CC Media Holdings Reports Second Quarter Revenues Increase 8%
Radio Up 4%
August 3, 2011 at 5:20 AM (PT)
CC MEDIA HOLDINGS, INC. TODAY (8/3) reported results for the second quarter ended JUNE 30, 2011.
Revenues grew 8% to $1.60 billion in the second quarter of 2011 compared to $1.49 billion in the second quarter of 2010, "driven by growth across its businesses from an improved advertising environment." Revenues would have increased 4% excluding the effects of foreign exchange rates.1
Radio revenue increased from $748,738,000 to $780,876,000 -- up $32 million, or 4%, compared to the second quarter of 2010 primarily from the Company’s acquisition of WESTWOOD ONE's traffic business in APRIL 2011.
Revenue from the Company’s digital radio services increased $4 million primarily as a result of increased rates. Local and national advertising were relatively flat with increases across various advertising categories such as financial services and food and beverage being offset by decreases in other categories, including auto and political.
Overall operating expenses increased $36 million during the second quarter of 2011 compared to the same period of 2010, primarily due to a $23 million increase related to the Company’s acquisition of WESTWOOD ONE's traffic business, an increase in expenses related to the Company’s digital initiatives and adjustments of approximately $7 million related to prior periods.
Radio broadcasting OIBDAN for the second quarter of 2011 declined 1% to $309 million from $313 million for the same period of 2010.
"During the second quarter, we continued to execute our strategy to build on the leadership position of our assets and maximize our financial performance," said EVP/CFO TOM CASEY. "Our results reflect a gradually improving global advertising marketplace and the benefits of our globally diversified platform. Our top line growth combined with our focus on cost management has resulted in consistent improvement in our overall operating profit margin. At the same time, we have continued to strategically invest in our digital platform, including the development of the next generation of Iheartradio.com and the ongoing deployment of our digital outdoor displays."