The company posted earnings of 14 cents per share, missing analysts' projected 16 cents per share. Revenue increased 13% year-over-year to $363 million, but fell short of Wall Street's estimated $365 million.
For the same quarter last year, the Richmond, VA-based media company reported earnings of 1 cent per share on revenues of $320.52 million.
"Key drivers for our performance were political advertising, an increase in pay-TV subscriber fees and expense management, including further realization of synergies from the LIN Media merger," said Media General CEO Vincent L. Sadusky in a statement. "In addition our digital restructuring initiatives resulted in an 18% revenue increase for the quarter, and in June, we recorded the highest digital revenue month in our company's history."
The company forecasts its third quarter revenue to increase by 23% to 29%.
Media General operates 71 television stations in 48 markets and also runs a digital segment.
Shares of Media General were flat in pre-market trading on Friday.
Separately, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author. TheStreet Ratings has this to say about the recommendation:
We rate MEDIA GENERAL INC as a Sell with a ratings score of E+. This is based on the combination of unfavorable investment measures, which should drive this stock to significantly underperform the majority of stocks that we rate. The company's weaknesses can be seen in multiple areas, such as its deteriorating net income, disappointing return on equity, weak operating cash flow, generally high debt management risk and feeble growth in its earnings per share.
You can view the full analysis from the report here: MEG