MONTREAL – Thanks to the newest season of Loft Story, results at Cogeco Radio and Television’s broadcast outlet TQS look a lot better this quarter, at least in the ratings.
Cogeco president and CEO Louis Audet told financial analysts Monday that during the nine-week run of the show, it pulled in about 1.4 million viewers on Sundays and over a million on the other two days in a week it aired. Then, of course, it "pulled the rest of the schedule with it," said Audet.
While the company’s far larger cable division drives the company, in the media sector, radio (the Rythme FM franchise) continues to grow both audiences and advertising revenue.
During the second quarter and first six months of fiscal 2006, revenue increased by $1.4 million and $2.9 million respectively. All radio stations contributed to the increase in revenue. Furthermore, revenue and operating expenses for the Sherbrooke and Trois-Rivières RYTHME FM stations are no longer capitalized since August 31, 2005. Television revenue decreased by 1.9% and 3% in the second quarter and first six months, respectively, due to a decline in TQS’s audience ratings and to the advertising market that remains difficult for conventional television in the Francophone market.
The operating income before amortization declined by $1.8 million and $4.2 million in the second quarter and first six months of fiscal 2006. For the second quarter and first six months, TQS’s operating income before amortization decreased as a result of greater investment in television programming, combined with lower revenue growth.
During the second quarter of fiscal 2006, radio’s operating income before amortization improved due to revenue growth. For the first six month, radio’s operating income before amortization improved due to revenue growth, which was partially offset by additional royalty expenses following the Copyright Board October 14th decision on SOCAN tariffs.
