New York Times subscribers cross 13m on news, lifestyle content demand
New York Times jumped to 13.1 million in the first quarter as its blend of news and lifestyle content attracted readers navigating a volatile political and economic landscape, sending the company's shares up 8 per cent in early trading.
The newspaper added 310,000 digital-only subscribers in the first three months of the year, outpacing analysts' expectation of 270,513, according to Visible Alpha. This brings it closer to its goal of hitting 15 million subscribers by the end of 2027.
Heightened geopolitical tension, including ongoing wars and shifting US policies, has driven a rise in news consumption, driving more readers to the New York Times' digital platforms.
To attract subscribers, the Times has, in recent years, bundled its core news with games, sports and lifestyle content to broaden appeal and improve retention.
The results comes days after NYT won three Pulitzer prizes, including for its investigative stories on the Trump administration.
Publishers globally are grappling with declining referral traffic from search engines that are increasingly using AI to answer queries directly, reducing visits to news websites.
Still, the Times' efforts to boost its advertising appeal by expanding video offerings on its flagship app have helped weather that impact. "We're continuing to scale output here and more than doubled production of reporter video," CEO Meredith Kopit Levien said.
NYT's digital‑only average revenue per user rose 2.4 per cent to $9.77, reflecting subscribers' transition to higher prices from discounted plans as well as the impact of recent price increases, Chief Financial Officer William Bardeen said.
The company's digital-only subscription revenue grew 16.1 per cent in the first quarter, above Visible Alpha estimates of 15 per cent.
Digital ad revenues, meanwhile, jumped 31.6 per cent to $93.3 million.
Overall, the Times posted revenue of $712.2 million, topping expectations of $699.9 million, according to LSEG. Adjusted profit was 61 cents per share, beating estimates of 47 cents.
In the second quarter, NYT said it expects digital-only subscription revenue to grow between 14 per cent and 17 per cent, while analysts expected 13.8 per cent, according to Visible Alpha.