SBS Q2 Revenue Off 18%
August 13, 2009 at 4:44 AM (PT)
SPANISH BROADCASTING SYSTEM second quarter revenue fell 18% to $37.1 million, with radio off 19%. The company said that all of its markets except PUERTO RICO posted declines, as did national sales. Operating income rose from a loss of $389.3 million to a gain of $9.4 million, due primarily to the decrease in SBS' impairment of FCC broadcasting licenses and restructuring costs of $396.2 million, as well as a decrease in operating expenses and corporate expenses, offset by the decrease in net revenue.
Chairman and CEO RAUL ALARCON, JR. said, "During the second quarter, we continued to implement our multi-platform growth strategy, while maintaining a disciplined approach to cost-management. Our overall results were impacted by the continued nationwide advertising slowdown, offset in part by our success in reducing expenses via our restructuring plan. Despite current macro-economic challenges impacting all media, we remain focused on further strengthening our content and delivering valuable audiences to national and local advertisers. Given the strength of our brands and the continued expansion and growing influence of the Hispanic population, we remain optimistic about our ability to return to top-line growth as the economy recovers."