Entercom Slashes Another 5% From Expense Line
While revenue was flat ($104.6 Million) in the second quarter of 2012, Entercom CEO David Field says his company succeeded at reducing expenses by another 5% (to $67.6 Million) which helped increase operating income 10% ($37 million). Entercom's free cash flow decreased 15% (to$19.3 Million). Entercom also recorded a non-cash intangible impairment charge of $22.3 Million to the value of it's FCC licenses.
On the revenue side, Field said May and June were up slightly with local flat for the quarter and national down. He says digital revenue increased double digits but did not specify a dollar amount. When you back out revenue from KBLX in San Francisco (which Entercom has not had for a year yet) revenue for the quarter was actually down 1% for the quarter. Markets performing well for Entercom were Indianapolis, Memphis, Denver and Milwaukee. Field said July was pacing up 4%. Field expects to see more top-line growth in the back half of the year as format changes start to take hold in several markets.
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