Net revenues for the quarter at the Miami-based company were $25.9 million, an increase of 12%, compared to net revenues of $23.1 million for Q4 2012. Net revenues for the FY were $86.0 million, an increase of 21%, compared to net revenues of $71.4 million for the same period in 2012. This increase is primarily a result of the inclusion of the net revenues of Cine Latino since the buy in 2013, offset in part by loss of political ad revenue.
On April 4, 2013, Hemisphere completed a series of mergers pursuant to which WAPA Holdings, LLC, which includes WAPA America and WAPA-TV, Cine Latino, Inc. and Azteca Acquisition Corporation, a special purpose acquisition company, each became indirect, wholly owned subsidiaries of Hemisphere.
WAPA was the accounting acquirer and predecessor, whose historical results became the historical results of Hemisphere. The operating results presented in this release reflect the operating results of all the businesses acquired in the Transaction since April 4, 2013.
Pro forma for the Transaction occurring on 1/1/12, and excluding political ad revenue in the 2012 period, net revenues for the quarter increased by $2.3 million, or 3%. This increase was driven by growth in subscriber fees, offset in part by the loss of advertising revenue resulting from the cancellation of one of WAPA-TV’s television programs, SuperXclusivo.
Said Alan Sokol, CEO of Hemisphere: “We are very pleased with our full year results, our first as a public company. Our results underscore both the strength and unique position of our platform, which will be significantly bolstered following the closing of our acquisition of three major Spanish-language cable television networks from Media World, LLC. Further, we have continued to demonstrate robust growth of our retransmission and subscriber fees.
WAPA-TV delivered its highest ratings of the year in the fourth quarter, and its dominant market position ensures its continued strong revenue performance, even in a challenging environment. Cinelatino continued to demonstrate ratings leadership across key demographics while simultaneously expanding its subscriber growth by 10% from the prior year. Further, the Company plans on subscribing to Nielsen ratings for WAPA America in 2014, which the Company believes will be attractive to national advertisers and will help to build on its strong performance in 2013.”