From Radio and Records-
Entravision’s Dallas Stations Sold to Liberman; Net Income Up 6% Million
The Santa Monica, CA-based Spanish-language radio group announced on Thursday that it will leave the Dallas market entirely by selling its Dallas radio stations to Liberman Broadcasting of Dallas, Inc. for $95 million. The stations are KTCY-FM, KZZA-FM, KZMP-FM, KZMP-AM and the recently acquired KBOC-FM.
"This transaction reflects our focus on maximizing the value of our assets and directing our resources towards building strong radio clusters and television duopolies,” Entravision Chairman/CEO Walter Ulloa said. “The proceeds will bolster our balance sheet and improve our financial flexibility. We will continue to build leading positions in the fastest growing and highest density Hispanic markets where we can operate both television and radio assets, allowing us to efficiently manage our costs and leverage our operating footprint.”
Entravision also posted Q2 financial results after the market closed onThursday, reporting it had $79.2 million in net revenues, up 6% from $75.1 million during the same period in 2005. But the company said it had a net income loss of $168 million, compared to a gain of $4. 2 million last year. Entravision said net income per share loss was $1.60 compared to a 3-cent gain last year.The company recorded an impairment charge of $189.7 million as a result of an appraisal recently conducted on the radio division. The company also said the revenue increases came from its television and outdoor divisions while the radio division lost $1 million during the second quarter.
But the company also explained that “the decrease was primarily attributable to a decrease in net revenue of $1.9 million from our San Francisco/San Jose radio stations” that were sold. Excluding the net revenue contributed during Q2005 by the radio stations in the San Francisco/San Jose market [sold in Q106], net revenue in the radio segment would have increased by $900,000 during the Q2006, “primarily attributable to an increase in advertising rates,” Entravision said.
Nearly a half-million shares of EVC were sold on Thursday, closing up 3 cents at $7.62.
Entravision’s Dallas Stations Sold to Liberman; Net Income Up 6% Million
The Santa Monica, CA-based Spanish-language radio group announced on Thursday that it will leave the Dallas market entirely by selling its Dallas radio stations to Liberman Broadcasting of Dallas, Inc. for $95 million. The stations are KTCY-FM, KZZA-FM, KZMP-FM, KZMP-AM and the recently acquired KBOC-FM.
"This transaction reflects our focus on maximizing the value of our assets and directing our resources towards building strong radio clusters and television duopolies,” Entravision Chairman/CEO Walter Ulloa said. “The proceeds will bolster our balance sheet and improve our financial flexibility. We will continue to build leading positions in the fastest growing and highest density Hispanic markets where we can operate both television and radio assets, allowing us to efficiently manage our costs and leverage our operating footprint.”
Entravision also posted Q2 financial results after the market closed onThursday, reporting it had $79.2 million in net revenues, up 6% from $75.1 million during the same period in 2005. But the company said it had a net income loss of $168 million, compared to a gain of $4. 2 million last year. Entravision said net income per share loss was $1.60 compared to a 3-cent gain last year.The company recorded an impairment charge of $189.7 million as a result of an appraisal recently conducted on the radio division. The company also said the revenue increases came from its television and outdoor divisions while the radio division lost $1 million during the second quarter.
But the company also explained that “the decrease was primarily attributable to a decrease in net revenue of $1.9 million from our San Francisco/San Jose radio stations” that were sold. Excluding the net revenue contributed during Q2005 by the radio stations in the San Francisco/San Jose market [sold in Q106], net revenue in the radio segment would have increased by $900,000 during the Q2006, “primarily attributable to an increase in advertising rates,” Entravision said.
Nearly a half-million shares of EVC were sold on Thursday, closing up 3 cents at $7.62.
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