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Nexstar Reports $6.1 Million Q4 Loss

Mar 2, 2006  •  Post A Comment

Nexstar Broadcasting Group said Thursday that it swung to a fourth-quarter loss of $6.1 million, compared with a year-earlier profit of $700,000, as the company felt the pinch of a sharp decline in political advertising revenue.

The decline in political ads was enough to offset a gain in nonpolitical local advertising revenue and led the company to report a 13 percent drop in total revenue to $61.5 million.

For the year, Nexstar, which owns 47 television stations in 27 markets, reported a widened loss of $48.7 million, compared with red ink of $20.5 million a year ago. Revenue fell 8 percent to $226.1 million.

The company said political advertising in the fourth quarter tumbled 93 percent to $900,000 from a year-earlier figure of $12.9 million. That more than offset a 4 percent gain in local advertising that has been driven by the company’s push to tap advertisers that have not traditionally run television spots.