All systems were go at LIN TV Corporation, where gains were registered in significant categories including local, national and or course, political. One analyst noted the gains were well ahead of expectations.
LIN President and Chief Executive Officer Vincent L. Sadusky said: “A healthy rebound in automotive advertising, our unique multiplatform advertising solutions and strong political demand were the major drivers for our 20% increase in net revenues, which exceeded the high-end of our revenue guidance. In addition, interactive revenues increased 50% and continue to be a significant source of growth and opportunity. The third quarter is trending well as a result of strong automotive, Olympics and political advertising, as well as our ability to generate interactive sales.”
Net revenue came in at $121M, well ahead of Q2 2011’s $101M result, and ahead of the $114.5M projection that was cited by Wells Fargo’s Marci Ryvicker.
LIN summarized key results:
* Net revenues increased 20% to $121 million, compared to $101 million in the second quarter of 2011.
* Local revenues, which include net local advertising revenues, retransmission consent fees and TV station web site revenues, increased 14% to $74.3 million, compared to $65 million in the second quarter of 2011.
* Net political revenues were $7.6 million, compared to $1.8 million in the second quarter of 2011.
* Net national revenues increased 7% to $25.4 million, compared to $23.8 million in the second quarter of 2011.
* Interactive revenues, which include revenues from RMM and Nami Media1, increased 50% to $10.5 million, compared to $7 million in the second quarter of 2011.
* Operating income increased 51% to $35 million, compared to $23.2 million in the second quarter of 2011.
* Net income per diluted share was $0.48, including a gain of $0.21 on the sale of discontinued operations, compared to $0.02 in the second quarter of 2011.
* During the second quarter of 2012, 85% of the Company’s ABC, CBS, FOX and NBC stations were either the highest or second highest viewed television stations in their local markets.
* Core local and national time sales combined, which excludes political times sales, increased 6% in the second quarter of 2012, compared to the second quarter of 2011.
* The automotive category, which represented 26% of local and national advertising sales in the second quarter of 2012, increased 25% compared to the second quarter of 2011, during which the automotive category represented 21%.
LIN is expecting Q3 net revenue gains in the 26%-33% range.
The company is anticipating the close of its acquisition of NewVision stations and contracts for their LMA partners by year’s end.