Last year, Playboy reduced its loss by 68 per cent to $51.3m compared with a loss of $160.4m in 2008. An even smaller loss is expected this year, a Bloomberg survey has said.
According to the Publishers Information Bureau, the magazine's 2009 advertising revenue recorded a 30 per cent drop.
To bring down losses, the magazine had merged its January and February 2010 issues.
In November last year, Playboy had signed a deal with American Media Inc (AMI), which publishes Men's Fitness magazine. In this, while AMI will handle the marketing and distribution of the magazine, Playboy will handle the editorial content.
Media analysts believe the deal with AMI could help Playboy magazine break even next year. The publisher hopes the profits will start showing in the second half of this year itself.