The New York Times Company (NYSE:NYT) Q4 2025 Earnings call February 04, 2026 08:00 AM ET Company ParticipantsAnthony DiClemente - SVP of Investor RelationsBenjamin Soff - Director of Equity ResearchDoug Arthur - Managing DirectorJason Bazinet - DirectorKannan Venkateshwar - Managing Director of US Media, Cable and Telecom Equity ResearchKutgun Maral - DirectorMeredith Kopit Levien - President and CEOThomas Yeh - Executive Director of Equity ResearchWill Bardeen - EVP and CFOConference Call ParticipantsDavi ...

Financial Data and Key Metrics Changes - In 2025, the company added 1.4 million net new digital subscribers, bringing the total to 12.8 million, with a goal of reaching 15 million subscribers [10][18] - Total digital revenues exceeded $2 billion for the first time, with adjusted operating profit (AOP) growing over 20% and margins expanding to 19.5% [10][19] - Digital subscription revenues grew 14% year-over-year, while total subscription revenues increased approximately 9% [22][25] - AOP grew by approximately 21% year-over-year to $550 million, with AOP margin expanding by approximately 190 basis points [19][24] Business Line Data and Key Metrics Changes - Digital advertising revenues increased by 25%, contributing to total advertising revenue growth of 16% [11][22] - Licensing, affiliate, and other revenues grew by 5.5% to $100 million, primarily due to higher licensing revenues [24] - The company reported a digital-only average revenue per user (ARPU) of $9.72, reflecting a positive trend in pricing strategies [21][60] Market Data and Key Metrics Changes - The company experienced strong engagement across its portfolio, which contributed to significant growth in digital advertising [10][11] - The advertising market showed improved demand, allowing the company to secure larger deals with existing marketers and attract new ones [30][77] Company Strategy and Development Direction - The company aims to leverage its world-class journalism and lifestyle products to engage a larger audience, with a focus on video content as a key growth area [12][14] - The strategic priorities for 2026 include enhancing journalism formats, expanding product offerings, and navigating technological changes to increase value for audiences [15][26] - The company plans to continue investing in high-quality journalism and digital product experiences while maintaining operational efficiency [25][32] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the challenges in the media landscape, including a polarized environment and competition from powerful platforms, but expressed confidence in the company's strategic positioning [11][12] - The outlook for 2026 includes expectations for continued subscriber growth, revenue growth, AOP growth, margin expansion, and strong free cash flow generation [15][26] Other Important Information - The company returned approximately $275 million to shareholders in 2025, including $165 million in share repurchases and $110 million in dividends [19][20] - The quarterly dividend was increased from $0.18 to $0.23, aligning with the company's capital allocation strategy [20][38] Q&A Session Summary Question: Digital ad growth breakdown - Management noted that digital ad growth was driven by increased supply, improved engagement, and a stronger demand environment [28][30] Question: Cost guidance for Q1 - Management explained that the cost guidance reflects ongoing investments in video and other strategic areas, while maintaining a focus on revenue growth outpacing cost growth [32][33] Question: Capital allocation strategy - The company reiterated its commitment to returning at least 50% of free cash flow to shareholders while prioritizing organic investments in its subscription strategy [37][38] Question: Password sharing approach - Management discussed the Family Plan as a way to encourage engagement and revenue growth, viewing it as a positive strategy rather than a punitive measure [40][41] Question: Video journalism initiative - The company sees video as a significant long-term opportunity and is ramping up production to establish itself as a preferred brand for news consumption [46][48] Question: Single product growth and conversion potential - Management expressed confidence in the ability to convert engaged single product users into more valuable bundle subscriptions, highlighting the interconnectedness of their product offerings [81][82] Question: Contract negotiations with NewsGuild - Management indicated confidence in navigating contract negotiations with unions, emphasizing a history of productive relationships [87]

The New York Times Company (NYSE:NYT) Q4 2025 Earnings call February 04, 2026 08:00 AM ET Speaker8Please 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.Speaker0Thank you, and welcome to the New York Times Company's fourth quarter and full year 2025 earnings conference call. On the call today, we have Meredith Kopit Levien, President and Chief Executive Officer, and Will Bardeen, Executive Vice ...

