Beasley Q4 Income Drops
February 14, 2008 at 5:38 AM (PT)
BEASLEY BROADCAST GROUP fourth-quarter 2007 net revenue rose 0.4% to $35 million (same station revenue off 3.8%), but net income fell 82.5% to $500,000 (2 cents/diluted share).
The marginal increase in revenue was credited to increases at the company's MIAMI-FORT LAUDERDALE cluster and the addition of MIAMI DOLPHINS broadcast revenue this year, plus interactive and new media revenue, offset by declines at seven of the company's 11 clusters. The drop in income was blamed on increased expenses, the cost of financing the purchase of AC WJBR/WILMINGTON, DE, and a $2.2 million impairment charge offset by a $1.4 million reduction in income tax expense.
Chairman/CEO GEORGE G. BEASLEY said, "Our fourth-quarter revenue performance exceeded the industry at-large, our markets and the guidance provided at the time we reported our third quarter results. With programming and on-air changes in place in various large and mid-sized clusters, our focus in 2008 is to continue delivering on our long-term goal of topping the performance of the markets in which we operate and generating gains across our entire station portfolio and through our Interactive initiatives. In the fourth quarter of 2007, our Interactive initiatives accounted for 3.4% of the Company's total revenue and represented 3.1% of the full year 2007 total revenue.
"We remained active with our share repurchase program in the fourth quarter of 2007 as we repurchased approximately 65,000 shares of our common stock for a total of $448,000 representing an average price of $6.86 per share. Since the inception of our repurchase program over three years ago, we have repurchased about 1.3 million BEASLEY BROADCAST shares for a total of $11.9 million."
The company issued guidance for a net revenue decrease of 4% year-to-year for first quarter 2008.