Sinclair 2Q Revenue Climbs 28.4% To $279.3M

Sinclair Broadcast Group today reported net broadcast revenues from continuing operations rose 28.4% to $279.3 million for the three months ended June 30.

The company had operating income of $84.3 million in the three-month period, as compared to operating income of $71.9 million in the prior year period. Net income attributable to the company was $17.8 million in the quarter, which includes a $16.3 million one-time loss from extinguishment of debt, versus net income of $30.1 million in the prior year period.

The company reported diluted earnings per common share of $0.19 versus diluted earnings per common share of $0.37 a year ago.

Political revenues were $1.5 million in the second quarter 2013 versus $11.4 million in second quarter 2012.

Local net broadcast revenues, which include local time sales, retransmission revenues and other broadcast revenues, were up 35.9% in the second quarter 2013, while national net broadcast revenues, which include national time sales and other national broadcast revenues, were up 7%.

Excluding political revenues, local net broadcast revenues were up 37.3% and national net broadcast revenues were up 26.1% in the second quarter 2013 versus the second quarter of 2012.

On a same-station basis, excluding political revenues, local net broadcast revenues were up 12.5%, while national net broadcast revenues were up 4.3%, versus the second quarter of 2012.

Advertising categories, on a same-station basis, that reported the largest spending increases in the second quarter 2013, as compared to the same period last year, were automotive, which was up 6%, telecommunications, furniture, grocery and direct response. Categories that declined were schools, paid programming and restaurants.

“The first half of 2013 has been very successful for the Company, not only with respect to the company’s results but on growing our platform through additional acquisitions of broadcast assets, especially our most recently announced planned acquisition of the Allbritton stations and their local news cable/satellite channel,” commented David Smith, president-CEO of Sinclair. “Since April 1, 2013, we have announced definitive agreements for the acquisition of 35 additional stations bringing the total number of acquired or announced stations in the past two years to 91. The effect is to not only grow our national footprint and reach, but to unlock operating synergies, gain access to valuable spectrum, and build a platform whereby we can expand content offerings and shape the future of the broadcast industry.”