Tuesday, May 20, 2014

Tribune profit falls 30% on higher costs

By Brett Levy

This story is behind the WSJ firewall, so here are some highlights:
The numbers are clearly distorted by recent acquisitions. The company still made a profit of $41.2 million on the quarter. Broadcast revenue is up 21 percent to $852 million.
"In the first quarter of 2014 we demonstrated early signs of the strength of our new broadcast scale," Mr. Liguori said in a statement Tuesday. "We are also encouraged by the activity we are seeing in the political landscape and its prospects for advertising for the second half of 2014."
The real problem is still print, which saw a 2.6 percent revenue decline to $453.8 million, so the next line is bogus:
"Additionally, our newspapers continued to deliver very good results in a challenging environment, and we are confident in the prospects for that business as we move closer to spinning it off from Tribune Co.," he added.

Tribune Co. said its first-quarter earnings fell 30% on higher expenses that masked revenue growth at its broadcasting business.
THE WALL STREET JOURNAL|BY TESS STYNES

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