Reeling from declines in readership and advertising, Playboy magazine is contemplating "radical changes" that may include cutting its circulation and reducing the frequency with which it is published, Jerome Kern, interim chairman and chief executive of Playboy Enterprises Inc. told analysts Monday.

The troubled publisher has embarked on a series of cost cuts in recent months, including closing its New York offices on May 1. Christie Hefner departed as CEO in January, after two decades as leader of the Chicago-based media firm, and Playboy's board is in the process of finding her replacement.

Next up is a make-over of its flagship publication. Playboy plans to combine its July and August issues into a single edition to reduce printing and distribution costs, and it is looking at trimming its circulation and reducing its advertising rates, officials said.

Playboy is also planning to roll out a redesign in its June edition aimed at bringing a "younger and fresher look to the magazine," Kern said.

Like other print publications, Playboy is struggling to connect with readers and to remain relevant in an increasingly digital world.

It lost about 600,000 readers between 2002 and 2008, finishing with an average total circulation of 2.5 million over the last six months of the year, according to the Audit Bureau of Circulations.

Playboy magazine's revenues dropped 16 percent, to $13.5 million, during the first quarter, and are expected to plummet 39 percent, year over year, during the second quarter, the company said Monday.

The adult media company reported a first-quarter loss of $13.7 million, or 41 cents per share, including $8.7 million in special charges. That is roughly triple the loss of $4.2 million, or 13 cents per share, it reported during the year-earlier period.

Revenues for Playboy Enterprises' print and digital groups, which were recently combined, fell 26 percent, to $26.1 million, for the quarter. Playboy's television revenues dropped 20 percent, to $26.2 million, hurt by an increasing shift to on-demand viewing.

While Kern thinks that Playboy can turn around its television business, he's not as optimistic about its print product.

"It is clear that this company cannot continue to sustain significant losses in a business that now comprises less than one-quarter of the company's revenue base," Kern said during the company's quarterly earnings call on Monday.