Sorry!! The article you are trying to read is not available now.
Thank you very much;
you're only a step away from
downloading your reports.

Quick Hits: Playboy's Profits Fall Down Rabbit Hole


Brief scrutiny of today's headlines

Hugh Hefner's libido seems to have more life than his publishing house, Playboy Enterprises (PLA).

Reuters reports a weakening of revenues for publishers and television companies as more people look to free entertainment online.

Playboy reported a first quarter loss of $3.1 million compared to a profit of $1.5 million one year ago. Company revenue followed this downward slope, falling 8% to $78.5 million and missing estimates by $6.9 million.

The company's domestic television take fell 16% despite growth in monthly subscription revenue at Playboy TV. Moreover, profit at flagship Playboy magazine declined 14% as circulation and ad sales for the publication plummeted.

Hefner said he knew Playboy's revenue from licensing, which rose 5% with a 10% boost from international consumer products, would stay strong throughout the year. On the other hand, he didn't expect the company's overall weak showing.

But the ever-industrious perma-bachelor thinks that Miley Cyrus posing for Playboy will reverse the embattled company's fortune. If not, maybe its new mobile phone will do the trick.
< Previous
  • 1
Next >
No positions in stocks mentioned.

The information on this website solely reflects the analysis of or opinion about the performance of securities and financial markets by the writers whose articles appear on the site. The views expressed by the writers are not necessarily the views of Minyanville Media, Inc. or members of its management. Nothing contained on the website is intended to constitute a recommendation or advice addressed to an individual investor or category of investors to purchase, sell or hold any security, or to take any action with respect to the prospective movement of the securities markets or to solicit the purchase or sale of any security. Any investment decisions must be made by the reader either individually or in consultation with his or her investment professional. Minyanville writers and staff may trade or hold positions in securities that are discussed in articles appearing on the website. Writers of articles are required to disclose whether they have a position in any stock or fund discussed in an article, but are not permitted to disclose the size or direction of the position. Nothing on this website is intended to solicit business of any kind for a writer's business or fund. Minyanville management and staff as well as contributing writers will not respond to emails or other communications requesting investment advice.

Copyright 2011 Minyanville Media, Inc. All Rights Reserved.

Featured Videos