• by Ray Schultz , August 12, 2021

Meredith, in announcing 5% revenue growth of $2,977.4 billion for its fiscal year 2021, revealed that digital advertising revenue surpassed magazine revenue for the first time in the company’s history. 

Digital ad revenue grew 31% to $491.8 million, versus $376.8 million last year. Magazine revenue fell to $476.5 million from $553.5 million in 2020. 

Overall ad-related revenue hit $964.4 million, having fallen from $993.4 in 2020. 

Subscription revenue declined to $564.7 million from $611.8 million in fiscal 2020.  

Earnings from continuing operations were $307 million, compared to a loss of $209 million in the prior fiscal year. 

"From a strategic standpoint, fiscal 2021 was transformative,” states Tom Harty, chairman-CEO of Meredith. “Our digital businesses are delivering record performance, and our agreed sale of the Local Media Group significantly strengthens our financial position." 

Meredith had agreed to sell Meredith's Local Media Group to Gray Television Inc. for cash, with a price of $2.825 billion, representing a 10x valuation. And its National Media Group is to be spun out to shareholders as a standalone company under the Meredith Corporation name. 

In Q4, Meredith’s digital revenue totaled $123.1 million, up from $68.4 million last year. In contrast, magazine revenue fell to $100.7 million, down from $107.4 million in the same period in 2020.

Overall ad revenue grew in Q3 to $338.4 million, from $260 million in the previous year, and total revenue jumped from $611.2 million to $717.9 million.