SBS: $35 Million in Net Revenue in Q1

Spanish Broadcasting System reported a net revenue of $35.3 million in the first quarter compared to $29.2 million for Q1 of last year, a 21% rise. It attributed most of the jump to double-digit growth in the company’s core markets of Los Angeles, New York and Miami because of increases in local and barter revenue.
Operating income before depreciation and amortization for the quarter was $8.5 million compared to $7.7 million for the same prior year period. The company cited an increase in net revenue, offset by an increase in operating expenses.
SBS reported a loss of $2.5 million for the quarter. That compares to $3.2 million for the same period a year ago.
SBS Chairman/CEO Raúl Alarcón, Jr. said, “The strategic programming investments we made in our station group during the past year have resulted in tangible increases in our operating and financial performance, while bolstering our outlook over the long-term. We are in an exceptional position to continue to capture the rapid growth of Hispanic America.”
SBS plans to re-finance its loans by entering into new senior secured loans with affiliates of Lehman Brothers Inc., Merrill Lynch and Wachovia Securities. SBS would get an aggregate of $400 million in funded term loans (consisting of a $300 million first lien credit and a $100 million second lien credit), plus $25 million revolving loan.
The funds would go towards paying down outstanding debt.