Nexstar Core Ads Up, Political Advertising Strong

Nexstar Broadcast TV Group witnessed solid advertising gains in its first-quarter reporting period.

Core advertising grew 7.6% to $129.2 million -- with local advertising revenue growing 11% to $93.8 million. National spot revenue was flat at $35.5 million.

Perry Sook, chairman, president/CEO of Nexstar, says there was growth in five of its top six and six of its top 10 advertising categories.

Nexstar also benefited from strong political advertising, pulling in $11.7 million versus $360,000 in the first quarter a year ago.
Sook expects upcoming periods to benefit from more political advertising and local TV advertising, given the Rio Summer Olympics this summer.

Retransmission revenues now top local advertising revenue--soaring 46% to $97.3 million. Digital revenue grew 17% to $22.5 million.



Overall quarterly revenue was up 26.7% to $255.7 million with net income doubling to $22.2 million. Nexstar’s stock was up 0.6% to $52.92 in mid-day Tuesday trading.

Nexstar’s big $4.6 billion acquisition of Media General is expected to close by the end of 2016. With the deal Nexstar-Media General, the group will have 171 TV stations in 100 markets, representing 39% of all U.S. TV homes.

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