Weekly television digest (Jan-Dec 1963)

NEW SERIES VOL. 3. No, 5 TELEVISION DIGEST— 3 FINANCIAL PROFILE OF BROADCASTING FIRMS: Tnily impressive record of publicly traded TVI radio broadcastiag companies has been documented for our subscribers in at-a-glance profile form by Television Digest, with aid of experienced financial analysts. Up-to-the-minute financial profile shows good earning trend in these companies, as might be expected in continually expanding broadcast field. Most of the companies show conservative financing, and, of course, there's indication of strong continued growth potential. Most shares of broadcasting firms are selling at or near their 1962-63 highs. Broadcasting was one of only 6 major industry groups whose stocks showed aggregate price rise from end of 1961 to end of 1962, out of total of more than 70 groups. Tabulation below includes those firms whose primary activity is TV station operation, doesn't cover those with heavy non-TV-stotion components — networking, radio, manufacturing, publishing, theaters, etc. In our continuing series of financial analyses, here is our specially prepared profile of 9 TV-radio broadcasters. We'll be interested in hearing from subscribers of any other related areas they'd like to see profiled. By the way, there ore reports that Cox Stations group, now busily acquiring CATV systems, is considering spinning TV-radio-CATV properties off from newspaper holdings — and making public stock offer. Capital Cities Broadcasting Gross Telecasting Metromedia Rollins Outlet Co. Broadcasting Storer Broadcasting Taft Broadcasting Trans continent Television Wometco Enterprises CAPITALIZATION, Year ended 12/31/61 12/31/61 12/31/61 4/30/62 12/31/61 3/31/62 6/30/62 12/30/61 Long-term debt $23,938,467 $25,743,212 K207,041 $2,156,344 $5,872,954 $6,501,787 Minority interest 249,504 Preferred 1,500,000 Common & surplus 4,509,276 K423,984 11,870,083 $10,821,665 4,011,694 $32,390,547 9,921,718 16,845,760 10,845,760 Common, shares 1,168,223 400,000 1,707,057 497,100 956,496 2,437,450 1,578,938 1,768,272 1,008,757 ANNUAL EARNINGS PER COMMON SHARE (a) 1958 $ .27 $1.92 $ .61 $1.80 $ .33 $ .68 $ .73 $ * $ .46 1959 .33 1.68 1.00 1.70 .47 2.16 .99 * .56 1960 .70 1.60 1.01 1.56 .38 2.05 .99 .67 .72 1961 .93 1.46 .67 1.93 .45 1.83 1.17 .75 .93 1962 (b) 1.25 1.48 1.15 1.95 .53 2.20 1.45 .93 1.14 STOCK MARKET DATA Common traded ASE O-T-C NYSE NYSE ASE NYSE NYSE O-T-C O-T-C 1962-63 price range 21%-10V4 213/4-18 18-10% 25Va— 19 14%— 101/4 331/4-271/4 22-13 12Va-7% 20VB-12V4 Recent price 193^ 213/4 17% 22% 13% 33% 22 12Va 193/4 Dividend, annual rate (c) None $1.60 30c $1.20 40c $1.80 50c 50c 60c Yield 7.4% 1.7% 5.4% 3.0% 5.3% 2.3% 4% 3.0% Price earnings ratio (b) 15.5 14.7 15.5 11.5 25.2 15.4 15 13.4 17.3 (a) Adjusted for all capital changes and most non-recurring items, (b) Latest 12 months earnings, (c) Metromedia paid 10c extra in 1962; Taft, 10c extra in 1962 and 2V2% stock in 1960, 1961, & 1962; Wometco, 40% stock in 1962. * Not comparable. AUSTIN — BATTLE OF CATV GIANTS: The powerful political name of Vice President Lyndon Johnson has been added to community antenna business. Lost week, Austin, Tex. City Coimcil granted CATV franchise to Capital Cable Co., in which Mrs. Johnson's LBJ Corp. has option for 50%. Capital Cable is subsidiary of Midwest Video, big Ark.-based CATV operator headed by C. Hamilton Moses — also a substantial political figure. LBJ Corp. controls city's KTBC-TV (Ch. 7). City's grant to Capital Cable come after bitter fight involving 3 other competitors — all of them big CATV gims: (1) Independent Cable TV of Austin, including NCTA Chmn. Glenn Fliim of Tyler and Austin newspaper. (2) Vumore Corp., owned by RKO General. (3) Mico Corp., Dallas, represented by Frank Valentine, attorney for multimillionaire C. A. Sammons, long a major CATV owner. (Flinn, incidentally, last week reported sale of his Tyler & Jacksonville, Tex. systems, with about 9,000 connections, to Dallas businessman Jack Vaughn — price undisclosed.) Capital Cable won in 4-0 vote after bitter battle before City Council. Its franchise is non-exclusive.