Salem Media Group Inc. reported a decrease in revenue but an enormous jump in net income because of tax reform.
The Camarillo broadcaster of Christian and politically conservative content reported net income of $22.4 million (85 cents a share) for the fourth quarter ended Dec. 31, compared to net income of $3 million (11 cents) for the same quarter a year earlier. Total revenue decreased 4.9 percent to $67.2 million
For the full year, the company reported profit of $24.6 million (94 cents a share) on revenue of $264 million.
In the fourth quarter, the company reported a $23 million tax benefit from the Tax Cuts and Jobs Act of 2017.
In a conference call with investors and analysts Friday, Chief Executive Edward Atsinger attributed the revenue decline to the fact 2017 was a non-election year, while 2016 was a presidential election year with high media consumption for the company’s audience.
Shares of Salem (SALM) closed Friday down 5 cents, or 1.3 percent, to $3.95 on the Nasdaq.