Tuesday, August 02, 2005

Nexstar Broadcasting Group Reports 2005 Second Quarter Results

Source: Nexstar Press Release Reported total net revenue for the 2005 second quarter was $57.9 million, a decrease of 5.4% from net revenue of $61.2 million in the 2004 second quarter. Nexstar’s financial guidance, issued on May 4,2005, was for 2005 second quarter total net revenue to be approximately $59.0 to $60.0 million, or a decline of approximately 2.0% - 3.6%.

Perry A. Sook, Chairman, President and Chief Executive Officer of Nexstar Broadcasting Group,Inc., commented, “The 2005 second quarter local and national advertising environment was difficult for television broadcasters and for Nexstar Broadcasting. As a result, Nexstar recorded a 1% year over year decline in second quarter gross local and national advertising revenue, excluding political. General weakness in some of our top advertising categories and at our NBC affiliates contributed to the revenue decline. In addition, the year ago second quarter included an incremental $3.5 million in political advertising revenue which impacted total revenue comparisonsto the 2005 second quarter."

“Looking forward, our goal is to quickly recapture operating leverage as expected sales momentum returns in 2006. We expect to do so by cultivating new advertiser and agency relationships and by developing incremental sales channels. As always, we will work diligently to manage our expenses.”

Nexstar Broadcasting Group is the parent company of KARK, Little Rock and KTAL, Shreveport.

4 Comments:

At 5:34 PM, August 02, 2005, Anonymous Anonymous said...

why don't they just give up now? the fight against cable isn't going to work and the company is going to have to be bought out by someone else eventually. havent seen KARK lately but i hear its improving but KNWA, also a nexstar owned television station, isn't great and probably won't be around much longer at least in the local news game.

 
At 10:15 AM, August 03, 2005, Anonymous Anonymous said...

“Looking forward, our goal is to quickly recapture operating leverage as expected sales momentum returns in 2006. We expect to do so by cultivating new advertiser and agency relationships and by developing incremental sales channels. As always, we will work diligently to manage our expenses.”

TRANSLATION -- We plan to sell more ads and fire some people!

 
At 11:50 AM, August 04, 2005, Anonymous Anonymous said...

Eventually it will work if they stay the course. With the NFL kicking off in a few weeks viewers will start complaining to cable companies.(Nexstars CBS and ABC affils across the country) Might even switch to the Dish. KARK just has to hold out until the Olympics. They'll have a ton of leverage. If they can be patient and wait it out they'll get what they want.

 
At 11:57 AM, August 09, 2005, Anonymous Anonymous said...

You are nuts. Broadcast television is free in this country. That's the business model that's been around for years and years. Nexstar isn't going to change that. It's only going to alienate what viewers the company's stations do have. (And that's not many.)

 

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