Media General Pro Forma Rev Up 17% In 4Q

Media General Inc.’s net operating revenue in the fourth quarter grew 97% to $217 million compared to $110 million in the fourth quarter of 2013.

For full-year 2014, net operating revenue increased 150% to $675 million, compared to $270 million in 2013.

Media General’s President-CEO Vincent L. Sandusky said: “2014 was an outstanding year. “Media General completed its $2.6 billion merger with LIN Media and transformed into one of the largest and best-positioned broadcasters with an industry-leading digital business. It is remarkable to think that in just over a year, the company has grown from 18 television stations in 17 markets to 71 television stations in 48 markets. Media General did an excellent job integrating the Young Broadcasting television stations and over-achieving on its synergies.”

Sadusky added: “On a comparative basis, we increased net revenues by 17% in 2014, versus the prior year. Our strong results were primarily driven by political advertising revenues, higher pay-TV subscriber fees and continued growth in digital revenues.

“Looking ahead, TV is pacing up approximately 2%, excluding political revenues and incremental Olympic revenues. We are excited about the new Media General’s growth prospects, and we are focused on our successful integration, achieving our synergy goals and leveraging our great scale and footprint to advance our strategic content and digital initiatives.”

Breaking down the fourth quarter and full year results:

• Local revenues, which include net local advertising revenues, retransmission consent fees and television station website revenues, increased 5% to $237 million in the fourth quarter, compared to the prior year. For the full year, local revenues increased 9% to $899 million, compared to 2013.

• Net national revenues decreased 6% to $64 million in the fourth quarter, compared to the prior year. For the full year, net national revenues decreased 8% to $233 million, compared to 2013.

• Net digital revenues increased 34% to $35 million in the fourth quarter, compared to the prior year. For the full year, net digital revenues increased 65% to $125 million, compared to 2013.

• Net political revenues were $65 million in the fourth quarter and $116 million for the full year.

• Broadcast cash flow (BCF) increased 51% to $180 million in the fourth quarter, compared to the prior year. For the full year, BCF increased 31% to $513 million, compared to 2013. BCF margin was 44% in the fourth quarter, compared to 36% in the prior year. For the full year, BCF margin was 36%, compared to 32% in 2013.

• Adjusted EBITDA increased 64% to $165 million in the fourth quarter, compared to the prior year. For the full year, Adjusted EBITDA increased 35% to $459 million, compared to 2013.