Saga munications(SGA)2024-08-09 20:05Revenue and Income - For the six months ended June 30, 2024, approximately 90% of the radio stations' gross revenue was from local advertising, compared to 89% for the same period in 2023[82]. - Net operating revenue for the three months ended June 30, 2024, was 29,175,000 in the same period of 2023[94]. - Operating income for the three months ended June 30, 2024, was 4,296,000 in the same period of 2023[94]. - Net income for the three months ended June 30, 2024, was 3,350,000 in the same period of 2023[94]. - Consolidated net operating revenue for Q2 2024 was 433,000 or 1.5% compared to Q2 2023[96]. - Net income for Q2 2024 was 0.40 per share), a decrease of 3,350,000 (53,406,000, down 54,479,000 in the same period of 2023[102]. - The company reported an operating loss of 5,475,000 from operating income of 924,000 (3,346,000 from 0.70 per share) in the first half of 2023[105]. Expenses and Costs - Station operating expenses increased by 5.1% to 22,407,000 in the same period of 2023[94]. - Station operating expenses for the first half of 2024 were 2,415,000 or 5.5% compared to the first half of 2023[103]. - Interest expense increased by 65.1% to 43,000 in the same period of 2023[94]. Market and Advertising - The company expects political revenue in 2024 to increase from 2023 levels due to more elections at national, state, and local levels[83]. - The five largest markets represented approximately 36% of consolidated net operating revenue for the six months ended June 30, 2024[91]. - The company continues to expand its digital initiatives to enhance advertising opportunities and audience engagement[89]. Cash Flow and Capital Expenditures - Cash flows from operating activities for the first half of 2024 were 6,038,000 in the same period of 2023[110]. - Capital expenditures for the six months ended June 30, 2024, were 5.0 million to 5,000,000 of debt outstanding at June 30, 2024, related to the Lafayette acquisition[109]. - The company completed the acquisition of radio assets for 5.85 million[113]. - Future acquisitions and dividend payments are expected to be financed through operations, borrowings, or a combination thereof, with no assurance of availability on acceptable terms[114]. - The company has future cash obligations under various contracts, which will be financed through operations or additional borrowings[115]. Dividends - Dividends declared in 2024 totaled 6.9 million, compared to 18.6 million in 2023[114]. Inflation and Market Risk - Inflation has not significantly impacted operations to date, but rising costs of goods and services are being observed[116]. - There have been no material changes to the market risk information included in the 2023 annual report[117].