|
AirMedia Continues Profit Slide, Rev Climb
Beijing-based out-of-home advertising network operator AirMedia Group Inc. (Nasdaq:AMCN) booked a net loss of $9.6 million in the third quarter of 2009, compared with $7.5 million profit in the same period last year and a loss of $7.0 million in the previous quarter. Total revenues came to $37.7 million, up 11.9% year-on-year and 2.5% sequentially, with airport-based digital frame revenues up 68.7% year-on-year to $17.1 million, airport digital TV screens revenues down 35.7% year-on-year to $8.4 million and airplane-based digital TV screens revenues 38.5% lower on an annual basis at $4.1 million. Revenues from traditional media in airports increased 269.8% year-on-year to $7.3 million, which the company attributed to the net addition of three airports to its network in the quarter.
The company incurred concession fees of $27.9 million, up 95.5% on an annual basis, from newly entered or renewed concession rights contracts, but down 0.5% quarter-on-quarter as four airports had lowered their fees in the period.
AirMedia said it expects total revenues of $44.0 million to $46.0 million in the fourth quarter of 2009, representing an increase of 8.7-13.7% year-on-year, or 16.6-21.9% quarter-on-quarter. The company anticipates concession fees of at least $33.3 million in the quarter.
As of November 9, AirMedia had installed its media, including scrolling light boxes and billboards, in 191 China Petroleum & Chemical Corporation (Sinopec) (600028.SH, 0386.HK, NYSE:SNP) gas stations in Beijing, as well as 112 in Shanghai and 76 in Shenzhen. The company said it would start running advertisements on a trial basis on the network later this month.
|
