Television broadcasting company Sinclair Broadcast Group, Inc. (NASDAQ: SBGI) sees revenues increase 49% in quarter, 36% in 9 months and net income increase of 59% over 9 months 2012. Sinclair rewarded shareholders with a special dividend added to the regular quarterly dividend.
The Company announced that its Board of Directors has declared a special cash dividend of $1.00 per share and a quarterly cash dividend of $0.15 per share on the Company’s Class A and Class B common stock. The dividends are payable on December 14, 2012, to the holders of record at the close of business on November 30, 2012. Sinclair is currently trading at $13.21 so the combined dividend yield is 8.71%.
Net broadcast revenues from continuing operations were $226.4 million for the three months ended September 30, 2012, an increase of 49.0% versus the prior year period result of $151.9 million. The Company had operating income of $78.6 million in the three-month period, as compared to operating income of $52.4 million in the prior year period. Net income attributable to the Company was $26.2 million in the three-month period, versus net income of $19.2 million in the prior year period.
The Company reported diluted earnings per common share of $0.32 for the three-month period ended September 30, 2012 versus diluted earnings per common share of $0.24 in the prior year period. Excluding $3.4 million in one-time expenses related to the Company’s amendment of its bank credit facility, net of taxes, diluted earnings per share would have been$0.36 in the third quarter 2012.
Net broadcast revenues from continuing operations were $637.6 million for the nine months ended September 30, 2012, an increase of 36.5% versus the prior year period result of $467.2 million. The Company had operating income of $210.2 million in the nine-month period, as compared to operating income of $162.1 million in the prior year period. Net income attributable to the Company was $85.7 million in the nine-month period, versus net income of$53.1 million in the prior year period.
The Company reported diluted earnings per common share of $1.05 in the nine-month period ended September 30, 2012 versus diluted earnings per common share of $0.66 in the prior year period.
Sinclair Broadcast Group has an equity summary score of 9.9 out of 10 for a VERY Bullish outlook. The stock has a 12-month price target of $15.
Sinclair Broadcast Group, the largest and one of the most diversified television broadcasting companies, owns and operates, programs or provides sales services to 74 television stations in 45 markets. Sinclair’s television group reaches approximately 26.3% of U.S. television households and is affiliated with all major networks.