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TRIBUNE REPORTS IMPROVED SECOND QUARTER EARNINGS

 CHICAGO, July 20 /PRNewswire/ -- Tribune Company (NYSE: TRB) reported net income for the 1993 second quarter of $62.3 million, up 38 percent from $45.0 million for the same period last year. The increase was due to higher broadcasting and entertainment operating profit, improved QUNO operating results and lower net interest expense. Second quarter primary net income per share rose 40 percent to $.87 from $.62 in 1992.
 For the first half of 1993, net income was $91.9 million, up 110 percent from $43.8 million in 1992, and primary net income per share increased 136 percent to $1.25 from $.53 in 1992. The 1992 first half included the cumulative effects of adopting new accounting principles for retiree benefits, income taxes and post-employment benefits, which reduced 1992 net income by $16.8 million and primary net income per share by $.26. Excluding the cumulative effects, 1993 first half net income grew 52 percent and primary net income per share rose 58 percent.
 On Feb. 17, 1993, Tribune's previously wholly owned newsprint subsidiary, QUNO Corp., completed in Canada an initial public offering of common stock. Tribune now holds 49 percent of the voting common shares of QUNO plus non-voting common shares for a combined ownership interest of 59 percent. Therefore, beginning in 1993, Tribune is using the equity method of accounting for its investment in QUNO.
 Revenues declined seven percent from 1992 to $517 million for the second quarter and to $952 million for the first half due to the absence of newsprint operations in the company's 1993 consolidated revenues. Excluding newsprint operations from 1992, revenues increased five percent for both the quarter and the first half. Operating profit was up 23 percent to $107.1 million in the quarter and up 34 percent to $166.2 million in the first half. Excluding newsprint operations from 1992, operating profit increased four percent for the quarter and seven percent for the first half.
 Newspaper Publishing:
 Newspaper publishing operating profit for the quarter was down three percent to $63.7 million from $65.3 million in 1992, due principally to higher newsprint prices.
 Revenues for the quarter were up one percent to $302 million. Excluding results of the Palo Alto newspaper operations, which were closed in March of this year, revenues were up three percent. On the same basis, advertising revenues were up three percent, as an increase of two percent in retail and nine percent in classified more than offset an 11 percent decrease in general advertising revenues. Similarly, circulation revenues were up four percent, primarily reflecting a price increase in Chicago.
 Broadcasting and Entertainment:
 Broadcasting and entertainment second quarter operating profit rose 14 percent to $49.3 million from $43.4 million, primarily due to increased television revenues.
 Revenues for the group increased 10 percent to $217 million. Revenues for television were up 14 percent and for radio were up 20 percent. Entertainment was down slightly. Excluding WPHL-TV in Philadelphia, acquired on June 5, 1992, and KOSI-FM/KEZW-AM in Denver, acquired in January 1993, television revenues were up eight percent and radio revenues were up seven percent.
 QUNO Corp. (Formerly Newsprint Operations):
 QUNO Corp. incurred an operating loss of $4.0 million in the second quarter of 1993, compared with an operating loss of $15.8 million in 1992. The improvement was primarily due to increased selling prices, partially offset by a $7 million foreign currency exchange loss. The 1992 foreign currency exchange loss was immaterial. The foreign currency exchange loss resulted primarily from the effect of changes in the U.S./Canadian dollar exchange rate on QUNO's U.S. dollar-denominated debt. QUNO's total revenues were up 17 percent to $105.8 million, as newsprint, sawmill and recycling operations all reported gains. Average newsprint selling prices in the quarter rose 13 percent over a year ago, while shipments decreased two percent. Tribune's 59 percent share of QUNO's 1993 second quarter loss after interest and taxes was $2.8 million.
 Other:
 Interest expense for the second quarter of 1993 declined 57 percent to $5.9 million from $13.5 million in 1992, due to lower debt levels primarily as a result of the QUNO initial public offering. Interest income increased 32 percent to $5.8 million, due primarily to interest from a QUNO convertible debenture held by Tribune. The effective tax rate decreased to 40.3 percent in the second quarter of 1993 from 42.5 percent in 1992.
 Tribune is a leading information and entertainment company. Tribune publishes six daily newspapers, operates seven television and six radio stations, produces and syndicates information and programming, and has an interest in one of Canada's largest newsprint manufacturers. Tribune has reached agreements to acquire Compton's Multimedia Publishing Group and Contemporary Books, Inc. Completion of both transactions is expected in the third quarter.
 TRIBUNE COMPANY
