The numbers got a lot bigger in Radio One’s Q2 financial report, owing to the consolidation of figures from TV One now that Radio One is the majority owner of the cable TV channel. So total revenues were up a lot while radio revenues were down a little in the quarter.
Radio revenues were down 3.5% to $60.2 million as Radio One again underperformed the aggregate for its markets. Company officials pointed in particular to being undercut on rates by competitors in Houston and Baltimore. The markets where Radio One operates were up 1.5% in Q2, with local up 1.4% and national down 0.7%. Operating income for the Radio One stations in Q2 was down 8.3% to $22.2 million.
For Q3 CEO Alfred Liggins is telling Wall Street to expect radio revenues to be “relatively flat.”
Reach Media revenue was down 6.2% to $9.8 million, primarily because the “Tom Joyner Fantastic Voyage” was in Q1 this year instead of Q2. Operating income declined 13.9% to $464K.
Internet revenues were down 3.6% to $4.3 million, but the operating loss improved to $1.4 million from $3.4 million.
With all those declines, the addition of TV One really improved the total numbers for the company. Its revenues were $25.2 million – actually down from $26.6 million a year ago, when the cable operation was not consolidated with Radio One’s financial results. TV One provided $1.2 million of operating income in Q2.
So, all in all Radio One’s Q2 revenues were up 29.3% to $97.1 million, station operating income rose 22.5% to $34.8 million and operating income rose 14.2% to $15.8 million.