grow at a high-single- to low-double-digit pace. Affiliate, licensing and other revenues are expected to rise at a low-to-mid-single-digit rate. Adjusted operating costs increased 10% year over year to $607.2 million, mainly due to higher compensation and benefits expenses related to journalism, as well as increased marketing and promotion costs.Despite elevated investments, NYT delivered improved profitability. Adjusted operating profit rose 16.1% year over year to $155.3 million, while adjusted operating profit margin expanded 90 basis points to 20.4%.Management expects adjusted operating costs to increase 8-9% in the third quarter as it continues investing in journalism, product innovation and audience growth initiatives. The New York Times ended the quarter with cash and marketable securities of $1.22 billion, up from $1.17 billion at the end of 2025. The company remained debt-free, with no borrowings outstanding under its $400 million revolving credit facility.Net cash provided by operating activities totaled $286.5 million during the first six months of 2026, while free cash flow reached $265.7 million.During the quarter, NYT repurchased 473,691 Class A shares for approximately $35.4 million. As of July 31, 2026, approximately $239.7 million remained available under the company's share repurchase authorization.Capital expenditures were approximately $10 million in the quarter. Management reaffirmed expectations for 2026 capital expenditures of approximately $35-$45 million. The New York Times delivered another solid quarter, beating both earnings and revenue expectations as its subscription-led strategy continued to gain traction. Strong digital subscription growth, higher ARPU, robust digital advertising demand and healthy affiliate revenues helped drive double-digit revenue growth and margin expansion.With more than 13 million subscribers, a debt-free balance sheet, healthy cash generation and continued investment in journalism, video and digital products, NYT appears well-positioned to sustain long-term growth while executing against its subscription-first strategy.We note that shares of this Zacks Rank #3 (Hold) company have fallen 18.3% over the past three months compared with the industry’s decline of 16.1%. Compass, Inc. COMP, which provides an end-to-end technology platform for residential real estate in the United States, currently sports a Zacks Rank #1 (Strong Buy). COMP has a trailing four-quarter average earnings surprise of 37.8%. You can see the complete list of today’s Zacks #1 Rank stocks here.The Zacks Consensus Estimate for Compass’ current financial-year sales and EPS implies growth of 99.7% and 320%, respectively, from the year-ago period’s actuals.Affirm Holdings, Inc. AFRM, which operates a payment network, carries a Zacks Rank #2 (Buy). AFRM has a trailing four-quarter earnings surprise of 74.9%, on average. The Zacks Consensus Estimate for Affirm Holdings’ current financial-year revenues and EPS calls for growth of 30.6% and 720%, respectively, from the year-ago period’s reported numbers.Arista Networks, Inc. ANET, an industry leader in data-driven, client-to-cloud networking for large AI, data center, campus and routing environments, carries a Zacks Rank #2. ANET has a trailing four-quarter earnings surprise of 8.9%, on average.The Zacks Consensus Estimate for Arista Networks’ current financial-year sales and EPS suggests growth of 28.7% and 22.2%, respectively, from the year-ago period’s actuals. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report The New York Times Company (NYT) : Free Stock Analysis Report Arista Networks, Inc. (ANET) : Free Stock Analysis Report Compass, Inc. (COMP) : Free Stock Analysis Report Affirm Holdings, Inc. (AFRM) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Digital subscription revenue grew 16% driven by the essential nature of the multi-product bundle and strong pricing step-up performance. Management is aggressively scaling video production to thousands of original videos per quarter to establish the brand as a preferred destination for watching news, not just reading it. The company is intentionally building resilience against a 'rapidly changing information ecosystem' where big tech platforms are increasingly restricting traffic to publishers. Digital advertising growth of 21% significantly exceeded expectations, powered by high engagement in news, games, and sports alongside high-performing ad products. The Athletic achieved its largest audience ever during the World Cup by leveraging a 550-person sports newsroom and new daily video formats. Strategic investments are focused on 'generational opportunities' like video and product upgrades to ensure the Times remains a sought-out destination rather than relying on intermediaries. Q3 digital subscription revenue is expected to grow 12% to 15%, reflecting a shift in subscriber mix and the prior-year impact of paywalling the Mini game. Management expects 2026 to be a year of healthy growth in revenues and AOP, remaining on track for the 15 million subscriber milestone. Video investment is projected to penetrate a large new addressable market, though it currently plays a minor role in total advertising revenue. Free cash flow in 2026 will include a non-recurring tax-related benefit of approximately $60 million. The company plans to continue returning at least 50% of free cash flow to shareholders over the midterm through dividends and share repurchases. Adjusted operating costs exceeded guidance in Q2 primarily due to incremental variable compensation tied to financial outperformance. The company launched a new middle-market ad sales team to access previously unserved segments of the advertising market. Affiliate and licensing revenue growth in Q3 will be impacted by the timing shift of a major partner's marketing promotion from Q3 to Q2. Management explicitly flagged the risk of 'low-quality takes and disinformation' in the broader market as a factor that increases the rarity and value of their original reporting. