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| Journal Communications Reports December Revenue and Volume for Its Publishing and Broadcast Groups |
Printer Friendly Version (PDF) News Release Printer Friendly Version (PDF) Financial Tables MILWAUKEE--(BUSINESS WIRE)--Feb. 13, 2008--Journal Communications, Inc. (NYSE:JRN) announced today that for the twelfth period ended December 30, 2007, total revenues from continuing operations for its Publishing and Broadcast groups of $44.58 million decreased 23.1% compared to $58.01 million reported for the twelfth period ended December 31, 2006, largely reflecting the impact of an extra week in the 2006 twelfth period. For the twelfth period 2007, advertising revenues from continuing operations of $38.10 million decreased 24.1% compared to $50.16 million for the 2006 twelfth period. Twelfth period 2007 contained 35 days and twelfth period 2006 contained an additional week (42 days). The Company estimates the total revenue impact from the 2006 extra week to be $8.5 million and the advertising revenue impact to be $7.3 million. Excluding the extra week, total revenue decreased 9.9% and advertising revenue decreased 11.1%. Additionally, litigation-related advertising credits positively impacted the 2006 twelfth period ($1.10 million) and the 2007 twelfth period ($0.28 million). Excluding the extra week and the revenue adjustment, total revenues decreased 8.4% and advertising revenue decreased 9.5%. Note that unless otherwise indicated, all comparisons are to the twelfth period ended December 31, 2006. At the Publishing segment, revenues from continuing operations at the daily newspaper and the community newspapers and shoppers totaled $24.33 million, down 24.7% compared to $32.30 million. Excluding the extra week and the $0.82 million net from litigation-related advertising credits, revenue decreased 8.5%. Advertising revenue from continuing operations was $17.84 million, down 27.0% compared to $24.45 million. Excluding the extra week and the $0.82 million net from litigation-related advertising credits, advertising revenue decreased 10.7%. Circulation revenue from continuing operations of $4.96 million was down 17.7% compared to $6.03 million. Excluding the extra week, circulation revenue decreased 1.8%. Other revenue from continuing operations of $1.53 million was down 16.2%. Excluding the extra week, other revenue decreased 2.2%. At the daily newspaper, total advertising revenue was $14.97 million, down 27.3% compared to $20.60 million. Excluding the extra week and the $0.82 million net from litigation-related advertising credits, advertising revenue decreased 10.2%. Specifically, including the extra week, retail advertising was down 27.5%, classified advertising revenue was down 25.5%, national advertising revenue of $0.96 million decreased 34.4% and direct marketing revenue of $0.51 million was down 22.2%. Within classified advertising, the real estate/rentals, help wanted, auto and other verticals were down 39.8%, 21.6%, 26.8% and 10.5%, respectively. Circulation revenue at the daily newspaper was $4.86 million, down 16.3% compared to $5.80 million. Excluding the extra week, circulation revenue was essentially flat. Other revenue at the daily newspaper of $1.22 million was down 15.5% compared to $1.44 million. Excluding the extra week, other revenue was down 2.6%. Total interactive advertising revenue at the daily newspaper, which is reflected in the various revenue categories, increased 40.4% to $1.24 million compared to $0.89 million. At the Company's community newspapers and shoppers operations, total advertising revenue from continuing operations was $2.88 million, down 25.3% compared to $3.85 million. Excluding the extra week, advertising revenue decreased 13.4%. Including the extra week, retail advertising revenue from continuing operations was down 23.9% and classified advertising revenue from continuing operations was down 32.5%. Other advertising revenue from continuing operations was $24,000. Circulation revenue from continuing operations at the community newspapers and shoppers of $99,000 decreased 55.4%, largely reflecting the change to a free distribution model of our Milwaukee-area community newspapers and the extra week. Excluding the extra week, circulation revenue was down 45.6%. Other revenue from continuing operations at the community newspapers and shoppers of $0.31 million decreased 18.8%. Excluding the extra week, other revenue decreased 0.5%. At the Broadcasting segment, total revenue at the Company's radio and television stations of $20.25 million decreased 21.2% compared to $25.71 million. Excluding the extra week, broadcast revenues decreased 8.3%, in part reflecting the timing of sports broadcasts. At the radio group, revenue of $7.9 million was down 21.1% compared to $10.05 million. Excluding the extra week, radio revenue decreased 9.8%, due to weakness in local and national advertising. At the television group, revenue decreased 21.3% to $12.32 million compared to $15.66 million. Excluding the extra week, television revenues decreased 7.3%, due to weakness in local and national advertising revenue. Forward-looking Statements This press release contains certain forward-looking statements related to our businesses that are based on our current expectations. Forward-looking statements are subject to certain risks, trends and uncertainties, including changes in advertising demand and other economic conditions that could cause actual results to differ materially from the expectations expressed in forward-looking statements. All forward-looking statements should be evaluated with the understanding of their inherent uncertainty. Our written policy on forward-looking statements can be found on page 1 of our most recent Annual Report on Form 10-K as filed with the Securities and Exchange Commission. About Journal Communications Journal Communications, Inc., headquartered in Milwaukee, Wisconsin, was founded in 1882. We are a diversified media company with operations in publishing, radio and television broadcasting, interactive media and printing services. We publish the Milwaukee Journal Sentinel, which serves as the only major daily newspaper for the Milwaukee metropolitan area, and 49 community newspapers and shoppers in Wisconsin and Florida. We own and operate 35 radio stations and 11 television stations in 12 states and operate an additional television station under a local marketing agreement. Our interactive media assets include 96 online enterprises that are associated with our daily and community newspapers and television and radio stations. We also provide a wide range of commercial printing services -- including printing of publications, professional journals and documentation material -- and operate a direct marketing services business. Tables Follow
Journal Communications, Inc.
