Tribune Media: 2Q Operating Profit Jumps

Tribune Media, the TV and entertainment division of Tribune Co. that was spun off from the group's publishing assets in 2014, posted a second-quarter loss Tuesday amid a hefty tax bill, but reported improved underlying financials, according to The Hollywood Reporter.

President and CEO Peter Liguori also discussed the impact of a carriage dispute with Dish Network that saw the company's stations and WGN America network go dark in the pay TV giant's markets in mid-June. “Dish is an important partner for us," he said on an earnings conference call, adding that the company was working "every day" toward reaching a deal.

Tribune Media on Tuesday reaffirmed its full-year financial guidance but also mentioned that the Dish dispute could have an impact if not resolved, saying: "If we are unable to enter into a new contract with Dish Network, our retransmission consent and carriage fees and other revenues will be impacted in future periods."

The company saw second-quarter operating profit jump to $46.1 million, compared with $19.8 million in the second quarter of 2015, thanks to higher TV and entertainment revenue and lower programming costs. Tribune Media has been expanding original programming at its WGN America channel but saw lower programming costs in the latest period and increased retransmission consent and carriage fees.

Peter Liguori

Consolidated adjusted earnings before interest, taxes, depreciation and amortization, another profitability metric the company and analysts use, increased 38 percent to $127.5 million in the second quarter. Tribune Media also posted second-quarter revenue of $526.1 million, up 5 percent from the year-ago period.

The company's assets include 42 local TV stations, WGN Radio Chicago, the WGN America cable network and such digital businesses as music and video recognition software firm Gracenote.

Liguori said Tuesday: "We continue to make progress on our ongoing strategic review, including the monetization of our valuable real estate portfolio, in what have been highly competitive bidding processes."

Tribune Media also disclosed Tuesday that it has reached agreements for the sales of the Los Angeles Times Square property and the Olympic Printing Plant facility located in L.A., along with "certain broadcasting properties located in Chicago, Ill. and Denver, Colo. and properties in Baltimore, Md." All of these transactions are expected to close during the third quarter, subject to certain adjustments, the company said without providing further details.

Discussing political advertising revenue, Liguori said Tribune Media's target for political ad revenue of $200 million in 2016 was "very, very achievable."