Entercom Communications Corp. (NYSE: ETM) today reported financial results for the quarter ended June 30, 2012.
Second Quarter Highlights
- Net revenues for the quarter were flat at $104.6 million
- Station expenses decreased 5% to $67.6 million
- Station operating income increased 10% to $37.0 million
- Adjusted EBITDA increased 12% to $32.0 million
- Adjusted net income per share decreased 23% to $0.24
- Free cash flow decreased 15% to $19.3 million
David J. Field, President and Chief Executive Officer stated: “I am pleased to report that Entercom generated solid growth in Station Operating Income and Adjusted EBITDA during the second quarter as our ongoing focus on business model reinvention enabled us to expand operating margins. At the same time, our investments in new local brands and content, expanded distribution, enhanced digital platforms, stronger operating systems and sales product development are meaningfully enhancing our competitive position and growth potential. We are increasingly excited about our future opportunities as we continue to deepen our audience engagement and deliver enhanced multi-platform marketing solutions to our customers.”
Additional InformationDuring the quarter, the Company completed the acquisition of the leading urban adult contemporary station in the San Francisco market 102.9 KBLX-FM from Inner City Media Corporation and its subsidiaries. The Company began operating KBLX on May 1, 2012 under a time brokerage agreement (“TBA”), and the Company’s results for the quarter include two months of KBLX operations as well as the TBA fee expense incurred prior to the closing of the acquisition. In June, the Company announced an alliance with TuneIn to extend the reach of Entercom's more than 100 stations to the TuneIn digital platform and its more than 30 million monthly active users. Listeners can check out their favorite Entercom stations via TuneIn platforms including smartphone apps, connected vehicle dashboards, Internet home entertainment systems and online at www.tunein.com. As a result of the Company’s annual review of its intangible assets and goodwill during the quarter, the Company recorded a non-cash intangible impairment charge of $22.3 million to the value of its FCC licenses.
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