• by Wayne Friedman , February 7, 2012

Big TV station owner Belo Corp. witnessed lower advertising revenue in the fourth quarter due to lower political advertising, but continued to see strong results from its biggest ongoing category.

It said automotive category delivered its strongest quarter of the year with "momentum continu[ing] into the first quarter of 2012," says Dunia A. Shive, president/chief executive officer of Belo Corp.

Revenue was down 13% to $180 million in the fourth quarter of 2011, given lower political advertising, which totaled $5.9 million compared to $35.7 million in the fourth quarter of 2010. Net income dropped to $30.5 million from $39.9 million.

The company said core advertising total national spot revenue grew 3%, and local spot revenue climbed 6% from core advertisers, including automotive advertising business.

Newer revenue categories continue to show double-digit percentage gains, including retransmission fees and Internet revenues.

The company said it was able to gain some savings from not paying license fees, as a result of the ending of "The Oprah Winfrey Show." Overall, operating costs dropped 6% in the period.

Going forward, Shive said, “Belo’s 2012 results will benefit from the Super Bowl and Olympics airing on our four NBC affiliates, robust political advertising primarily in the second half of the year, and strength in the automotive category. Retransmission and Internet advertising revenue are currently expected to grow at a double-digit rate in 2012."

She said Belo expects first-quarter total revenue to be up 3% to 5%, depending on the timing of the Texas primary, its main source of expected political revenue in the first quarter.