Core Insights - The New York Times Company's digital bundle strategy has successfully attracted and retained subscribers, with a net addition of approximately 460,000 digital-only subscribers in Q3 2025, bringing the total to 12.33 million [1][8] - The company has seen a 3.6% year-over-year increase in digital-only average revenue per user (ARPU), reaching $9.79, driven by subscribers moving from promotional rates to higher prices [2][8] - Management anticipates a 13-16% growth in digital-only subscription revenues for Q4 2025, reflecting ongoing engagement and momentum in multi-product bundles [4][8] Subscriber Growth - The total number of subscribers reached 12.33 million, with bundle and multiproduct subscribers accounting for 6.27 million, or 51% of the total [1][8] - The growth in subscribers is attributed to the integration of various offerings, including lifestyle and engagement-focused products alongside traditional journalism [3] Financial Performance - Subscription revenues from digital-only products increased by 14% year-over-year to $367.4 million, reflecting the success of bundle and multi-product offerings [2] - The company expects total subscription revenues to rise by 8-10% [4] Market Position - The New York Times Company's shares have increased by 34.4% over the past year, outperforming the industry growth of 29.1% [5] - The company trades at a forward price-to-earnings ratio of 26.05, which is higher than the industry average of 25.52 [6] Earnings Estimates - The Zacks Consensus Estimate indicates an 8.8% year-over-year growth in sales and a 16.9% increase in earnings per share for the current financial year [10] - For the next fiscal year, sales are expected to rise by 7% and earnings by 14.3% [10]

Core Viewpoint - Williams-Sonoma, Inc. has been underperforming in the market despite reporting better-than-expected financial results, with a notable decline in stock prices following earnings announcements [2][4]. Financial Performance - The company reported a 4% year-over-year increase in comparable brand revenues, leading to a 4.6% growth in net revenues to $1.9 billion, surpassing expectations by 1.5% [4]. - Earnings per share (EPS) increased by 4.8% year-over-year to $1.96, exceeding consensus estimates of $1.87 [4]. - For the full fiscal 2025, analysts expect earnings of $8.56 per share, reflecting a 2.6% year-over-year decline [5]. Market Comparison - Over the past year, WSM stock prices have declined by 1.4%, while the S&P 500 Index gained 10.5% [2]. - WSM has also underperformed compared to the Consumer Discretionary Select Sector SPDR Fund, which saw a 3.1% increase over the same period [3]. Analyst Ratings - Among 20 analysts covering WSM, the consensus rating is a "Moderate Buy," with six "Strong Buys," one "Moderate Buy," and 13 "Holds" [5]. - UBS analyst Michael Lasser maintained a "Neutral" rating but lowered the price target from $184 to $175, while the mean price target of $209.67 suggests a 21.5% premium to current levels [7].

Financial Data and Key Metrics Changes - In Q3 2025, consolidated revenues grew approximately 9.5% year-over-year, with adjusted operating profit (AOP) increasing by approximately 26% and AOP margin expanding by approximately 240 basis points [10][11] - Free cash flow generated in the first nine months of the year was approximately $393 million, reflecting a capital-efficient model [10] - Adjusted diluted EPS in Q3 increased by $0.14 to $0.59, primarily driven by higher operating profit [13] Business Line Data and Key Metrics Changes - The company added 460,000 net new digital subscribers in Q3, bringing the total subscriber base to approximately 12.3 million, with digital subscription revenue increasing by 14% to $367 million [4][12] - Total subscription revenues grew approximately 9% to $495 million, in line with guidance [12] - Digital advertising revenues increased approximately 20% to $98 million, while total advertising revenues grew approximately 12% to $132 million [12][13] Market Data and Key Metrics Changes - Digital advertising growth was attributed to strong marketer demand and new advertising supply, indicating a robust market environment [12][40] - Affiliate licensing and other revenues increased approximately 8% to $74 million, primarily due to higher licensing revenues [13] Company Strategy and Development Direction - The company is focused on a multi-revenue stream model that includes subscription, advertising, licensing, and affiliate revenues, all of which are growing [3][4] - The strategy emphasizes enhancing product value through video, audio, and AI, aiming to engage a larger audience and drive subscriber growth [5][7] - The company aims to become more essential to a broader audience, expecting to deliver more value for shareholders and society [9] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the ability to navigate a dynamic market environment, highlighting the importance of independent journalism and compelling product experiences [9][14] - The outlook for Q4 includes expectations for digital-only subscription revenues to increase by 13%-16% and total subscription revenues to grow by 8%-10% [14] Other Important Information - The company has maintained disciplined expense growth while investing in journalism and product experiences, which are seen as sources of long-term advantage [8][10] - The family plan subscription offering has shown positive results, contributing to market penetration and engagement [11][18] Q&A Session Summary Question: Can you elaborate on the video format and its impact on advertising? - Management sees video as a significant opportunity for engagement and brand building, with potential for expanding into video advertising opportunities [16][17] Question: What is the growth rate in operating expenses for Q4? - The company expects adjusted operating costs to increase by 6%-7%, driven by investments in journalism and product development [21][23] Question: Can you discuss the dynamics behind advertising growth? - The advertising growth is attributed to a combination of market demand and new product innovations, with a focus on providing more value to advertisers [39][40] Question: How is The Athletic performing? - The Athletic continues to perform well, contributing positively to engagement and advertising, with the introduction of NFL footage enhancing its product offering [46] Question: Are single product subscriptions converting to higher value products as expected? - The model is working as designed, with single products driving audience engagement and contributing to overall subscription and advertising growth [48]

