Emmis '09 Revenues Off, Station Sales Might Be Considered
May 10, 2010 at 4:19 AM (PT)
EMMIS COMMUNICATIONS yearly total net revenues fell from $307,931,000 in 2009 to $242,566,000 in 2010 (fiscal year ending FEBRUARY 28, 2010), according to the company's 10-K SEC filing. Radio revenues fell 21.1% to $177,566 million, with domestic radio down 18.2%, as compared to MILLER KAPLAN's national domestic radio market being down 14.4%.
The company noted that its NEW YORK cluster trailed the market, off 19.5% when the market itself was off 12.4%. "The relative underperformance of our domestic radio stations is principally due to our lack of scale in the NEW YORK and LOS ANGELES markets and the introduction of PPMTM to those markets in OCTOBER 2008," the company stated, adding that the company's average unit rate has dropped 23.3% and number if units sold was up 0.4%.
In its explanation of the revenue picture, the company said that "we have one radio station in NEW YORK CITY and two radio stations in CHICAGO where we believe the sale value could exceed the prospects for cash flow generation as part of our portfolio. Although we remain optimistic about the growth potential of these stations, as the market for buying and selling radio stations improves, we may from time to time explore sales of one or more of these stations."