Channel Media and Entertainment revenue grew 3% in the second quarter, or by
$21 million, compared to the same period a year earlier.
The increases at CCME (until recently called Clear
Channel Radio) were driven “primarily by increases in national and local
advertising sales volume across various markets and advertising categories,
including automotive, political and telecommunications,” it stated.
“In addition, advertising revenue from the company’s digital
radio services rose as a result of higher rates and volume in connection with
its iHeartRadio player and continued growth of the company’s digital presence
Parent CC Media Holdings said its
overall revenue was flat at $1.6 billion. It reported
a consolidated net loss of $28 million in the quarter compared to a
consolidated net loss of $38 million a year earlier.
CEO Bob Pittman said the second quarter exhibited “solid growth.” EVP/CFO
Tom Casey stated in the announcement, “Even with the
economic recovery slowing, we were well positioned to keep driving revenue
growth in the quarter at our Media & Entertainment and Outdoor businesses.”
CC Media Holdings also uses a measure called OIBDAN; it
said this statistic increased 6% to $532 million in the quarter. That number
included a drop in music license fee expenses “due to lower royalty rates and a
credit for a portion of prior years’ fees.”
It said that
it saved some money in the quarter thanks to “lower headcount associated with
last year’s cost initiatives,” but this was partially offset by higher costs of
$9 million related to its traffic business acquisition.