LIN TV Reports Solid Second Quarter

PROVIDENCE, R.I.: LIN TV posted its second double-digit revenue rise of the year. Second quarter revenues for the pure-play TV company were $99.5 million, up 21 percent from a year earlier. First-quarter revenues were $91.8 million, up 23 percent from 1Q09. LIN owns and/or operates 32 TV stations in 17 markets.

“Our results demonstrate continued, sustained improvement over 2009," said LIN President and CEO Vincent L. Sadusky. “Television advertising has experienced a strong recovery and our digital business, which now constitutes 15 percent of our total revenues, continues to grow and differentiate us as a local multimedia company.”

- Digital revenues, which include Internet advertising and retransmission consent fees, increased 44 percent to $14.7 million, compared to $10.2 million for the second quarter of 2009.

- Political revenues increased by $3.9 million to $5.3 million, compared to $1.4 million last year.

- General operating expenses increased by 12 percent to $69 million, reflecting “incremental operating expense associated with the acquisition of RMM in 2009, as well as increases in variable direct costs attributable to the
growth in revenue.”

Operating income was $25.1 million, compared to an operating loss of $25.8 million in 2Q09, which included a non-cash impairment charge of $39.9 million.

Net income was $3.6 million versus a net loss last year of $25.5 million on impairments. Per-share diluted income was 7 cents versus a loss of 50 cents last year.

LIN finished the second quarter June 30 with negligible cash and equivalents, compared to $2 million as of Dec. 31, 2009. Current portion of long-term debt was $7 million versus $16.4 million Dec. 31, 2009.

Based on current pacings, LIN said third-quarter net revenues would increase from 24 to 33 percent over the $81.4 million posted in 3Q09.

Shares of LIN (NYSE: TVL) gained nearly 4 percent today to trade at $5.33. Shares are up nearly 20 percent year-to-date.
-- Deborah D. McAdams