Ad slump bruises Emmis rev
Co. reports $13.9 million fiscal third-quarter loss
Red ink compared with a year-earlier profit of $11.6 million for the three months ended Nov. 30.
Indianapolis-based company marked a 5% decline in revenue to $137.1 million.
Revenue at 23 radio stations was off almost 4% at $65.5 million, and 15 TV stations absorbed a 6% drop to $52.3 million. Magazine publishing was off 5% at $19 million, and a small interactive unit produced a sixfold increase in revenue to $258,000.
"With the impact of 9-11 and the general weakness in the advertising environment that all broadcasters faced during the fall of 2001, I remain optimistic, given that we continue to outperform our radio markets," Emmis chairman-CEO Jeff Smulyan said. "As we continue to closely monitor our expenses and support sales efforts, we are well-positioned for rapid growth when the environment improves."
Emmis chopped employee wages 10% across the board on Nov. 15, cushioning the move with a stock award. The action will produce a $14 million cost savings in a year, the company estimated.
Broadcaster's quarterly results were in line with expectations. Emmis shares were up 61 cents, or 2%, at $24.99 in midday trading.
