Emmis Reports Profit, Radio Needs 'A Shot In The Arm'

Emmis Communications Corp. turned a profit in its latest fiscal quarter, rebounding from a big loss in the same period of the previous year.

The Indianapolis-based media company says that it earned $4.3 million, or 11 cents per share, in the fiscal fourth quarter compared with last year’s quarterly loss of $18.2 million, or 47 cents a share, according to ibj.com.

Overall revenue for the quarter, which ended Feb. 28, rose 2 percent, to $43.3 million.

Revenue in its key radio segment rose 3 percent, to $26.5 million. That contrasts to a 15-percent plunge in radio revenue at the same time last year.

For the entire year, profit was $41.9 million compared with $79.5 million in fiscal 2012. Annual revenue fell to $196.1 million compared with $202.2 million the year before.

“For the second year in a row we have significantly outperformed our radio markets and the radio industry. Emmis finished the year as one of the least-levered and most financially sound radio operations in the country,” Emmis founder and CEO Jeff Smulyan said in a prepared statement.

Emmis is the nation’s 9th largest radio holding company, with 21 stations, including WIBC-FM 93.1 in Indianapolis.

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Concerning Radio, Jeff Smulyan had this to say about radio: 

"In the radio division, HOT 97 was named the winner of the Service to America award by the NAB and it also won Crystal Award at the NAB convention last month, all indicating that our people not only have a great culture and produce great results, but make a difference in the communities they live, where they live. HOT 97 was given its award because of the remarkable effort of all of our people in providing comfort and relief and vital information to the people of the Metropolitan New York area during Sandy. So, again, I think that's typical of what we can do throughout this company because of our culture of innovation. 

And speaking about the innovation, our smartphone application, NextRadio won a Game Changer Award at the NAB in April. Again can't state how fervently, I think, it's important that people know how important NextRadio is. We believe that it has a chance to be the game changer for the American Radio industry. 

And as I look across the landscape and I see an industry which was up 1% last year and it's pacing hopefully that well this year, we think it needs a great shot in the arm, and we think that shot in the arm is NextRadio. We are moving, our team is moving toward the integration of the NextRadio application in smartphones. You will see more about that launch as we go on. A lot has already been written about it. But I think that has a chance to change the trajectory in the American radio industry and I think that's what we need."