Spanish Broadcasting sees strong advertising results in Q4
Gabriel Miramar-Garcia ©RapidTVNews | 02-04-2012
Spanish Broadcasting System, the operator of the nationwide MegaTV network in the U.S. and Puerto Rico, has reported consolidated net revenue for Q4 2011 of $38.2 million a 9% year on year increase.
The television segment net revenue decreased $0.1 million or 2%, primarily as a result of decreases in local spot sales and integrated sales, but offset by increases in barter sales and other revenues.
Operating income meanwhile, totaled $10.4 million compared to $7.0 million for the same prior year period, representing an increase of $3.4 million or 48%. This increase was primarily attributed to the increase in net revenues.
"We made significant progress during 2011 in executing our plan and advancing our financial performance," said Raul Alarcón Jr., chairman and CEO. "Our results reflect the improving advertising climate and the strength of our diversified media assets in reaching the fast-growing Hispanic audience. We have improved the cash generation of our business considerably through a disciplined approach to cost management, even as we have continued to strategically invest in building our brands, expanding our content and supporting our digital platform."
For the 2011 in total, consolidated net revenue came in at $141 million compared to $136.1 million for the same prior year period, resulting in an increase of $4.9 million or 3.6%. Excluding cyclical political sales for the respective periods, consolidated net revenue totaled $140.2 million compared to $134.2 million for the same prior year period, resulting in an increase of $6 million or 4.5%.
Operating income totaled $38.2 million compared to $30 million for the same prior year period, representing an increase of $8.2 million or 28%. This increase was primarily attributed to the increase in net revenues and a decrease in impairment charges and restructuring costs.
"Given the positioning of our assets in the nation's largest Hispanic markets and the ongoing robust growth of the Spanish speaking population, we remain very optimistic about our long-term outlook given the increasing need for advertisers to reach our audience," said Alarcon.