Journal Radio Revenue Flat In Q3
For the third quarter, revenue from Tulsa's 35 radio stations increased 4.4 percent to $19.9 million from $19.0 million. However, when you back out the two stations Journal purchased from Renda in Tulsa that were not on the books last year, the Journal increase is only .8 percent. Political and issue advertising revenue was $300K in 2012 compared to $400K in 2011.
Core local advertising revenue increased 5.9 percent, or 1.8 percent on a same station basis, primarily due to increases in media and casino advertising. Core national advertising revenue decreased 2.1 percent, or a decrease of 5.7 percent on a same-station basis, mostly due to declines in communications advertising. Operating earnings from radio stations were $3.0 million compared to $4.1 million, a decrease of 26.6 percent. Radio operating expenses increased 13.0 percent driven by higher employee-related costs, a $0.4 million non-cash building impairment charge, and higher broadcast rights fees. Excluding the building impairment charge and Tulsa related operating and acquisition expenses of $0.6 million, operating expenses increased by 6.5 percent.
Journal purchased two stations from Renda Broadcasting in Tulsa last year (KHTT-FM and 92.9 BOB FM) which accounts for the additional revenue that gets the quarterly increase to 4.4 percent. Journal owns 35 radio stations in addition to its TV and publishing divisions.