Mixed quarter for LBI Media


LBI Media (Liberman Broadcasting) had a big growth quarter in Q2 for its TV division, with the still-new EstrellaTV network. Radio, meanwhile, was down in Q2.

Net revenues for the entire company grew 2.7% to $341.5 million. Adjusted EBITDA was up 5.2% to $10.3 million.

For the television operation net revenues were up 14.3% to $16.3 million, with the increase primarily attributed to ad revenues from EstrellaTV. But, of course, expenses were also up, likewise mainly due to the costs of operating the network. TV expenses were up more than $1.3 million, while radio expenses were up only slightly. Even so, television EBITDA shot up 46% to $2.3 million.

Radio net revenues were down 7.3% to $15.2 million. The company said the revenue decline was primarily attributable to lower ad sales in the Dallas and Houston markets. Radio EBITDA declined only 2.8% to $8 million, although $900K of that was due to a legal settlement. In any case, radio is still the biggest provider of operating profits, whether measured as EBITDA or broadcast cash flow, but TV is certainly growing fast.

LBI Media is privately held, but has public bonds.

RBR-TVBR observation: While Spanish radio has had a tougher time recovering from the recession, the newer Spanish TV networks are growing fast. Just as EstrellaTV was the strongest part of LBI in Q2, Mega TV was outperforming radio at Spanish Broadcasting System.