Most broadcasting companies measure growth primarily from net revenues (after subtracting agency commissions and such), but some do report gross revenues as well. Barrington Broadcasting is one, so it was able to report that Q4 gross revenues were up a whopping 40% to $32.5 million.
Not that the net revenue gain was anything to sneeze at – up 37.8% to $38.3 million.
As you would expect, political advertising played a big role, increasing from only $1.6 million a year earlier to $10.6 million. Core business was also up, though. Local gained 4.8% to $19.2 million and national 5.8% to $7.6 million. Other revenues, including retransmission consent fees, gained 20.3% to $6.7 million.
Broadcast cash flow for Q4 gained 68.1% to $19 million.
Barrington does not provide forward guidance, but CEO Jim Yager sounded like a pretty happy guy in the company’s quarterly conference call with Wall Street bond analysts. He said the company continues to be focused on three key priorities: “growth of our local sales strategies, development of our local digital platforms and cost management of our station level operations.”
Barrington operates in small TV markets, some of which didn’t have a full complement of major networks in the analog days. Now with digital multicasting Barrington has been able to add a second major network affiliation to some of its stations. COO Chris Cornelius reported that those three DTV2 affiliates – Fox in Marquette, MI, ABC in Quincy, IL and CBS in Kirksville, MO – “have generated positive incremental revenue and cash flow for those operations.”