LAS VEGAS — There’s no need for a translation specialist to understand what happened to dozens of Entravision Communications employees on Friday (4/6). The word of the day across the USA was “layoffs.”
RBR+TVBR has confirmed that Entravision has parted ways with both full-time and part-time employees at its radio stations across every market in which it owns stations. Among those saying goodbye to the Hispanic-centric media company is the VP/Southeast Region for Entravision Solutions and the nighttime air personality at a Classic Rocker in El Paso.
Word first surfaced Friday evening, with calls to RBR+TVBR noting of heavy job losses in Los Angeles. By Monday morning, it was confirmed that 27 individuals tied to Entravision’s radio stations in the Southland were let go on Friday.
On Saturday, sources confirmed to RBR+TVBR that 10 individuals at Entravision’s El Paso, Tex., station group were let go.
Layoffs were also poised to impact Entravision’s TV stations in El Paso, and in other markets.
For Entravision/El Paso, those who exited the company on Friday include radio production assistants, air personalities, an engineer, a sports anchor, a TV Production assistant, a traffic assistant, a weatherperson and a promotions coordinator for both Entravision’s TV and radio stations.
Meanwhile, Entravision Solutions VP/Southeast Region Don Parsons has been let go from his role. Parsons is a Hispanic media veteran who had been in the role since June 2010. He has previously served as VP/Northeast Region for the pioneering Spanish Talk Radio Unica network, and under Knight-Ridder ownership was Advertising Manager for El Nuevo Herald and the former international edition of the Miami Herald.
As word quickly spread of the nationwide layoffs, a person close to the matter praised Entravision for “being human” in making the difficult choice to part ways with part-timers and full-timers. Unlike many companies, part-timers were also awarded with a severance payment.
For those in the know, culling the employee rolls at Entravision was a matter of when, not if. This is largely tied to the reaction from financial analysts of the company’s Q4 performance, revealed March 14.
Entravision’s net income in Q4 climbed to $12.97 million (14 cents per diluted share), from $7 million (8 cents). However, there is a blemish to the company’s results: consolidated adjusted EBITDA declined to $11.2 million, from $20.6 million, as Entravision’s free cash flow dipped to $5.9 million, from $14.9 million.
Digital growth is what’s exciting the company’s leadership. Radio and TV? Not so much.
A net revenue decrease of $3.1 million was experienced in Q4 by Entravision’s radio segment.
Entravision shares open Monday’s trading at $4.90, after a five-cent dip on Friday seen before news of the job cuts became widely known.
ETM finished at a 52-week low on March 23 when it closed at $4.35 per share.
It’s been an unkind Q1 on Wall Street for Entravision. On Jan. 29, the company’s stock was trading at $7.40.