Radio audience measurement leader Arbitron reported a modest gain in revenue for the second quarter of 2013, but the tab it’s run up trying to become part of television measurement leader Nielsen wiped out any chance of listing net income in the black.
The revenue portion of the ledger showed a 2.9% gain to $107.4M, representing a $3M increase.
But costs were up too, from $93.8M to $100M, and $6.1M of that was attributable to “consulting, legal, and other expenses related to the pending acquisition of Arbitron by Nielsen Holdings.”
The transaction expenses also sunk EBIT results. With the $6.1M included, EBIT fell from $16M to $12.9M, a 15.3% loss.
Exclude the $6.1M and EBIT would have risen 19% to $19M.
Arbitron President/CEO Sean R. Creamer commented, “I am pleased with the financial performance and operating results of the business for the second quarter and year-to-date. “In the second quarter, we maintained focus on our long term priorities: investing in and growing our core radio services, evaluating and implementing quality initiatives to enhance the value and utility of our offerings, and exploring emerging opportunities with an emphasis on those that allow us to highlight the power and advantages of radio.”
Creamer concluded, “As the media and advertising marketplaces continue to evolve and new technologies permit consumers to consume content virtually anytime and anywhere, it is important we keep pace with these changes to ensure radio gets full credit for its audience – regardless of the delivery platform. Radio is growing and vibrant – and we are committed to helping the radio industry tell and validate its complete and compelling story.”