Emmis Reports 2Q Radio Revenue Was Flat

Emmis Communications Corporation (EMMS) today announced results for its second fiscal quarter ending August 31, 2015.

Emmis' radio net revenues for the second fiscal quarter were flat at $47.6 million. Per Miller Kaplan reporting, which excludes barter revenues and syndication revenues, Emmis' second quarter radio revenues were down 0.5% compared to local radio market revenues down 1.9%.  Our New York cluster performed much better in the second quarter (up 4.3% in a market down 3.4%).

Emmis' Publishing division had another solid quarter, with revenues up 3.4%, and up 4.6% year to date.  Texas Monthly has demonstrated particularly strong growth in the first half of the year.

Jeff Smulyan

Emmis grew station operating income for the second fiscal quarter to $15.3 million, compared to $15.2 million for the same quarter of the prior year.  For the second fiscal quarter, operating income was $9.8 million, compared to $12.5 million for the same quarter of the prior year.  This decline is nearly entirely attributable to a $2.5 million nonrecurring gain on contract settlement in the prior year.

"Despite our outperformance, the markets where we operate remain challenged. While we are outperforming in a difficult marketplace, the radio industry is clearly in need of a catalyst and we think we have it with NextRadio," Jeff Smulyan, CEO of Emmis said. "The addition of AT&T and T-Mobile during the quarter continues the momentum for NextRadio, the Emmis-led industry initiative to make FM broadcast radio available on smartphones and tablets. I'm most pleased by the broad industry support we have garnered for the effort, which we believe will revolutionize radio."