Scripps Reports Flat Q2 Radio Revenue

The E.W. Scripps Company today reported operating results for the second quarter of 2015.

For the quarter, the net loss from continuing operations was $13 million, or 15 cents per share. Transaction and acquisition integration costs associated with the Journal transaction, including the tax impact, were $15.7 million or 19 cents per share.

Commenting on the results, Scripps Chairman, President and CEO Rich Boehne said:

Rich Boehne

"On April 1, we smoothly completed our transaction with Journal Communications and moved ahead into a full quarter of operations with 33 television stations, 34 radio stations and a complement of local and national digital media brands.

"The remainder of 2015 is focused on integrating these new stations and positioning us for the tremendous opportunity of 2016. Our large collection of stations in key swing states makes Scripps one of the most valuable platforms for political advertising in presidential election years, and 2016 could be a record year for campaign spending to reach those most critical voters. Also next year, we expect retransmission revenue to jump more than 50 percent thanks to step ups and renewals of agreements with our cable and satellite TV distribution partners.

"Although the newspaper spinoff and broadcast merger transformed Scripps into one of the larger local television groups in the country, we see opportunity to further strengthen our broadcast footprint while also building and investing in businesses that take advantage of new media technologies, emerging media marketplaces and shifting consumer habits. Our growing collection of digital brands, including Newsy, WeatherSphere, and an extensive network of local news brands, continues to be an area where we are investing in business models with strong organic growth.

Second-Quarter Operating Results

Operating revenues increased $78 million, or 66 percent, to $198 million, compared to the second quarter of 2014. The increase was primarily a result of the acquisition of the television and radio stations in the Journal and Granite transactions as well as increases in retransmission revenue. Revenue from the acquired stations accounted for approximately $72 million of operating revenues in 2015 and $1.2 million in 2014.

• Radio Revenue and expenses of $19.4 million and $14.5 million, respectively, were essentially flat with the prior period.
• Segment profit in the radio division was $4.9 million in the second quarter of 2015, compared with $4.6 million in the 2014 quarter.