• by Wayne Friedman , May 2, 2008

Even a big presidential political advertising year can't save financial results for some TV station groups.

Increases in revenue from political advertising--up $8.1 million to $9.6 million--as well as higher digital media and retransmission deal revenues--still spelled a nearly 3% decrease to $165.1 million in revenues for Hearst-Argyle Television's first-quarter results.

Overall, net advertising sales sank 9%, or $13.7 million to $132.9 million. The chief culprit is the same as it has been for a few reporting periods: the auto category, which is off 16% for the company.

Other categories were also down: retail, furniture, restaurant, movies and health services. Improving ad businesses included consumer packaged-goods, media, financial services and home improvement services.

On the plus side, the company touted a 22% increase in net digital media revenue to $4.9 million, and a 22% increase in retransmission consent revenue to $6.3 million. Hearst-Argyle's net income for the period increased from $4.3 million to $10 million from the previous period.

Hearst-Argyle CEO David Barrett blamed the housing slump, uncertain credit markets, the sluggish economy and lower impact consumer confidence and spending numbers for the poor results.

Still, he said the company remained confident that it will finish 2008 "with top and bottom-line growth."

The company noted that 12 of its 26 stations improved revenue growth in the period, versus the same period a year ago. All 18 stations in the top 50 markets outperformed their network's average prime-time ratings.