Second quarter corporate reports indicate that advertising is rebounding in many places. If the gains are sustainable in the last half of 2010, they may point to a healthy recovery for the industry.
Here are some signs of the 2010 ad recovery in the agency and media sectors:
- National CineMedia reported its advertising revenue increased 7.9% in the second quarter. National CineMedia operates the largest digital in-theater network in North America.
- Discovery Communications reported a 13% increase in ad revenue for its U.S. networks and a 38% increase for its international networks. Discovery owns cable networks like TLC and Animal Planet.
- The Omnicom international advertising agency group reported a 7.4% increase in United States revenues and a 5.9% gain in overall revenue.
- Bloomberg reported that increased advertising sales at local TV stations and cable networks guided Fox News to a $875 million profit in the recent quarter.
- TIME-Warner Cable reported a 24% increase in advertising revenue during the second quarter.
- WebMD Health Corp. said higher website advertising and sponsorship revenue helped it return to profitability in the second quarter of 2010. It reported revenue of 13 cents per share this year compared to a 25 cent per share loss in the second quarter of 2010.
- Barrons said a 9% rise in advertising helped CBS report $3.33 billion in second quarter revenue. CEO Les Moonves said mid-term elections would bring another increase in advertising this fall.
TheSpokesman Review added that the CBS ad recovery was assisted by local advertising, "which makes up about a fifth of CBS’s revenue," It said CBS local ad revenue rose 17% from a year ago.”