Belo Earnings Double

Television and newspaper company Belo (BLC Quote - Cramer on BLC - Stock Picks) saw third-quarter earnings rise despite hurricane-related costs that hit TV station results in the South.

The owner of the Dallas Morning News reported earnings of $22.1 million, or 20 cents a share, compared to $11.2 million, or 10 cents a share, in the same period last year. The third quarter last year was hurt by special charges related to a circulation problem at the flagship Dallas paper, the discontinuation of a joint venture cable news operation with Time Warner(TWX Quote - Cramer on TWX - Stock Picks) and severance payments.

Revenue rose 4.4% from a year ago to $372.3 million. Thomson analysts were looking for earnings of 20 cents a share on $369.75 million in revenue.

"Belo finished with a solid financial performance despite the unanticipated challenges of the third quarter," said Belo Chairman Robert Decherd in a statement.

The company estimates the impact of Hurricane Katrina on its CBS affiliate in New Orleans, WWL-TV, and, to a lesser extent, Hurricane Rita on its CBS affiliate in Houston, KHOU-TV, to be 4 cents per share for the third quarter of 2005, with lost revenue of $3 million and incremental expense of approximately $4.1 million.

Television group revenue dropped 6.6% in the third quarter, mostly thanks to tough political and Olympic advertising comparisons to last year.

On Thursday Belo was trading down 30 cents to $21.50.