Financial Data and Key Metrics Changes - In Q3 2025, consolidated revenues grew approximately 9.5% year-over-year, with adjusted operating profit (AOP) increasing by approximately 26% and AOP margin expanding by approximately 240 basis points [10][11] - Free cash flow generated in the first nine months of the year was approximately $393 million, reflecting a capital-efficient model [10] - Adjusted diluted EPS in Q3 increased by 14 cents to 59 cents, primarily driven by higher operating profit [13] Business Line Data and Key Metrics Changes - The company added 460,000 net new digital subscribers in Q3, bringing the total subscriber base to approximately 12.3 million, with digital subscription revenue increasing by 14% to $367 million [4][12] - Total advertising revenues for the quarter were $132 million, an increase of approximately 12%, with digital advertising revenues increasing approximately 20% to $98 million [12][13] - Affiliate licensing and other revenues increased approximately 8% to $74 million, primarily due to higher licensing revenues [13] Market Data and Key Metrics Changes - Digital-only average revenue per user (ARPU) grew 3.6% to $9.79, reflecting successful pricing strategies [12] - The company expects digital-only subscription revenues to increase by 13-16% and total subscription revenues to increase by 8-10% in Q4 [14] Company Strategy and Development Direction - The company emphasizes a multi-revenue stream model, including subscription, advertising, licensing, and affiliate revenues, which are all growing [3][4] - The strategy focuses on enhancing product value through video, audio, and AI, aiming to engage users more effectively [5][7] - The company aims to become more essential to a larger audience, thereby increasing shareholder value and societal impact [9] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the ability to navigate a changing media landscape, highlighting persistent demand for quality journalism [9] - The company plans to continue disciplined investments in journalism and product experiences while maintaining cost efficiency [14] Other Important Information - The company returned approximately $191 million to shareholders, consisting of share repurchases and dividends, consistent with its capital allocation strategy [10][11] - The family plan subscription offering is performing well, contributing positively to market penetration and engagement [18] Q&A Session Summary Question: Video format opportunity and advertising impact - Management sees video as a significant growth opportunity and is focused on increasing engagement before fully monetizing through advertising [16][17] Question: Growth rate in operating expenses for Q4 - Management indicated that the growth in operating expenses is driven by investments in journalism and product development, with a focus on long-term sustainable growth [21][22] Question: Dynamics of advertising growth - Management noted that advertising growth is attributed to a combination of market demand and new product innovations, with a focus on providing value to advertisers [40][42] Question: Performance of The Athletic - Management confirmed that The Athletic is performing well, contributing positively to engagement and advertising revenue [50] Question: Conversion rates from single product subscribers - Management stated that single product subscriptions are effectively driving audience engagement and conversion to higher-value products [52]

