Sussex-based Quad/Graphics Inc. reported a second quarter net loss of $45.1 million, or 94 cents per share, compared with a net loss of $22.8 million, or 48 cents per share, in the second quarter of 2014.
The commercial printing and media solution provider reported a $25.8 million operating loss, compared with $500,000 in operating income in the same period a year ago.
Revenue totaled $1.1 billion, flat from the second quarter of 2014.
Publishing industry headwinds have had a significant impact on Quad/Graphics over the past several quarters.
Free cash flow was $40 million year-to-date, up $45 million over last year’s first half, which was due to sustainable improvements in the cash conversion process and a $10 million acquisition termination fee Quad received from Courier Corp.
“We are pleased with our continued solid free cash flow generation, which is the foundation of our strong balance sheet and enables us to deploy capital in ways that generate value for the company and our shareholders,” said Joel Quadracci, chairman, president and chief executive officer. “Our ability to generate strong free cash flow comes from ongoing strategic investments in our core print platform, including technology, automation and processes that drive productivity and efficiencies. Our second quarter operating results reflect ongoing industry headwinds, a sluggish advertising environment for publishers and a less than robust retail environment, all of which impacted our sales. As we continue on our transformational journey, we remain committed to helping our clients perform better in today’s rapidly changing world through innovative and integrated solutions that capitalize on print’s ability to connect with other media channels to drive engagement and response while also reducing overall costs.”
