Operating income shot up 41% in Q1 to $1.8 million for Young Broadcasting, despite a 1.8% decline in net revenues to just under $35 million. The company credits a streamlining program announced in February that is supposed to reduce costs by $15 million per year.
Young booked $1.8 million in political advertising for the quarter. CEO Vincent Young says he is also optimistic about cable retransmission negotiations now underway.
Young’s figures do not include its largest station, KRON-TV (Ch. 4, MyNetworkTV) San Francisco, which is classified as an asset held for sale. Moelis & Company as retained in January to find a buyer, but no sale has yet been announced.
Young did provide separate financial figures for KRON. Q1 revenues declined to $11 million from $11.2 million a year ago. However, costs were also cut, so the loss for the station fell to $618,000 from $8.7 million a year earlier, although the 2007 number included a $6.6 million provision for income taxes vs. zero this year.