Yellow Media turns profit, awaits restructing ruling:
The case wrapped up in Quebec court last week, and a decision is pending on whether it can proceed.
The company said Tuesday that it earned $24-million in the most recent quarter, compared to a $2.8-billion loss last year that was based on a goodwill impairment charge. Revenue dropped 17 per cent to $267.7-million, however, down from $323-million last year.
It was also profitable in the last quarter, when it earned $67-million (revenue declined 16 per cent).
Like other companies that rely on print advertising, customers have been moving online. Yellow Media is keeping many of these customers as they make the transition, but these companies don’t spend as much online as they did in print. The company said its restructuring would buy it the time it needs to reinvent itself as a digital company, without having to worry about debt payments coming due.
Online revenue increased 5 per cent to $92-million, compared to $87-million last year.
“Yellow Media has a century-long legacy of catering to the needs of locally-based small and medium-sized companies through marketing advice and solutions,” chief executive officer Paul Tellier said in a statement. “Our digital transformation benefits these businesses by providing them with the same trusted expert advice alongside an extensive portfolio of online, mobile, and web-related products designed to increase their digital presence in today’s marketplace.”