Financial Data and Key Metrics Changes - In Q3 2025, consolidated revenues grew approximately 9.5% year-over-year, with adjusted operating profit (AOP) increasing by approximately 26% and AOP margin expanding by approximately 240 basis points [10][11] - Free cash flow generated in the first nine months of the year was approximately $393 million, reflecting a capital-efficient model [10] - Adjusted diluted EPS in Q3 increased by 14 cents to 59 cents, primarily driven by higher operating profit [13] Business Line Data and Key Metrics Changes - Digital subscription revenue increased by 14% in Q3, reaching $367 million, driven by strong audience engagement [4][12] - Total subscription revenues grew approximately 9% to $495 million, in line with guidance [12] - Digital advertising revenues increased approximately 20% to $98 million, while total advertising revenues grew approximately 12% to $132 million [12][13] Market Data and Key Metrics Changes - The company added 460,000 net new digital subscribers in Q3, bringing the total subscriber base to 12.3 million [4][11] - Digital-only average revenue per user (ARPU) grew 3.6% to $9.79, reflecting successful pricing strategies [12] Company Strategy and Development Direction - The company is focused on a multi-revenue stream model, including subscription, advertising, licensing, and affiliate revenues, which are all growing [3][4] - There is a strong emphasis on enhancing video, audio, and AI capabilities to increase user engagement and product value [5][6] - The company aims to become more essential to a larger audience, thereby increasing shareholder value and societal impact [9] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the ability to navigate a dynamic market environment, expecting healthy growth in revenues and AOP, margin expansion, and strong free cash flow generation for the full year [15] - The company remains focused on sustaining healthy revenue growth while making disciplined investments in high-quality journalism and digital products [24][31] Other Important Information - The company returned approximately $191 million to shareholders, consisting of $110 million in share repurchases and $81 million in dividends [10][11] - The family plan subscription offering is performing well, contributing positively to market penetration and engagement [19] Q&A Session Summary Question: Video format opportunity and advertising impact - Management sees video as a significant growth opportunity and believes it will enhance engagement and advertising potential [18] Question: Growth rate in operating expenses for Q4 - Management indicated that the growth in operating expenses is driven by investments in journalism and product development, with a focus on long-term sustainable growth [24][26] Question: Advertising dynamics and new product innovations - The advertising strength is attributed to a combination of market demand and new product innovations, with a focus on providing more value to advertisers [44][46] Question: Performance of The Athletic - Management reported strong performance from The Athletic, highlighting the introduction of NFL footage and its positive impact on engagement and advertising [52] Question: Surge in single product subscribers and conversion rates - Management confirmed that the model is working as designed, with single products driving audience engagement and contributing to overall subscription growth [56]

Group 1 - Parnassus Mid Cap Growth Fund reported a return of 13.29% (net of fees) for Q2 2025, underperforming the Russell Midcap Growth Index which returned 18.20% [1] - The fund's performance was negatively impacted by stock selection in the Industrials and Information Technology sectors, while holdings in the Financials sector contributed positively [1] - The fund highlighted SharkNinja, Inc. (NYSE:SN) as a key investment, noting its innovative product design across multiple consumer categories [2][3] Group 2 - SharkNinja, Inc. (NYSE:SN) experienced a one-month return of -7.41% and a 52-week gain of 1.55%, with a market capitalization of $15.192 billion as of September 24, 2025 [2] - The company is recognized for its potential growth driven by market share gains, expansion into new categories, and international growth opportunities [3] - SharkNinja, Inc. was held by 65 hedge fund portfolios at the end of Q2 2025, a decrease from 69 in the previous quarter, indicating a shift in hedge fund interest [4]

Core Insights - Williams-Sonoma, Inc. (WSM) is valued at $24.4 billion and operates as a multi-channel specialty retailer of premium home products, offering brands like Pottery Barn and West Elm [1] - WSM is categorized as a large-cap stock, indicating its significant presence in the specialty retail and premium home decor market [2] Stock Performance - WSM stock reached an all-time high of $219.98 on January 30 and is currently trading 8.9% below that peak, with a 26.9% increase over the past three months, outperforming the S&P 500 Index's 9% increase during the same period [3] - Over the longer term, WSM stock has gained 8.2% in 2025 and surged 31.2% over the past 52 weeks, although it lagged behind the S&P 500's 12.9% gains year-to-date [4] Financial Results - In Q2, WSM reported a 2.7% year-over-year growth in net revenues to $1.8 billion, exceeding estimates by 1.1%, and a 19.8% year-over-year increase in EPS to $2, surpassing consensus estimates by 11.7% [5] - Despite better-than-expected results, WSM's stock dipped 2.9% following the Q2 earnings release [5] Competitive Position - WSM has significantly outperformed its peer, Home Depot, Inc. (HD), which saw a 5.3% gain in 2025 and a 2.3% increase over the past 52 weeks [6] Future Outlook - The company anticipates potential negative impacts on operations due to cost increases from additional tariffs on imports from various countries, including 50% tariffs on aluminum and copper [6]