Major television station groups posted double-digit profit gains in for the fourth quarter in a row, with some nearing the levels seen in the 1980s and 1990s, reports MediaPost.com’s MediaDailyNews.
Profit margins for TV stations grew by 10 points to 40% in the fourth quarter for some 15 broadcasting companies covered by media investment and adviser company M.C. Alcamo & Co., the story says. That compares with a 30% profit margin for the fourth quarter of 2009.
The best performers on the revenue side were Fisher Communications, with revenue jumping 49% to $18.9 million, and Gray Television, which increased sales 47.8% to $37.1 million, it notes. The profits are likely to be used to pay down debt, make strategic investment and upgrade station infrastructure, the story says.