LEE - Lee Enterprises (LEE) - Results Validate Its Digital Growth Strategy

A little light, but not worrisome. Fiscal Q2 revenues of $190.0 million was slightly less than our $191.2 million estimate. The results reflected better-than-expected growth in its Digital businesses and weaker results in its print advertising business. Adj. EBITDA was $16.9 million versus our $17.8 million estimate. Digital excels. Total Digital revenues were $58.1 million, 7% better than our expectation, and represented 31% of total company revenues, up from 27% in fiscal Q1. The strong results were driven by Digital Only Subscription revenue, up 44.7% to $32.9 million, an impressive 26% above expectations. Amplified, its digital agency business, increased revenues 108%. We believe that the strong Digital growth validates the company's Digital investments and its growth strategy. Read More >>