LBI Media sees gains in 2012 after an up year in 2011


LBI / Liberman Broadcasting, Inc.Revenue gains by its television segment more than counterbalanced a decline for radio in 2011 at LBI Media (Liberman Broadcasting). The privately owned Hispanic broadcaster is already projecting revenue gains by both units in 2012.

Net revenues for LBI, which has public bonds, rose by 1.5% in 2011 to $117.5 million. Operating income decreased 28.8% to $12.7 million as operating expenses grew faster than revenues. A big chunk of the overhead increase was due to the operation and expansion of the company’s still-young EstrellaTV network. Adjusted EBITDA declined 22.5% to $27.7 million.

Net TV revenues grew by 12.1% to $62.5 million. That included new revenues from EstrellaTV and a full year of revenues from KETD-TV Denver, which LBI acquired in June 2010 and put into full operation in Q4 of 2010. TV adjusted EBITDA declined 45% to $3.4 million due to higher costs being only partially offset by higher ad sales.

Net radio revenues decreased 8.2% to $55 million in 2011. That was attributed to declines in ad revenues in Dallas, Houston and Los Angeles, partly offset by an increase in syndication revenues from programs featuring Don Cheto, which are now carried in 21 markets. Radio adjusted EBITDA decreased by 16.5% to $23.6 million.

“We currently expect net revenue to increase in 2012 as compared to 2011 in both our radio and television segments, primarily due to projected improvements in the U.S. national and local economies, which we expect to result in increased advertising time sold and higher rates. We also expect our net revenues to benefit from the continued expansion of our EstrellaTV national television network,” LBI said in its annual 10-K filing with the SEC.