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management clarified that cost increases were driven by performance-based incentive compensation and the staffing of a new middle-market ad sales team. Marketing spend remains a flexible lever used for high-impact moments like the World Cup, while the core model remains primarily organic. The Times is focusing on direct-to-consumer relationships through its flagship apps to become less reliant on platform intermediaries. Management is carefully calibrating content availability to ensure sampling does not become substitutional for a subscription. Production is scaling across reporter-led clips, visual investigations, and long-form shows, with a new 'Shows' tab launched to drive engagement. While video currently has a minor impact on ad revenue, management is confident in its long-term ability to reach net new audiences and drive monetization. ARPU growth of 3.1% was supported by a price increase for tenured digital bundle subscribers from $25 to $30. Management noted continued success in transitioning promotional subscribers to higher price points with favorable retention.

New York Times Co. (NYT) came out with quarterly earnings of $0.69 per share, beating the Zacks Consensus Estimate of $0.67 per share. This compares to earnings of $0.58 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +2.99%. A quarter ago, it was expected that this newspaper publisher would post earnings of $0.49 per share when it actually produced earnings of $0.61, delivering a surprise of +24.49%. Over the last four quarters, the company has surpassed consensus EPS estimates four times. New York Times, which belongs to the Zacks Publishing - Newspapers industry, posted revenues of $762.46 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 1.94%. This compares to year-ago revenues of $685.87 million. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. New York Times shares have added about 8.9% since the beginning of the year versus the S&P 500's gain of 13%. While New York Times has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for New York Times was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.69 on $765.69 million in revenues for the coming quarter and $2.93 on $3.09 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Publishing - Newspapers is currently in the top 45% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Another stock from the broader Zacks Consumer Staples sector, Celsius Holdings Inc. (CELH), has yet to report results for the quarter ended June 2026. The results are expected to be released on August 6. This company is expected to post quarterly earnings of $0.42 per share in its upcoming report, which represents a year-over-year change of -10.6%. The consensus EPS estimate for the quarter has been revised 0.9% lower over the last 30 days to the current level. Celsius Holdings Inc.'s revenues are expected to be $883.27 million, up 19.5% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report The New York Times Company (NYT) : Free Stock Analysis Report Celsius Holdings Inc. (CELH) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

For the quarter ended June 2026, New York Times Co. (NYT) reported revenue of $762.46 million, up 11.2% over the same period last year. EPS came in at $0.69, compared to $0.58 in the year-ago quarter. The reported revenue compares to the Zacks Consensus Estimate of $747.95 million, representing a surprise of +1.94%. The company delivered an EPS surprise of +2.99%, with the consensus EPS estimate being $0.67. While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance. Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance. Here is how New York Times performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts: Total Digital-only subscriptions: 12,800 versus 12,839 estimated by two analysts on average. Total subscriptions (Digital & Print): 13,350 compared to the 13,386 average estimate based on two analysts. Total digital-only ARPU: $9.94 versus the two-analyst average estimate of $9.85. Print subscriptions: 550 versus the two-analyst average estimate of 548. Revenues- Subscription- Digital-only subscription revenues: $407.93 million versus the two-analyst average estimate of $405.66 million. The reported number represents a year-over-year change of +16.4%. Revenues- Advertising Revenues- Total Digital: $113.96 million compared to the $111.83 million average estimate based on two analysts. The reported number represents a change of +20.7% year over year. Revenues- Advertising Revenues- Total Print: $35.16 million compared to the $34.53 million average estimate based on two analysts. The reported number represents a change of -11.1% year over year. Revenues- Affiliate, licensing and other: $75.45 million