Good afternoon everyone and welcome to Entravision’s Third Quarter 2019 Earnings Conference Call. [Operator Instructions]. At this time I’d like to turn the conference over to Mr. Walter Ulloa, Chairman and Chief Executive Officer. Please go ahead.

Thank you, Jamie. Good afternoon everyone and welcome to Entravision’s Third Quarter 2019 Earnings Conference Call. Joining me on the call today is Jeffery Liberman our President and COO; and Chris Young our Chief Financial Officer. Before we begin I must inform you that this conference call will contain forward-looking statements that are subject to risks and uncertainties that could cause actual results to differ. Please refer to our SEC filings for a list of risks and uncertainties that could impact actual results.This call is the property of Entravision Communications Corporation. Any redistribution retransmission or rebroadcast of this call in any form without the expressed written consent of Entravision Communications Corporation is strictly prohibited. Also on this call will include non-GAAP financial measures. The company has provided a reconciliation of these non-GAAP financial measures to their most directly comparable GAAP measures in today’s press release. The press release is available on the company’s website and was filed with the SEC on Form 8-K.Our third quarter results were adversely impacted by revenue declines in our audio and digital business segments compared to the prior year. However, our television division revenues did remain constant despite non-recurring political in the prior year period due to increases in revenues from spectrum usage rights and retransmission consent revenue.Looking beyond the general business environment our balance sheet continues to be solid with approximately $158 million in cash and marketable securities on the books versus a total debt of $244 million. During the quarter we also – we were also active in buying back our stock with approximately 470,000 shares repurchased at an average price of $2.84 per share. We also continue to return capital to our shareholders through our quarterly dividend.Now turning to our financial performance, Revenues decreased 8% to $68.8 million in the third quarter.…

Thank you, Walter and good afternoon everyone. As Walter has discussed net revenue for the quarter was down 8% to – at $68.8 million compared to $74.6 million in the same quarter of last year.Operating expenses decreased 2% to $43.3 million and consolidated adjusted EBITDA decreased 19% to $9.1 million.For the quarter revenues in our TV segment were flat at $36.4 million. During the third quarter last year we generated $1.5 million in political which did not return. This shortfall was offset from an additional $1.5 million in spectrum usage rights revenue which totaled $2.7 million during the quarter.Retransmission consent revenue for the quarter was $8.8 million and was up 4% over the prior year period. Radio net revenue for the quarter was down 6% to $14.8 million compared to $15.8 million in the same quarter of last year. The decrease in our radio segment was primarily due to a decrease in national advertising revenue related from World Cup slightly offset by an increase in local revenue.Digital revenue for the quarter was down 21% to $17.6 million compared to $22.4 million in the same quarter of last year. The decrease was primarily due to a growing trend of digital advertising moving over to programmatic platform in the recent months both domestically and more recently in international markets.Operating expenses decreased 2% to $43.3 million from $44.1 million in the prior year period. The decrease was primarily due to a 4% decrease in our radio division and an 11% decrease at our digital division arising from certain expense control measures the company undertook in April of last year partially offset by a 3% increase in operating expenses at our TV division arising primarily from an increase in fees due to networks related to retransmission consent agreements at our English language TV stations.Corporate…

[Operator Instructions] And our first question today comes from Michael Kupinski from NOBLE Capital Markets.

First of all in terms of the TV pacings for the fourth quarter I was wondering if you can give us a little bit more color on what you’re seeing in core particularly auto of course which is a big category for you. If you can just give us some thoughts on the categories.

Michael auto for the fourth quarter is pacing at a minus 7%. There has been some softness primarily arising from the strike activity that recently got settled but that has had a negative impact on our fourth quarter business. Right now auto is a minus 7%.

Got you, and then in terms of – what are your expectations for political in the fourth quarter? Because the thought is that there might – you might get a little political in the fourth quarter especially with the early primary votes in California and so forth. I was wondering if you can just give us some thoughts on political.

Well the political – real political event for us in the fourth quarter is actually first quarter. It’s going to be the California primaries. And that’s because you had got such a big part of the constituency mailing their ballots in they’re going to start advertising early. And we still feel that December will be a pretty hot month for us as far as the California primaries are concerned.So we don’t really have much per se on the books as we sit here today. But we do expect that amount could be material. We’ll also have a primary early on in Nevada that also could yield some pretty interesting results. And we’re already starting to see that money trickle in as we speak.

Got you. And at least – for at least your thoughts at least for now with the TV pacing down 19% you’re not factoring in much political into that guidance I suppose?

