MEREDITH POSTS RECORD EARNINGS

Chairman-CEO Calls Year 'Outstanding'

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NEW YORK (AdAge.com) -- Meredith Corp. has reported its highest earnings ever, $128.1 million for the year ended June 30.
Meredith Corp.'s CEO hailed an 'outstanding' year.
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The publishing company said total revenue grew 5.1%, to $1.2 billion, while ad revenue grew 4.7%, to $737.1 million.

Meredith, which is based in Des Moines, Iowa, publishes major magazines such as Better Homes & Gardens and Ladies’ Home Journal and owns or operates 14 TV stations and one radio station.

Publishing: $908.8 million in revenue
The company’s publishing division collected $908.8 million in revenue, for an increase of 4.1% over the year before. Its broadcasting unit collected $312.5 million, up 8.3%.

In a conference call with investors and analysts, Chairman-CEO William T. Kerr called the year that just ended “outstanding.”

The first day of the new fiscal year, July 1, brought another milestone as Meredith closed its $350 million purchase of Family Circle, Parents, Child, Fitness and Ser Padres from Gruner & Jahr USA.

Significant growth expected
With the addition of Family Circle and the other Gruner & Jahr acquisitions, the company said it expects ad revenue at the publishing division to grow significantly during the first quarter of the new fiscal year.

Excluding its newly acquired magazines, Meredith said it expects publishing advertising revenue to grow in the “low-to-mid single digits” during the first quarter of the new fiscal year.

Broadcast ad revenues will suffer from the lack of major political campaigning and ongoing weakness in national advertising, but the company said strong local advertising activity will likely help take up the slack.

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