Entravision Communications Corporation (NYSE:EVC) Q3 2019 Earnings Conference Call - Final Transcript

Nov 07, 2019 • 05:00 pm ET

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Entravision Communications Corporation (NYSE:EVC) Q3 2019 Earnings Conference Call - Final Transcript

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Presentation
Executive
Walter F. Ulloa

a change in format national agencies need to see results usually six to nine months prior to purchasing the station. On a local basis we have seen revenue improvement in each quarter of 2019 and positive pace starting in Q2 and continuing in Q3. We are pleased to announce that our Jose station continues to be a top-ranking radio station in Los Angeles a highly competitive market. For the month of September in Hispanic adults 18 to 49 KLYY ranked as the number two Spanish language radio station in the metro during morning drive and the #1 Spanish language radio station in afternoon drive. Jose also ranked as the #3 Spanish language radio station in prime among Hispanic adults 18 to 49. With this continued success we expect to see improved results in the fourth quarter and 2020 with our Los Angeles radio cluster.

The other area that contributed to our national sales decline was our radio network. Our network nationwide ratings which are released 2 times a year saw declines. These declines led to lower revenues for Q3. Our affiliate stations along with our owned and operated stations have seen an increase in ratings that will be reflected in the spring release will deliver to the industry in late summer. Besides the ratings increase we've also added a number of stations to our lineup that will help us strengthen the overall ratings of our audio network. We recently presented our Entravision network audio portfolio at a series of high-level meetings with the top national audio agencies in New York in advance of the 2020 network fine season. Our presentation focused on our value proposition of unique coverage top syndicated personalities and our digital audio technology via AudioEngage. Service is our largest advertising category for audio. It was the only category that saw an increase in spending in the third quarter improving by 5% over the prior year period. The increase in services came from increased spending by Matian Law Firm Freeway insurance Pacific Gas and Electric and Immigrantes Primero. All other categories were down. Overall our audio business added 28 new advertisers who spent more than $10000 during the third quarter which totaled approximately $541000 in advertising revenue.

Notable new brands in the third quarter included Khorshidi Law Firm The JLF Firm DCH Toyota of Torrance and Bank of America. Looking at our audio division ratings performance for summer 2019 among Spanish language radio stations Erazno y La Chokolata show is ranked #1 in 6 of our 6 markets released for summer among Hispanic adults 18 to 49 including ties; and #1 in 5 markets among Hispanic adults 25 to 54. Across our 7 O&O stations Erazno y La Chokolata show reached more than 563000 Hispanics 18 to 49. Other high-profile shows including El Genio Lucas and will show the El Show de Piolin anchor our morning drive and midday spots on La Suavecita network and on Jose and Los Angeles and Riverside. For summer 2019 Piolin ranked as