Sinclair Broadcast Clocks 15% Revenue Decline In Q1; Hopes On Political Advertising Cycle

Sinclair Broadcast Group, Inc SBGI reported a first-quarter FY21 revenue decline of 14.8% year-on-year to $1.29 billion, missing the consensus of $1.53 billion.
Total advertising revenues of $371 million were inline Y/Y. Distribution revenues of $873 million declined 21.3% Y/Y.
Adjusted operating income increased 70% Y/Y to $114 million.
EPS was $35.39 versus loss $(0.16) last year. The company noted the impact of adjustments in the quarter was $35.02.
Sinclair held $521 million in cash and equivalents.
CEO Chris Ripley said, "Political advertising is off to a strong start, exceeding our expectations for the first quarter and helping drive our Broadcast and Other first-quarter media revenue to the upper end of its guidance range."
Outlook: Sinclair expects Q2 revenue of $828 million - $847 million.
Price Action: SBGI shares traded higher by 3.34% at $24.14 on the last check Wednesday.