• by Erik Sass  @eriksass1, November 2, 2010

There is more evidence of a tentative recovery in the radio business, with third-quarter results from Cumulus showing an increase in revenues and earnings. Total revenues increased 3.6% from $65.1 million in the third quarter of 2009 to $67.5 million in the third quarter of 2010, according to Cumulus, while earnings increased 13.4% to $22.8 million.

The increase in total revenues was due mostly to a 3.6% increase in broadcast revenues, from $64.1 million to $66.4 million, powered by increases in national ad sales, as well as political advertising and Internet ad revenues.

The company has succeeded in recruiting new advertisers, such as health care, according to chairman and CEO Lew Dickey. However, local ad revenues have remained flat, reflecting broader trends in the radio industry.

While industry-wide results for the third quarter aren't yet available, according to the Radio Advertising Bureau, national ad revenues increased 17% in the first half of 2010 to $1.27 billion, while local ad revenues ticked up 3% to $5.5 billion. Digital revenues increased 22% to $280 million, also per the RAB.

More recently, Cumulus results are broadly in line with the third-quarter performance of other big radio groups that have reported results.

Emmis said total radio revenues increased 4% to $51.7 million in the company's fiscal first quarter, which ended August 31, thanks in part to heavy political spending. Beasley Broadcast Group reported that total revenues were basically flat at $24.2 million in the third quarter, down less than 1% from $24.4 million in the same period last year.