Emmis sees higher radio revenue, dip in profit

Emmis Communications Corp. saw a drop in overall profit in its latest quarter, but the Indianapolis-based media company realized a big jump in radio station revenue and operating income, it reported Thursday morning.

Profit fell to $2.8 million, or 7 cents per share, in the fiscal third quarter ended Nov. 30, down from $4.3 million, or 11 cents per share, in the same period a year ago. Overall revenue rose from $52.6 million to $62.9 million.

Emmis said radio station revenue rose 29 percent, to $44.9 million, thanks to the additions of New York radio stations WBLS–FM 107.5 and WLIB-AM 1190, which Emmis acquired for $131 million in March.

If the results for WBLS and WLIB from a year ago had been included, radio revenue for Emmis’ third quarter would have still increased, by 6 percent, the company said.

Overall operating income for the latest quarter was $13.1 million, compared to $8.7 million for the same period of the prior year. Radio station operating income rose from $14.1 million to $18.1 million.

Emmis considers radio station operating revenue a key performance measure. The company owns 19 FM and four AM radio stations in New York, Los Angeles, St. Louis, Texas, Indianapolis and Terre Haute.

“With an improving labor market and lower energy prices helping to put more money into the consumer’s hands, we are excited about the economic backdrop as we head into 2015,” Emmis CEO Jeff Smulyan said in a written statement.

Emmis' publishing operations, which produce Indianapolis Monthly and several other city magazines, had $17.9 million in revenue in the quarter, up from $17.8 million last year.

Emmis stock rose 7 cents Thursday morning, to $1.92 per share.