Time Inc., the largest magazine publisher in the United States, reported a fall in quarterly revenue, hurt by a decline in subscription revenue and newsstand sales, and cut its full-year revenue forecast.
The publisher of Sports Illustrated, Time magazine, and People is facing steadily declining circulation and advertising revenue—like Meredith Corp. and News Corp.—as consumers shift to reading on smartphones and tablets.
This is Time's first earnings report following its spinoff from Time Warner. Time publishes more than 90 titles and operates 45 websites, and gets more than half of its revenue from advertising.
The company cut its full-year revenue forecast to $3.30 billion to $3.37 billion from $3.35 billion to $3.42 billion, citing a payment default by its second-largest wholesaler, the relocation of its headquarters and sale of Mexican publishing unit Grupo Expansion.