Publishing Segment Information (unaudited)
(dollars in thousands)
Publishing revenue by category:
----------------------------------------------------------
Twelfth period of 2007 (A)
-----------------------------
Community
Daily Newspapers
Newspaper & Shoppers Total
--------- ---------- --------
Advertising revenue:
Retail $9,852 $2,483 $12,335
Classified 3,640 369 4,009
National 962 -- 962
Direct Marketing 514 -- 514
Other -- 24 24
--------- ---------- --------
Total advertising revenue 14,968 2,876 17,844
Circulation revenue 4,859 99 4,958
Other revenue 1,217 310 1,527
--------- ---------- --------
Total revenue $21,044 $3,285 $24,329
========= ========== ========
Twelfth period of 2006 (A)
-----------------------------
Community
Daily Newspapers
Newspaper & Shoppers Total
--------- ---------- --------
Advertising revenue:
Retail $13,588 $3,263 $16,851
Classified 4,885 547 5,432
National 1,466 -- 1,466
Direct Marketing 661 -- 661
Other -- 41 41
--------- ---------- --------
Total advertising revenue 20,600 3,851 24,451
Circulation revenue 5,803 222 6,025
Other revenue 1,441 382 1,823
--------- ---------- --------
Total revenue $27,844 $4,455 $32,299
========= ========== ========
% Change % Change % Change
Daily CN&S Total
--------- ---------- --------
Advertising revenue:
Retail (27.5) (23.9) (26.8)
Classified (25.5) (32.5) (26.2)
National (34.4) N/A (34.4)
Direct Marketing (22.2) N/A (22.2)
Other N/A (41.5) (41.5)
Total advertising revenue (27.3) (25.3) (27.0)
Circulation revenue (16.3) (55.4) (17.7)
Other revenue (15.5) (18.8) (16.2)
Total revenue (24.4) (26.3) (24.7)
Twelve periods of 2007 (B)
-----------------------------
Community
Daily Newspapers
Newspaper & Shoppers Total
--------- ---------- --------
Advertising revenue:
Retail $90,235 $29,318 $119,553
Classified 58,152 5,994 64,146
National 9,227 -- 9,227
Direct Marketing 4,434 -- 4,434
Other -- 386 386
--------- ---------- --------
Total advertising revenue 162,048 35,698 197,746
Circulation revenue 51,174 1,082 52,256
Other revenue 12,234 3,863 16,097
--------- ---------- --------
Total revenue $225,456 $40,643 $266,099
========= ========== ========
Twelve periods of 2006 (B)
-----------------------------
Community
Daily Newspapers
Newspaper & Shoppers Total
--------- ---------- --------
Advertising revenue:
Retail $90,998 $34,499 $125,497
Classified 64,674 7,854 72,528
National 11,018 -- 11,018
Direct Marketing 5,873 -- 5,873
Other -- 657 657
--------- ---------- --------
Total advertising revenue 172,563 43,010 215,573
Circulation revenue 52,652 2,268 54,920
Other revenue 10,923 3,314 14,237
--------- ---------- --------
Total revenue $236,138 $48,592 $284,730
========= ========== ========
% Change % Change % Change
Daily CN&S Total
--------- ---------- --------
Advertising revenue:
Retail (0.8) (15.0) (4.7)
Classified (10.1) (23.7) (11.6)
National (16.3) N/A (16.3)
Direct Marketing (24.5) N/A (24.5)
Other N/A (41.2) (41.2)
Total advertising revenue (6.1) (17.0) (8.3)
Circulation revenue (2.8) (52.3) (4.9)
Other revenue 12.0 16.6 13.1
Total revenue (4.5) (16.4) (6.5)
(A) 2007 twelfth period: November 26, 2007 to December 30, 2007 (5
weeks).
