Salem reports profitable quarter, but loss for the full year
Salem Media Group reported a mixed bag of financial results for the fourth quarter and the full year of 2020 when it released its quarterly earnings report on March 4.
The conservative media group recently moved its corporate headquarters from Camarillo to Irving, Texas, though it kept some operations in Camarillo. In 2020, Salem cut costs in some corners and saw increases in revenue in others. Total operating expenses for the quarter ended Dec. 31 dropped almost 8% from the same quarter of 2019, from $63 million to $58.1 million, and operating income increased more than 280%, rising from $1.7 million to $6.4 million in the same time.
The company’s net income for the fourth quarter was $3.3 million, or 12 cents per diluted share, a $7.8 million improvement over one year before, when Salem lost $4.5 million, or 17 cents per share. Total revenue was $64.5 million, a drop of 0.2% from a year earlier.
But for the full year, the company’s net loss was $54.1 million, or $2.03 per share, nearly double the loss from 2019, when it lost $27.8 million, or $1.05 per share. Revenue for the year was $236.2 million, a drop of 7% from 2019.
Salem Media Group took some hits that impacted the company’s financial standing. Among the factors listed in the financial results were a $17.3 million impairment charge and a $1.6 million net loss on the disposition of assets.
The company also noted a few pending transactions. Salem Media Group applied for $11.2 million in PPP loans, and has already received $8.4 million in funding. Additionally, the company is selling three radio stations in Louisville for $4 million, and a radio station and FM translator in Miami for $3.5 million.