• by Erik Sass  @eriksass1, October 30, 2009

The newspaper industry's sour third quarter was rounded out with more negative results announced by the Washington Post Company and A.H. Belo, suggesting no end in sight for the industry's long-term secular decline.

The Washington Post Co.'s newspaper publishing division's revenue fell from $196.2 million in the third quarter of 2008 to $156.3 million, a 20% year-over-year drop. The losses at the newspaper division were more than offset, however, by positive results at the Washington Post Co.'s other divisions -- especially its successful Kaplan educational business.

Like other newspaper publishers, WashPo saw steep declines in every major newspaper advertising category. Classified revenues -- long the mainstay of the newspaper business -- were down across the board with losses in recruitment, real estate and automotive. National and retail advertising also saw steep declines.

Like its peers, WashPo also took a hit in online revenues, which fell 18% from $27.4 million in the third quarter of 2008 to $22.6 million this year. The online losses were due to a 14% decline in display advertising and a 27% decline in classifieds. Newsweek 's advertising revenues were down 48%, contributing to an overall 33% decline in magazine publishing revenues, from $60 million to $40.2 million.

For the year-to-date, the newspaper division's total revenues are down 19% to $485.9 million, compared to $599.6 million in the first nine months of 2008. The decline in total revenues exceeded a substantial reduction in expenses, which fell from $206.8 million in the third quarter of 2008 to $172.7 million this year.

The company's fortunes were boosted by positive results at other divisions, led by Kaplan, where revenues jumped 35% from $302 million in the third quarter of 2008 to $409 million this year.

WashPo noted that most of this growth was due to an increase in enrollments. (Other reports suggest that economic woes have prompted many young adults to consider attending graduate or professional school). Cable TV revenues grew 4%, from $181.8 million to $189.6 million. Together, these helped to offset losses at the company's newspapers as well as TV broadcasting, where revenues tumbled 17% to $64.6 million.

A.H. Belo, the publisher of The Dallas Morning News, reported that total revenues fell 17.5% from $153.8 million in the third quarter of 2008 to $126.9 million in the third quarter of 2008, due mostly to a 27% decrease in advertising revenues. Internet revenues fell 15% to $9.7 million.

The results at WashPo's newspaper division and A.H. Belo are in line with the rest of the newspaper industry, which suffered another round of double-digit declines in the third quarter of 2009. Total revenues at the New York Times Co. fell 17% from $687 million to $570.6 million; Gannett's total publishing revenues fell 23.5% to $1 billion; and McClatchy's total revenues fell 23.1% to $347.4 million.