2006 twelfth period: November 20, 2006 to December 31, 2006 (6
weeks).
(B) Twelve periods of 2007: January 1, 2007 to December 30, 2007 (52
weeks).
Twelve periods of 2006: December 26, 2005 to December 31, 2006 (53
weeks).
NOTE:
Publishing segment information is provided to facilitate comparison of
our publishing segment results with those of other publishing
companies and is not representative of the overall business of
Journal Communications or its operating results.
Daily newspaper's core newspaper advertising linage by category and
core newspaper and shared mail preprint pieces:
----------------------------------------------------------------------
Twelfth period (A)
-------------------
2007 2006 % Change
--------- --------- ----------
Advertising linage (inches):
Full run
Retail 50,717 74,581 (32.0)
Classified 35,846 54,595 (34.3)
National 5,153 6,644 (22.4)
--------- ---------
Total full run 91,716 135,820 (32.5)
Part run 4,310 10,227 (57.9)
--------- ---------
Total advertising linage 96,026 146,047 (34.2)
========= =========
Preprint pieces (in thousands) 98,133 139,207 (29.5)
========= =========
Total pages and revenue per page of our community newspapers and
shoppers:
----------------------------------------------------------------------
Total pages:
Community newspapers 4,082 6,136 (33.5)
Shoppers and specialty products 4,055 5,042 (19.6)
--------- ---------
Total pages 8,137 11,178 (27.2)
========= =========
Revenue per page $306.34 $301.51 1.6
========= =========
Daily newspaper's core newspaper advertising linage by category and
core newspaper and shared mail preprint pieces:
----------------------------------------------------------------------
Twelve periods (B)
-------------------
2007 2006 % Change
--------- --------- ----------
Advertising linage (inches):
Full run
Retail 591,649 670,719 (11.8)
Classified 539,443 653,601 (17.5)
National 47,451 59,049 (19.6)
--------- ---------
Total full run 1,178,543 1,383,369 (14.8)
Part run 39,199 111,420 (64.8)
--------- ---------
Total advertising linage 1,217,742 1,494,789 (18.5)
========= =========
Preprint pieces (in thousands) 872,784 926,175 (5.8)
========= =========
Total pages and revenue per page of our community newspapers and
shoppers:
----------------------------------------------------------------------
Total pages:
Community newspapers 47,540 70,724 (32.8)
Shoppers and specialty products 49,079 57,513 (14.7)
--------- ---------
Total pages 96,619 128,237 (24.7)
========= =========
Revenue per page $329.47 $298.52 10.4
========= =========
(A) 2007 twelfth period: November 26, 2007 to December 30, 2007 (5
weeks).
2006 twelfth period: November 20, 2006 to December 31, 2006 (6
weeks).
(B) Twelve periods of 2007: January 1, 2007 to December 30, 2007 (52
weeks).
Twelve periods of 2006: December 26, 2005 to December 31, 2006 (53
weeks).
NOTE: Publishing segment information is provided to facilitate
comparison of our publishing segment results with those of other
publishing companies and is not representative of the overall
business of Journal Communications or its operating results. All data
are subject to later adjustment.
Journal Communications, Inc.
Broadcasting Segment Information (unaudited)
(dollars in thousands)
Broadcasting revenue by radio and television:
---------------------------------------------
Twelfth period of 2007 (A) Twelfth period of 2006 (A)
--------------------------- ---------------------------
Radio Television Total Radio Television Total
------- ---------- -------- ------- ---------- --------
Revenue $7,931 $12,320 $20,251 $10,053 $15,654 $25,707
======= ========== ======== ======= ========== ========
% Change % Change % Change
Radio Television Total
--------- ----------- ---------
Revenue (21.1) (21.3) (21.2)
Twelve periods of 2007 (B) Twelve periods of 2006 (B)
--------------------------- ---------------------------
Radio Television Total Radio Television Total
------- ---------- -------- ------- ---------- --------
Revenue $84,061 $134,057 $218,118 $87,514 $151,022 $238,536
======= ========== ======== ======= ========== ========
% Change % Change % Change
Radio Television Total
--------- ----------- ---------
Revenue (3.9) (11.2) (8.6)
(A) 2007 twelfth period: November 26, 2007 to December 30, 2007 (5
weeks).
2006 twelfth period: November 20, 2006 to December 31, 2006 (6
weeks).
(B) Twelve periods of 2007: January 1, 2007 to December 30, 2007 (52
weeks).
Twelve periods of 2006: December 26, 2005 to December 31, 2006 (53
weeks).
NOTE: Broadcasting segment information is provided to facilitate
comparison of our broadcasting segment results with those of other
broadcasting companies and is not representative of the overall
business of Journal Communications or its operating results.
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