Capital Cities-ABC Profit Up Sharply

Capital Cities-ABC reported first-quarter operating income of $1.97 million, not including a one-time gain of $279.9 million from the sale of three television stations, its cable television system and three radio stations. Including the one-time gain, first-quarter profit totaled $281.9 million. Net income for the first quarter of last year was $27.74 million.

The properties were sold in conjunction with the merger of Capital Cities with American Broadcasting Cos., which was completed Jan. 3.

Revenue, including ABC, totaled $912.3 million in the first quarter, compared to $234.1 million a year earlier.

Capital Cities-ABC said the first quarter was adversely affected by weak network advertising demand and a declining audience share for the ABC Television network, but “all other operations met or exceeded expectations.”