Fisher Swings to Profit
August 9, 2010
SEATTLE: Recovering TV station revenues buoyed Fisher
Communications to a profit in the second quarter. Fisher posted net income of
$328,000 on consolidated revenues of $40.8 million for the quarter ending June
30, 2010. Revenues were up 28 percent from a year ago, when Fisher reported a
net loss of $2.1 million.
Revenues for the 20 TV stations were up 37 percent, on higher advertising and retransmission
consent revenue. Retrans in 2Q09 excluded $902,000 attributable to that
quarter, but recorded in 3Q09 on execution of contracts. Had the amount been
recorded in 2Q09, TV revenues would have been up 31 percent; consolidated
revenues up 24 percent.
Core ad revenues increased 20 percent to $23.3 million. Political was $1.5
million, up from $200,000. Auto advertising was up 85 percent; professional
services, 22 percent; and retails, 26 percent.
Retransmission consent revenue for the quarter was $3.3 million, up $2.5
million from the $791,000 recorded in 2Q09--sans the $902,000.
Internet net revenue increased by $450,000, or 120 percent, to $826,000. It
comprised 2.7 percent of 2Q10 TV revenue.
This quarter’s net income included an $842,000 pre-tax gain on the Sprint
Nextel BAS relocation, and a $309,000 pre-tax gain on insurance reimbursements
related to the July 2009 Fisher Plaza electrical fire. Net loss in 2Q09 included
a $1.2 million pre-tax gain on extinguishment of debt.
“As we look ahead to the remainder of 2010, we are optimistic that the
increased advertising spending will continue to drive growth opportunities for
local broadcasters,” said Fisher chief Colleen B. Brown. “Over the past several
years, we have strategically positioned Fisher to benefit from this recovery by
improving our broadcast operations and developing a robust digital platform
that enables us to meet the growing demand for local online and mobile content.
We believe this diversified approach will allow us to create long-term value
for our viewers, shareholders and business partners.”
Fisher finished the quarter with $37.4 million in cash and equivalents.
Long-term debt was $104.7 million. Both compared to cash and equivalents of $44
million and long-term debt of $122 million as of Dec. 31, 2009. Shares of
Fisher (NASDAQ: FSCI) opened at $17.31 and pushed near $18 in early trading
after 2Q10 results were announced. Stock is up roughly 10 percent year-to-date.
Deborah D. McAdams
March 15, 2010: “Fisher Stations Fall on
Revenues at the 20 TV stations owned by Fisher Communications fell 23
percent to $29.1 million for the quarter ending Dec. 31, 2009. The decline was
attributed to the cyclical shift in political spending, down from $10.9 million
in 4Q08 to $1.2 million in 4Q09. Core advertising, meanwhile, was up 4 percent
to $23 million; retrans increased 160 percent to $2.4 million. Automotive ad
revenues increased 15 percent, while retail fell 13 percent and restaurants
fell 14 percent. Internet revenues were flat at $507,000. Broadcast cash flow
fell $9.3 million to $5.1 million; margin was 17.7 percent compared to 38.8
percent the year earlier.