The company has three income streams, and all three were in decline.
Publishing revenues fell 21.4% to $15.981M; merchandising was down 3.4% to $13.691M; and the very small broadcasting category was down 111.5% to $139K.
Dan Dienst, Chief Executive Officer, said, “Results for the third quarter, which is seasonally our weakest quarter of the year, were in line with expectations but do not reflect the current transformation taking place at MSLO. The significant partnership we recently announced with Meredith Corporation allows us to leverage their scale and expertise to fully monetize our award-winning content. The partnership is immediately accretive to earnings and a winning relationship for our consumers as well as our valued shareholders. Starting November 1, MSLO will be a refocused content and design company with a strong foundation built on long-term profitable growth.”
Meredith, which operates in both the television and magazine industries, will handle advertising sales, circulation, production and other non-editorial functions for two key MSLO magazines and their associated websites: Martha Stewart Living and Martha Stewart Weddings