Its TV revenue drops by $7.2 million from the year-ago quarter even though retransmission consent money was up by $2.9 million.
Entravision Communications Corp. reported financial results Wednesday for the quarter ended June 30. Net revenue decreased to $48.7 million for the three-month period ended June 30, 2009 from $62.9 million for the three-month period ended June 30, 2008, a decrease of $14.2 million or 22.6 percent.
Of the overall decrease, the company said $7.2 million came from its television segment and was primarily attributable to a decrease in local and national advertising rates, which in turn was primarily due to the continuing weak economy, partially offset by the increase in retransmission consent revenue of $2.9 million.
Additionally, $7 million of the overall decrease was from our radio segment and was primarily attributable to a decrease in local and national advertising rates, which in turn was primarily due to the continuing weak economy.
Operating expenses decreased to $29.6 million for the quarter from $36.9 million for the quarter a year ago, a decrease of $7.3 million. The decrease, the company said, was primarily attributable to decreases in expenses associated with the decrease in net revenue and salary expense due to reductions of personnel and salary reductions.
Commenting on the company’s earnings results, Walter F. Ulloa, chairman and chief executive officer, said: “Our second quarter financial results reflect the continuing recession and the challenging advertising environment. We are continuing to aggressively manage our costs to maximize our cash flows. Our television and radio operations continue to deliver solid ratings in the nation’s most densely-populated Hispanic markets. We believe we are well positioned to benefit when the economy recovers, given the strength of our brands and our ability to deliver the valuable Hispanic audience to advertisers.”