MCLEAN, VA.: Revenues at Gannett’s 23 TV stations were up more than 15 percent in the first three months of the year compared to 2009. Television revenues were $161.3 million compared to $139.8 million last year, in part due to $18.6 million in Olympic spending, the media company said.
Combined with Gannett’s Captivate digital signage business, the broadcast division logged a 55 percent jump in operating income, from $44.1 million last year to $68.5 million for 1Q10. Revenues were $167.5 million, up nearly 17 percent.
An upward spending trend reached into March, with double-digit percentage increases in automotive, retail and packaged goods.
“Based on current trends, we expect the percentage increase in total television advertising revenues to be in the very high teens to the low twenties for the second quarter of 2010 compared to the second quarter of 2009,” Gannett’s earnings release said.
Total revenues for the print, broadcasting and digital platforms were $1.3 billion, down around 4 percent from last year. Net income was $119.3 million, up 54 percent from a year ago due in part to reduced operating expenses.
Earnings per share were 50 cents versus the 41 cent target issued by Thomson Reuters. Shares of Gannett (NYSE: GCI) reached a year-to-date high of $19.66 on Friday before trading this afternoon at around $17.70.
More on Gannett:
February 1, 2010: “Medical and Media Buffer Political Decline”
Shares of Gannett fell around 8 percent today despite fourth-quarter net income of $133.6 million, compared to a loss of $4.7 billion on write-downs last year.
October 19, 2009: “Gannett 3Q TV Revenues Dip for Lack of Games”
Gannett reported a threefold increase in retransmission revenues, to $14.3 million, which, along with Captivate, partially offset the absence of the Games and the continued weakness in the auto category.
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