Univision to Split Stock; Profit Rises 63%

Univision Communications Inc., the largest Spanish-language television network in the U.S., said it will split its stock 2 for 1 to make its shares more affordable.

The Los Angeles-based company said stockholders as of July 28 will receive one additional share for each share held, payable Aug. 11. Univision will have about 134.6 million Class A common shares outstanding after the split, its second since the company went public in 1996.

Univision also said second-quarter net income rose 63% to $33.4 million, or 28 cents a share, up from 17 cents in the year-earlier quarter. Per-share results are stated on a pre-split basis. Revenue rose 34% to $231.1 million.

The company said it aired the 70 most-watched Spanish-language TV programs in the quarter. Univision reaches 92% of U.S. Latino households through its own stations and broadcast and cable affiliates.

Univision was expected to earn 24 cents a share, the average estimate from eight analysts polled by First Call/Thomson Financial.

After-tax cash flow rose to $54.3 million, or 45 cents a share, from $40.6 million, or 34 cents, a year ago, the company said.

Univision shares fell $1.69 to close at $109.31 on the New York Stock Exchange. The firm announced the split and its earnings after the close of regular U.S. trading. Univision shares have risen 51% the last year.