[LINK] "Quebecor won’t rule out further cost-cutting at newspaper business"

[rfmcdonald]

Ross Marowitz's Canadian Press article about the problems of media firm Quebecor, hosted at MacLean's, says worrisome things about the future of newspapers in Canada.

Quebecor’s overall profits were cut in half compared with a year ago, in part due to the impact of lower ad revenues in its news media segment.

The majority owner of Quebecor Media Inc. reported Thursday a profit of $35.6 million or 57 cents per share, compared with $71.4 million or $1.13 per basic share in the first quarter of 2012.

Consolidated revenue fell $9.5 million, or 0.9 per cent, to $1.05 billion.

Adjusted income from continuing operations was $33.1 million or 53 cents per share, down from $37.8 million or 60 cents per share in the prior-year period.

The company was expected to earn 62 cents per share in adjusted profits on $1.09 billion of revenues, according to analysts polled by Thomson Reuters.

Peladeau declined to say whether Quebecor would consider selling its newspapers, particularly in English Canada, where it operates Sun Media.

He said those are strategic options would be decided by the new Quebecor board.