Net loss for the fourth quarter of 2005 was $29.7 million; full-year loss was $26.1 million.
LIN TV Corp. today reported financial results for the fourth quarter and year ended December 31, 2005.
Net revenues for the fourth quarter of 2005 were $111.5 million compared to net revenues of $108.1 million in the fourth quarter of 2004, a 3% increase. Net loss for the fourth quarter of 2005 was $29.7 million, or $0.58 per diluted share, compared to net income of $62.2 million, or $1.15 per diluted share, in the fourth quarter of 2004.
Net revenues for the year ended December 31, 2005, increased to $380.4 million compared to net revenues of $376.7 million in the comparable period of 2004. Operating income for the year ended December 31, 2005 was $42.4 million compared to $101.0 million in the year ended December 31, 2004.
Net loss for the year ended December 31, 2005 was $26.1 million, or $0.51 per diluted share, compared to 2004 net income of $93.0 million, or $1.64 per diluted share.
Results for the fourth quarter and full year 2005 were impacted by the acquisition of seven television stations in 2005. Net loss for 2005 includes a $14.4 million pre-tax loss resulting from the extinguishment of debt, a $33.4 million pre-tax loss related to an impairment in the carrying value of goodwill and a pre-tax decrease of $10.5 million in the gain from the company’s derivative instruments compared to the gain recognized in 2004. Net income for 2004 reflected a $3.3 million gain resulting from the cumulative effect of a change in accounting principle related to the consolidation of the Company’s ownership stake in Banks Broadcasting, Inc. on March 31, 2004. Net income in both the fourth quarter and the full year 2004 also included a benefit from income tax of $50.1 million related to the reversal of the company’s tax valuation allowance.
Gary Chapman, LIN TV’s chairman, president and CEO, said “We are pleased to have grown fourth quarter revenues despite a difficult comparison to last year’s quarter, which included a significant amount of political revenue. The increase in revenues was driven principally by the acquisition of the UPN affiliated stations in Indianapolis and Columbus we acquired in March, as well as by the five stations we acquired from Emmis Communications in November. We are focused on improving our entire station group’s operating performance in 2006 and expect demand for political and Olympic advertising will provide a catalyst for increased revenues in 2006.”