Torstar Corp. is boosting its dividend even as its first quarter profit slipped to $15.4 million partly because it spent more on its digital operations.
The owner of the Toronto Star and other newspapers, Harlequin books and numerous websites said its dividend will increase to 12.5 cents per share from 9.25 cents effective June 30.
Quarterly earnings at the media company were $15.4 million (equal to 20 cents per share), down from $16.6 million (or 21 cents per share) last year.
Torstar’s total revenue increased to $351.4 million from $335 million.
But its revenue from Harlequin more than offset declines in other divisions, as it saw higher sales of digital books. Harlequin was negatively affected by a $3.1 million in foreign exchange impact due to the high Canadian dollar.
Torstar sold its stake in CTV to Bell for $291.6 million and received the money on April 1.
Torstar owns the Star Media Group led by the Toronto Star, Canada’s largest daily newspaper, and digital properties including Thestar.com, Toronto.com, Workopolis, Olive Media, and EyeReturn Marketing.
