A.H. Belo Corp. today reported net income of $4.6 million, or $0.20 per diluted share, for the third quarter of 2010 compared to a net loss of $5.8 million, or $0.28 per diluted share, in the third quarter of 2009, a company release said.
Earnings before interest, taxes, depreciation and amortization (“EBITDA”) was $14.2 million, an increase of $20 million compared to the third quarter of 2009. Third quarter 2010 EBITDA includes pension expense of $1.6 million; a $1.1 million bonus accrual; a $1.4 million gain on two real estate transactions in Dallas; a $1.2 million reversal of an accrual for workers’ compensation insurance; and $1.1 million of insurance proceeds.
When pension expense is added to EBITDA (“Adjusted EBITDA”) in both periods, the resulting Adjusted EBITDA in the third quarter of 2010 was $15.8 million, an increase of $21.6 million compared to the third quarter of 2009.
“The Board and Management Committee are very pleased with the progress reflected in A. H. Belo’s third quarter performance," chairman, president and chief executive officer Robert W. Decherd said in the release. "Our corporate and operating unit teams have worked intensely for the past two years to reach this relative stability in an industry environment that continues to change at a rapid pace.
"Third quarter total revenue decreased 6.1 percent compared to 2009 and was only 100 basis points below the company’s 2010 Financial Plan for the third quarter.
"Expense containment and cost reductions remain top priorities across the entire organization.
"As of Sept. 30, the company had approximately $81.3 million of cash and cash equivalents, no borrowings outstanding under its bank credit facility, and remained in compliance with bank covenants.
"The addition of $21.3 million of cash and cash equivalents during the third quarter further strengthens the company’s ability to maintain and enhance the quality of its local content and make decisions in the long-term interests of the company, its shareholders and its employees.”