compared to the $72.59 million average estimate based on two analysts. The reported number represents a change of +7.1% year over year. Revenues- Subscription- Print subscription revenues: $129.95 million compared to the $127.99 million average estimate based on two analysts. The reported number represents a change of -0.9% year over year. Revenues- Advertising: $149.12 million versus $146.36 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a +11.3% change. Revenues- Subscription: $537.88 million versus the two-analyst average estimate of $533.64 million. The reported number represents a year-over-year change of +11.7%. View all Key Company Metrics for New York Times here>>> Shares of New York Times have returned +2.6% over the past month versus the Zacks S&P 500 composite's +3.5% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report The New York Times Company (NYT) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

This article first appeared on GuruFocus. Consolidated Revenue: Grew 11% in Q2 2026. Digital Subscription Revenue: Increased 16.4% to $408 million. Total Subscription Revenue: Increased 11.7% to approximately $538 million. Digital Subscriber Additions: Added 280,000 net new digital subscribers, bringing total to 13.4 million. Digital-Only ARPU: Grew 3.1% quarter over quarter. Total Advertising Revenue: Increased 11.3% to $149 million. Digital Advertising Revenue: Increased 20.7% to $114 million. Affiliate, Licensing and Other Revenue: Increased 7% to $75.5 million. Adjusted Operating Profit (AOP): Grew 16% to approximately $155 million. Adjusted Diluted EPS: Increased $0.11 to $0.69, reflecting 19% growth. Free Cash Flow: Generated approximately $266 million in the first half of the year. Capital Returns: Returned approximately $160 million to shareholders, including $92 million in share repurchases and $68 million in dividends. Warning! GuruFocus has detected 8 Warning Signs with ACTG. Is NYT fairly valued? Test your thesis with our free DCF calculator. Release Date: August 05, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. New York Times Co (NYSE:NYT) delivered strong Q2 results with consolidated revenues growing 11% and digital subscription revenues up 16%, adding 280,000 net new digital subscribers to reach a total of 13.4 million. Digital advertising revenue surged 21% in Q2, exceeding expectations, driven by strong marketer demand and high engagement across the portfolio. The company is making strategic investments in video journalism, producing thousands of new videos per quarter and launching new features like the Shows tab in its flagship app to expand audience engagement. New York Times Co (NYSE:NYT) continues to benefit from its multi-revenue stream model, with affiliate, licensing, and other revenues growing 7% in Q2, beating expectations. The company remains on track to achieve its midterm targets, with strong free cash flow generation of $266 million in the first half of 2026 and a commitment to returning at least 50% of free cash flow to shareholders. New York Times Co (NYSE:NYT) faces headwinds from big tech companies reducing traffic to publishers, and the company acknowledges it is not immune to this impact. Adjusted operating costs grew 10% in Q2, exceeding guidance due to incremental variable compensation tied to financial outperformance and investments in video journalism. The Q3 digital subscription revenue growth guidance of 12% to 15% is below recent performance, partly due to the cohort impact of paywalling The Mini in the prior year. Video monetization is still in early stages, playing a relatively minor role in advertising revenue growth, with significant scaling needed before it contributes meaningfully. The company expects some of its strong first-half free cash flow to reverse in the second half due to seasonal working capital timing, and a tax-related benefit of approximately $60 million is not expected to recur beyond 2026. Q: On the digital subscription outlook, the 12% to 15% range is a bit below where you've operated or guided over the past several quarters. Can you speak to any volume mix or pricing factors to be aware of? And relatedly, you noted the Times isn't immune to broader trends in publishing, with reports of platforms reconsidering deals with LLMs due to traffic impact. Can you give us the lay of the land as you see it right now? A: Will Bardeen (CFO) noted that Q2 digital subscription revenue grew over 16%, driven by a 13% increase in subscribers and strong pricing performance. For Q3, the guidance reflects the cohort impact of paywalling The Mini in last year's Q3, which added lower-priced single-product subs and affects the mix. Meredith Kopit Levien (CEO) added that while the company is not immune to the trend of big tech platforms driving less traffic to publishers, they are building resilience by investing in coverage, products, and brands that are worthy of direct relationships, making their apps more effective at engaging prospects, and expanding video. The aim is to become less reliant on intermediaries over time. Q: Digital advertising had another strong quarter, growing 21% and coming in ahead of expectations, with Q3 guidance calling for mid- to high-teens growth. Can you unpack the Q2 upside across impressions, pricing, ad formats, and advertiser categories? How much of the momentum reflects structural drivers versus timing? And are investments