Shares of New York Times (NYT) tumbled 5.30% in pre-market trading on Wednesday, as investors reacted to the company's latest quarterly results.
The decline came after the company reported adding 280,000 net digital-only subscribers in the second quarter, missing the average analyst estimate of 295,300, according to data from Visible Alpha. The subscriber shortfall overshadowed better-than-expected earnings, with adjusted EPS of $0.69 beating the $0.67 consensus and revenue of $762.5 million surpassing the $752 million forecast.
While the company posted strong profitability and raised its outlook for digital subscription revenue growth, the miss on subscriber additions signaled heightened competition and softer demand, prompting a negative reaction in the pre-market session.