Entravision Communications Earnings: Here’s Why Investors are Buying Shares Now

Entravision Communications Corp. (NYSE:EVC) delivered a profit and beat Wall Street’s expectations, AND beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company. Shares are up 6.32%.

Entravision Communications Corp. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased 200% to $0.06 in the quarter versus EPS of $0.02 in the year-earlier quarter.

Revenue: Rose 4.51% to $56.95 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Entravision Communications Corp. reported adjusted EPS income of $0.06 per share. By that measure, the company beat the mean analyst estimate of $0.05. It beat the average revenue estimate of $56.1 million.

Quoting Management: Commenting on the Company’s earnings results, Walter F. Ulloa, Chairman and Chief Executive Officer, said, “During the second quarter, we achieved revenue growth driven by increases in both our television and radio segments. Core revenue (excluding retransmission consent revenue and political advertising revenue) from our television and radio segments outperformed their respective industry averages, and we improved our free cash flow over the second quarter of 2012. Our audience shares remain strong in the nation’s most densely populated Hispanic markets, and we believe we are well positioned to benefit as the U.S. Hispanic market continues to expand and advertisers increasingly recognize the importance of reaching our target audience.”

Key Stats (on next page)…

Revenue increased 16.01% from $49.09 million in the previous quarter. EPS increased to $0.06 in the quarter versus EPS of $-0.01 in the previous quarter.

Looking Forward: Analysts have a more positive outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has risen from a profit of $0.06 to a profit $0.07. For the current year, the average estimate has moved up from a profit of $0.15 to a profit of $0.2 over the last ninety days.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)

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