in video beginning to contribute meaningfully to ad revenue? A: Meredith Kopit Levien (CEO) stated that Q2 was a very strong quarter for digital advertising, with growth coming from across the portfolio, including news, games, and sports. The strategy is working as designed, with differentiated coverage and ad products that perform well for marketers, leading to campaign renewals. While optimistic about the ad business, they are lapping strong growth in supply from the back half of last year. Regarding video, it is playing a relatively minor role in advertising growth so far, with the focus currently on scaling production, engagement, and then monetization. Q: You had an acceleration in digital ARPU in the quarter. Does this reflect the full quarter impact of pricing actions taken in Q1, or is it higher conversion to higher price tiers? And on the Affiliate, Licensing and Other line, can you talk about the puts and takes for growth for the rest of the year? A: Will Bardeen (CFO) explained that the 3.1% ARPU growth reflects the benefits of the digital bundle price increase from $25 to $30 for tenured subscribers, which began in Q1, as well as continued strong performance as subscribers roll off promotions. For Affiliate, Licensing and Other, the 7% growth in Q2 was ahead of guidance, primarily due to higher Wirecutter affiliate referral revenues. The Q3 guidance takes into account a timing shift of a marketing promotion by one affiliate partner that occurred in Q2 this year versus Q3 last year. Q: On expenses, you talked about the two drivers of the elevated sales and marketing. Can you unpack that a bit, as shares have reacted sharply to elevated sales and marketing in the past? How much of this is temporary versus structural? A: Will Bardeen (CFO) clarified that there are two components: marketing and advertising-related costs. Marketing spend fluctuates quarter to quarter as they lean in when moments call for it, such as around the World Cup in Q2. The advertising-related costs increased because they outperformed ad revenue expectations, leading to higher ad COGS and incentive compensation, and they staffed a new middle-market ad sales team to access a part of the market they weren't serving previously. He characterized the Q2 results as reflecting the strategy working as designed to drive healthy revenue and AOP growth. Q: Competition in video seems to be higher than ever, with engagement issues at Netflix and YouTube investing more outside of creator video. Are those trends supportive of consumer demand and your strategy? How do you think about the attractiveness of video investment within that backdrop? A: Meredith Kopit Levien (CEO) said the trends are consistent with their direction of travel and strategy. It's early days for video at the Times, but they have dramatically scaled production and are growing video engagement on and off their platform. They see video as a big long-term opportunity to become as preferred for watching the news as for reading and listening. They are scaling production in four areas: reporter video, news clips, visual investigations, and shows, and have launched a Shows tab in their flagship app to build engagement on their own platform. Q: You recently announced a local news product in at least one market. How does this fit into your broader strategy, and how do you think about the opportunity with local news? And where are you in the process of ramping up production for each of the three types of video content in your business plan? A: Meredith Kopit Levien (CEO) regarded the local news product as an experiment, collaborating with a local player in the market, and more than anything, supportive of a broader local journalism ecosystem. On video, she noted they are producing thousands of new original videos per quarter. Signature reporter video is a format the Times is doing particularly well, and they are nowhere near done rolling it out across the newsroom. Visual investigations are at some real scale now, and they are early in their shows footprint, with plans to continue expanding the portfolio and experimenting with different long-form formats. Q: On costs, you came in above the 8% to 9% guide on adjusted operating costs. On sales and marketing, how much of it was the success of the World Cup Athletic and leaning into that? Could we see a pullback in the fourth quarter? A: Will Bardeen (CFO) explained that the slightly higher cost growth versus guidance was primarily due to incremental variable compensation tied to financial outperformance, particularly the strong advertising revenue growth. The primary driver of overall cost growth is compensation and benefits associated with investing in journalism and digital product experiences, including video. On sales and marketing, they remain disciplined and focused on efficient returns, leaning in when opportunities arise, but the model is still very much an organic growth model driven by journalism and product. Q: Can you provide any color on the drivers of the strong Q2 results, particularly around subscriber growth and the performance at pricing step-up points? A: Will Bardeen (CFO) noted that the company added 280,000 net new digital subscribers in Q2, bringing the total to 13.4 million. Digital-only subscription revenues grew 16.4% to $408 For the complete transcript of the earnings call, please refer to the full earnings call transcript.