Salem Communications, a national radio broadcaster of Christian content, reported earnings of $2.7 million, or 11 cents per share, on sales of $50 million for the first quarter of 2006 due to increased revenues from the news talk stations and Internet market. Earnings increased 14 percent from earnings $2.4 million, or 9 cents per share on sales of $52.6 million in the same period for 2005. In a statement Edward G. Atsinger III, president and CEO of Salem said, “Radio broadcasters faced a challenging advertising environment in the first quarter with industry revenue flat compared to the comparable period last year, Atsinger said that Revenue for News Talk stations increased 7 percent and Internet business increased 30 percent in revenues compared to last year. Salem expects to have earnings ranging between 10 to 12 cents per share, with net broadcasting revenues between $54.2 and $54.7 million for the second quarter. End of year corporate expenses are estimated at $21.5 million, not including stock-option expenses up to $3.5 million and $900,000 in broadcasting operating expenses. Acquisition and other related expenses should amount to $12 million while maintenance of capital expenses should be $7 million.
