Double-digit increases in core local and national revenue push the broadcaster's revenue to $73.1 million, led by auto, political and retransmission consent dollars.
Nexstar 3Q TV Revenue Climbs 21%
Nexstar Broadcasting Group today reported financial results for the third quarter ended Sept. 30 that included a 21.1% increase in net revenue to $73.1 million from $60.4 million in the same period a year ago.
Core local and national revenue rose 12% to $56.6 million. Gross political revenue was up 564.7% to $6.7 million.
Retransmission fee revenue totaled $7.7 million, up 22.5% from $6.2 million a year ago.
Perry A. Sook, Nexstar chairman-president-CEO, commented: “Nexstar again delivered record quarterly financial results as we generated growth from all of our revenue sources while exercising operating expense discipline across the enterprise. Third quarter gross television ad revenue growth of 22.8% reflects double-digit increases in core local and national television advertising revenue and another quarter of robust political advertising growth.
“Nexstar’s television ad revenue strength, combined with continued growth of the other elements of our revenue ‘quadruple play,’ resulted in a 21.1% increase in third quarter net revenue. At the same time, expense management programs provided high cash flow growth with third quarter BCF increasing 54.5%, EBITDA up 65.2% and free cash flow rising 91.3%.
“Core local and national revenue increased for the fourth consecutive quarter based on the broad-based advertising recovery and Nexstar’s consistent success in building new-to-television local direct billings. Local advertising, our largest revenue source, grew at a higher rate in the third quarter than in the second quarter or the first half of 2010, despite tougher prior year comps.
“The automotive advertising rebound continues with category revenue rising 33% on a year-over-year basis and reaching the highest quarterly dollar level thus far in 2010. The company’s third quarter gross television ad revenue of $63.4 million included approximately $6.7 million of political advertising revenue as Nexstar stations continue to capture a significant share of the political ad spending in our markets based on the strong appeal of our high quality local news programming,” Sook added.