Yes. That’s just the pace and we’ve got no real political factored into that minus 19% that’s correct.

Yes. And we haven’t – Michael we have not – we’re not forecasting any political dollars in Q4 as well. But we are seeing signs of political activity in some of the states where we operate certainly in Nevada will be an early primary. California has moved up to March now Texas as well in March. So even though we don’t have any – we don’t have any significant revenue on the books yet in political we expect to see some activity in December. But again nothing forecasted.

Got you. And I know Walter you had in the past indicated that you’d like to see digital as a significant portion of the company and your recent stumble in the digital area. Has that changed your mind about the prospect of investments in this area? What are your thoughts in terms of the growth of the business? Are you optimistic that you can turn this around and really start to see a lot of traction? And in terms of having a lot of cash there what are your thoughts in terms of where you might seek M&A opportunities?

Okay. We continue to be positive and bullish about our digital businesses. We have had some missteps this year but I believe strongly that we corrected. We made that whatever corrections we had to make including management changes. Certainly I’m pleased with the pace for Q4. I think we have a much better reporting throughout our digital platform as it relates to weekly information monthly information the people that we have running our different units particularly our sales operation.So I continue to be – to believe that we’re on the right track as it relates to digital. As you know as well as I or better. Most of the new ad dollars are all going into digital. So that’s where the growth is and that’s where we expect to continue our focus. Developing products which are I’ll call it say special or particular to the Latino market is something that we also continue to work on. Using our expertise in technology around digital and transferring that expertise to the U.S. via the Latino market is something that I’m continuing to talk to our team about every day.As it relates to M&A activity I mean we – I would say we would probably look at M&A opportunities with an eye on television and digital maybe first and then we look at radio opportunities second or third. I mean certainly Univision television opportunities would be something that we’re interested in. Beyond that I don’t see us moving into general market not – certainly not the way – or because of the fact that general market has continued to consolidate and there are already two or three major consolidators.So – and then digital we’re always looking at digital products. We’ve got two or three that we’re looking at right now. And we want to make sure that they are not only a cultural fit a strategic fit. And I’m certainly much more I’ll call it – we are much more assertive about looking at digital products now that we have our digital business unit well organized.

And a final question. You talked a little bit about the ratings of the stations. I was wondering the ratings for Univision network overall. Has that stabilized? And are you seeing at least some stabilization of the ratings slide for the network itself?

Yes we are. We’re starting to see improvement in Univision ratings. I mean we look at certainly network but we pay more attention to our markets and we’re seeing improvement in our market in terms of the ratings performance. So that’s – that gives us some confidence that Univision is on the right track here. We knew that they would – they bounce back they always have. They’ve been the leader in Spanish language programming for 50 years.So occasionally they’ve had some setbacks but we believe they’ve regained their focus. They’re doing something interesting. They’re retooling old classic novellas were hugely popular 20 30 years ago and they’re updating them and making them shorter in terms of the chapters and more I’ll call it more in touch with today’s audience. We’ve seen increases. And just to mention a few we’ve seen increases in Univision prime time ratings in San Diego Washington D.C. Tampa Denver and Las Vegas. And this increased rating in the 10:00 p.m. time slot certainly has had a positive impact on our local late news offering.

And I’m sorry I do have 1 more question. You indicated earlier that in earlier calls that your – some of your markets were being affected by – especially your border markets being affected by the economies and maybe some of the immigration issues that you were – that we were seeing out of Washington. Are – has those markets stabilized or started to come back? Or are they still suffering?

No they’ve come back. I’ll say that they’re led by San Diego in particular had a great performance in the past few quarters and even earlier. El Centro is doing well. El Paso is performing well despite the tragedy of – that occurred there in the summer. But it has bounced back and is on track. We’ve got an excellent manager there in El Paso. So that’s certainly helps the overall performance of the – of our media cluster.We have seen some softness in McAllen with our television and radio business but we’re doing some things to strengthen that and providing more support to the management team down there and obviously giving it more attention. We do want to turn that market around. It’s a very important market for us. It’s one of our largest media markets. So we certainly want to make sure that it’s performing at the highest level.

[Operator Instructions] And ladies and gentlemen at this time I’m not showing additional questions. I’d like to turn the conference call back over to management for closing remarks.

So thank you Jamie and thank you everyone for participating in our third quarter earnings call. We look forward to speaking to all of you in the New Year and report our fourth quarter results for 2019 and as well as our pacings for Q1 of 2020. And also our year results total 2019 results. So thank you.

Ladies and gentlemen that does concludes today conference call. Thank you for joining. You may now disconnect your lines.