Meredith Station Revenue Up 32%

"Record" revenue on broadcast side paces Meredith to double digit growth in quarter

By Michael Malone -- Broadcasting & Cable, 1/24/2013 2:07:46 PM

Meredith reported fiscal second-quarter revenues of $361 million, 10% better than last year's fiscal second quarter, with its TV stations pacing the growth. The Local Media Group, comprising the broadcast outlets, showed revenues of $111 million, up 32% in the quarter. Local Media's operating profit grew 65% from the prior year period.

"Our Local Media Group delivered record-setting revenue and operating profit performance for the second quarter and the first half of fiscal 2013," said Meredith Chairman/CEO Stephen M. Lacy. "Our digital business continued its rapid growth, and our recent acquisitions again delivered strong contributions. We once again delivered higher cash flow and returns to shareholders, and we expect to continue to do so over time."

Broadcast's net political advertising revenues were a record $38 million. Performance was particularly strong at Meredith's stations in Las Vegas, Hartford and Phoenix, said Meredith.

Non-political advertising revenues rose 3% for the period following the election.

"We continued to excel at our goal of delivering compelling content to viewers across broadcast, digital and mobile media platforms," said Local Media Group president Paul Karpowicz. "At the same time, we did a great job monetizing the strength of our audience, as local over-the-air television once again demonstrated its unique ability to build brands and deliver unmatched results for advertising clients."

Meredith's National Media Group, which includes its magazines, showed revenues of $249 million, up 2% for the quarter.

Meredith expects fiscal 2013 third quarter Local Media Group revenues to increase in the high-single digits, and National Media Group ad revenues to be up in the mid-single digits.