 Second Quarter Results Of Operations
 (Unaudited, In thousands, except per share data)
 Periods Ended Percent
 Second Quarter (A) 1993 1992 Change
 Operating Revenues:
 Newspaper Publishing (B) $301,536 $297,276 1
 Broadcasting and Entertainment 216,903 196,424 10
 Newsprint Operations (Canada)(C) -- 90,566 (100)
 Intercompany (996) (28,371) (96)
 Total Operating Revenues $517,443 $555,895 (7)
 Operating Profit (Loss):
 Newspaper Publishing $63,697 $ 65,342 (3)
 Broadcasting and Entertainment 49,254 43,389 14
 Newsprint Operations (Canada)(C) -- (15,765) (100)
 Corporate expenses (5,860) (5,574) 5
 Total Operating Profit 107,091 87,392 23
 Equity in QUNO Net Loss (C) (2,757) -- NM
 Interest Income 5,805 4,384 32
 Interest Expense (5,878) (13,528) (57)
 Income Before Income Taxes 104,261 78,248 33
 Income Taxes (41,976) (33,245) 26
 Net Income 62,285 45,003 38
 Preferred Dividends, net of tax (4,628) (4,542) 2
 Net Income Attributable to
 Common Shares $ 57,657 $ 40,461 43
 Net Income Per Share
 Primary $ .87 $ .62 40
 Fully Diluted $ .80 $ .58 38
 Dividends Per Common Share $ .24 $ .24 --
 Average Common Shares Outstanding 66,230 64,973 2
 NOTES:
 (A) 1993 quarter: March 29, 1993 to June 27, 1993.
 1992 quarter: March 30, 1992 to June 28, 1992.
 (B) 1992 revenues have been restated to conform to the 1993
 presentation.
 (C) On Feb. 17, 1993, Tribune's previously wholly owned
 newsprint subsidiary, QUNO Corp., completed an initial
 public offering of common stock. Tribune now has 49 percent of
 the voting common shares of QUNO plus non-voting common shares
 for a combined ownership interest of 59 percent. Therefore,
 beginning in 1993, Tribune is now using the equity method of
 accounting for its investment in QUNO.
 NM Not Meaningful
 TRIBUNE COMPANY
 First Half Results Of Operations
 (Unaudited, In thousands, except per share data)
 Periods Ended FIRST HALF (D) Percent
 1993 1992 Change
 Operating Revenues:
 Newspaper Publishing (E) $596,119 $583,064 2
 Broadcasting and Entertainment 357,884 323,719 11
 Newsprint Operations (Canada)(F) -- 181,398 (100)
 Intercompany (2,012) (61,848) (97)
 Total Operating Revenues $951,991 $1,026,333 (7)
 Operating Profit (Loss):
 Newspaper Publishing $119,426 $116,738 2
 Broadcasting and Entertainment 58,424 49,286 19
 Newsprint Operations (Canada) (F) -- (30,858) (100)
 Corporate expenses (11,658) (11,069) 5
 Total Operating Profit 166,192 124,097 34
 Equity in QUNO Net Loss (F) (5,468) -- NM
 Interest Income 10,141 7,547 34
 Interest Expense (13,993) (26,703) (48)
 Income Before Income Taxes 156,872 104,941 49
 Income Taxes (64,936) (44,322) 47
 Income Before Cumulative Effects Of
 Changes In Accounting Principles 91,936 60,619 52
 Cumulative Effects of Changes in
 Accounting Principles, net of tax (G) -- (16,800) (100)
 Net Income 91,936 43,819 110
 Preferred Dividends, net of tax (9,256) (9,084) 2
 Net Income Attributable to
 Common Shares $ 82,680 $ 34,735 138
 Primary Net Income (Loss) Per Share:
 Before Cumulative Effects of
 Changes in Accounting Principles $ 1.25 $ .79 58
 Cumulative Effects of Accounting Changes -- (.26) (100)
 Net Income $ 1.25 $ .53 136
 Fully Diluted Net Income (Loss) Per Share:
 Before Cumulative Effects of
 Changes in Accounting Principles $ 1.16 $ .75 55
 Cumulative Effects of Accounting Changes -- (.23) (100)
 Net Income $ 1.16 $ .52 123
 Dividends Per Common Share $ .48 $ .48 --
 Average Common Shares Outstanding 66,010 64,880 2
 (D) 1993 first half: Dec. 28, 1992 to June 27, 1993.
 1992 first half: Dec. 30, 1991 to June 28, 1992.
 (E) 1992 revenues have been restated to conform to the 1993
 presentation.
 (F) On Feb. 17, 1993, Tribune's previously wholly owned
 newsprint subsidiary, QUNO Corp., completed an initial
 public offering of common stock. Tribune now has 49 percent of
 the voting common shares of QUNO plus non-voting common shares
 for a combined ownership interest of 59 percent. Therefore,
 beginning in 1993, Tribune is now using the equity method of
 accounting for its investment in QUNO.
 (G) Effective as of the beginning of 1992, Tribune adopted three
 new Financial Accounting Standards Board (FAS) rules, and
 recorded in earnings a one-time, non-cash cumulative effect
 for each rule. FAS 106, "Employers' Accounting for
 Postretirement Benefits Other Than Pensions," resulted in an
 after-tax charge against earnings of $37.6 million, or $.58
 per share. FAS 109, "Accounting for Income Taxes," resulted
 in a credit to earnings of $26.3 million, or $.40 per share.
 FAS 112, "Employers' Accounting for Postemployment
 Benefits," resulted in an after-tax charge against earnings
 of $5.5 million, or $.08 per share. These cumulative effects
 resulted in a net $16.8 million after-tax charge, or $.26 per
 share, against 1992 earnings.
 NM Not Meaningful
 -0- 7/20/93
 /CONTACT: Joseph Andrew Hays, investor 312-222-3237, or home 312-642-0040, or Robert D. Carr, media 312-222-3763, or home 708-279-8021, or fax 312-222-1573, both of Tribune Company/
 (TRB)


CO: Tribune Company ST: Illinois IN: PUB SU: ERN

LD-MG -- NY003 -- 6598 07/20/93 09:01 EDT
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