Giving Wall Street an early look at its preliminary financial results, Radio One announced that Q4 revenues were down 9.4% for its core radio business. That’s pretty much in line with expectations that revenues would be off about 10%. The better news, though, is that Q1 has reversed the trend and is pacing up.
Giving effect to the consolidation of TV One, consolidated net revenue in Q4 was up 37%. For the core radio business, excluding Reach Media, revenues decreased approximately 9.4% compared to Q4 2010, while Reach Media’s revenue increased approximately 13% and the internet segment’s revenue increased approximately 30%. Giving effect to a pro-forma consolidation of TV One, Q4 2011 consolidated net revenue was down approximately 2% compared to Q4 2010, the company announced.
Fourth quarter 2011 local radio revenues decreased approximately 4% and national radio revenues decreased approximately 22% compared to Q4 2010. Radio One noted that for the markets in which it operates radio stations, those markets as a group were down approximately 3.8% in Q4.
“Looking at current pacings for Q1 2012, the core radio business revenue is currently up approximately 6%, TV One’s revenue is currently up mid single digits, Reach Media’s revenues are expected to be broadly flat compared to Q1 2011 and our internet segment is currently up approximately 40% compared to Q1 2011. Given these trends, we are expecting a strong consolidated first half performance, and anticipate remaining in compliance with the various covenant tests contained within our credit agreement for the foreseeable future,” said the announcement from Radio One.
The company plans to provide complete Q4 and full year 2011 results next month.