Contrasting fortunes for midlands radio stations
Published 18/12/2012 | 05:00
Two commercial radio stations in the midwest enjoyed contrasting fortunes last year, figures show.
According to accounts filed with the Companies Office, the firm behind Limerick Live 95, Treaty Radio Ltd, recorded pre-tax profits of €873,351 after revenues increased from €2.824m to €2.876m.
The firm is owned by UTV and the directors' report states that the revenue increase "outperformed the market, given the extremely difficulty traditions".
The directors state that the company's operating costs increased by 4pc to €2m last year, resulting in the company recording an "acceptable" operating profit of €873,3521 – down 2pc on the €897,497 profit recorded in 2010.
Numbers employed by the firm last year increased from 40 to 41 with staff costs increasing marginally from €1.1m to €1.14m.
Separate accounts just filed by the firm that operates Clare FM show that losses at the company continued to mount last year.
The figures show pre-tax losses at Clare Community Radio Holdings plc increased last year by 47pc to €91,778.
The losses increased at the firm after revenues decreased by 6pc from €1.456m to €1.369m.
However, chairman of Clare FM Liam O'Shea said yesterday that there are signs that the company will return to profit this year.
Mr O'Shea said that a portion of the losses are attributable to Clare FM purchasing a new 9,000 sq ft HQ in 2011.
He said: "There was a substantial cost in that achievement for the company as some of the installation and refurbishment was completed 'in-house' and is reflected in our accounts for the year. In 2011 we also purchased and equipped a brand new Outside Broadcast Unit."
The accounts show that the firm took out a loan of €650,000 to finance the purchase.
The loss last year takes account of non-cash depreciation costs of €90,691. Numbers employed last year remained static at 28. Shareholder funds stood at €1.4m
"Without a doubt all media businesses in the country have suffered badly over the past few years with advertising revenue down substantially."
"We have some exciting plans in place and we look forward with great optimism to 2013 and to all the challenges and new developments that we have in the pipeline," he said.