Univision Communications Third-Quarter Financials Improve
The Spanish-language media giant said revenue rose 1.7 percent as CEO Randy Falco said the company is focusing on such new revenue streams as retransmission consent and digital distribution deals.
Spanish-language media giant Univision Communications on Friday reported stronger third-quarter financials as the bottom line multiplied thanks to a slight revenue gain and a range of special factors.
The company, led by president and CEO Randy Falco and chairman Haim Saban, posted a quarterly profit of $290 million, compared to a year-ago profit of $44.1 million. Higher revenue growth, much lower amortization of deferred financing costs and the lack of a $1.8 million investment loss and a $2 million impairment loss that had been a drag on the year-ago period helped the bottom line, even though restructuring, severance and related charges rose from $2.1 million to $4.9 million.
Adjusted operating income before depreciation and amortization, another way of measuring profitability, increased 1.9 percent to $236.2 million. Revenue rose 1.7 percent to $584.6 million with slight gains in TV, radio and interactive media revenue.
"Univision’s solid third quarter results reflect the continuing strength of our multi-platform properties, including our flagship television network, which beat ABC, CBS, NBC and FOX to rank number one in primetime among adults 18-34 for the entire third quarter," said Falco. "In addition, we have been managing expenses in a challenging macroeconomic environment and capitalizing on the groundswell of advertiser demand following the 2010 Census.”
Looking ahead, the CEO said Univision is focused on such new revenue streams as retransmission consent and digital distribution deals. “As we move into the fourth quarter and 2012, we are focused on advancing our momentum with retransmission consent negotiations and the expansion of our multi-platform content monetization strategy," he said. "Our recent agreement with leading over-the-top distributor Hulu is just the first of many steps we are taking to ensure that we anticipate the ever-changing media consumption habits of Hispanic consumers and seed the ground for future revenue growth.”