Journal Communications Inc. announced Tuesday its profit in the first quarter increased to US$5.3 million due to reduced expenses and growth in its broadcasting section, The Associated Press reported.

The U.S. publisher's flagship title, Milwaukee Journal Sentinel, is still facing revenue declines, down 5.3 percent to $37.5 million, but losses in advertising have eased, Editor & Publisher reported.

Classified advertising revenue plunged 13.7 percent due to downturns in all major categories, and retail ad revenue was down 9 percent.

Interactive revenue, however, boosted 20.1 percent to $2.3 million, thanks to an increase in retail sponsorships, E&P reported.

The company's stock price was up 46 cents, or 8.7 percent, to $5.75 in Tuesday morning trading.

The media company reported net income of $5.3 million, or 9 cents per share, for the first quarter, compared to $121,000, or a penny per share, year-over-year.

Overall revenue dropped 3 percent to $98.5 million. Publishing revenue decreased 7 percent to $44.6 million, better than the 16.4 percent decline in the previous quarter. Broadcasting revenue rebound almost 9 percent to $42.6 million.

Operating expenses decreased 13 percent due to job cuts and other cost saving moves, according to the AP article posted on Business Week.