Assessing The New York Times Company Ahead of Q3 Earnings Release

The New York Times Company NYT is set to announce its third-quarter 2025 earnings results on Nov. 5, before the market opens. Key focus areas include subscription growth and trends in advertising revenues.

The Zacks Consensus Estimate for third-quarter revenues is pegged at $691.7 million, indicating an 8% rise from the prior-year period.

This diversified media conglomerate is also expected to show improvement in the bottom line. The consensus estimate for earnings per share has remained steady at 54 cents over the past 30 days, suggesting a 20% increase from the year-ago period.

The New York Times Company has a trailing four-quarter earnings surprise of 12.1%, on average. In the last reported quarter, the company surpassed the Zacks Consensus Estimate for EPS by 16%.

Factors Likely to Have Shaped NYT’s Q3 Outcome

The New York Times Company's emphasis on subscription growth and digital innovation has played an instrumental role in its progress. By continually enhancing its suite of digital offerings, spanning news, games, cooking and sports content, the company has successfully attracted new subscribers while retaining existing ones. This focused approach has helped optimize average revenue per user. In addition, effective content monetization and disciplined cost management are likely to have supported profitability. The growing adoption of bundled and multiproduct subscriptions further strengthens the company’s ecosystem.

On its last earnings call, management projected an 8-10% year-over-year increase in total subscription revenues for the third quarter, with digital-only subscription revenues anticipated to rise 13-16%. Currently, the Zacks Consensus Estimate for subscription revenues is pegged at $494.4 million, implying 9.1% growth, while digital-only subscription revenues are estimated at $368.9 million, suggesting a 14.5% increase.

The New York Times Company's expanding subscriber base is central to its growth strategy. The consensus estimate indicates that the digital-only subscriber count is likely to have reached 11.6 million by the end of the third quarter. This growth solidifies its influence and market standing, positioning it as an attractive platform for advertisers seeking an engaged audience. 

In line with this, The New York Times Company has made significant strides in reducing dependence on traditional advertising by focusing on digital avenues. Management anticipates low-double-digit growth in digital advertising revenues. The Zacks Consensus Estimate for digital advertising revenues stands at $90.36 million, indicating a 10.8% increase.

Despite these positive trends, the company continues to face some challenges. Print subscription and advertising revenues are likely to have declined year over year, reflecting the ongoing shift toward digital consumption. The consensus estimate for print subscription revenues stands at $125.5 million, down 4.3%, while print advertising revenues are expected to fall 11.4% to $32.6 million. Additionally, higher spending on product development, marketing and administrative functions may have weighed on margins. Management had earlier guided for adjusted operating costs to increase 5-6% in the quarter under review.

The New York Times Company Price, Consensus and EPS Surprise

The New York Times Company price-consensus-eps-surprise-chart | The New York Times Company Quote

What the Zacks Model Predicts for NYT

Our proven model does not conclusively predict an earnings beat for The New York Times Company this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. However, that’s not the case here. 

The New York Times Company has a Zacks Rank #3 but an Earnings ESP of 0.00%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Stocks With the Favorable Combination

Here are companies you may want to consider, as our model shows that these have the right combination of elements to post an earnings beat:

StoneCo Ltd. STNE has an Earnings ESP of +7.81% and sports a Zacks Rank #1 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

It is set to report third-quarter 2025 results on Nov. 6. The Zacks Consensus Estimate for STNE’s third-quarter earnings is pegged at 43 cents per share, which has risen by a couple of cents over the past 30 days. The consensus mark indicates a year-over-year increase of 22.9%. 

BILL Holdings BILL has an Earnings ESP of +0.85% and carries a Zacks Rank #2 at present. It is set to report first-quarter fiscal 2026 results on Nov. 6. 

The Zacks Consensus Estimate for BILL Holdings’ first-quarter earnings is pegged at 51 cents per share and has remained unchanged over the past 30 days. The consensus mark implies a year-over-year decline of 19.1%. 

HubSpot, Inc. HUBS is set to report third-quarter 2025 results on Nov. 5. It has an Earnings ESP of +0.23% and carries a Zacks Rank #3 at present.
 
The Zacks Consensus Estimate for HubSpot’s third-quarter earnings per share is pegged at $2.58, unchanged over the past 30 days, and calls for year-over-year growth of 18.4%. 

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This article originally published on Zacks Investment Research (zacks.com).

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