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My radio has similar problem to your. I measured the voltage on the power supply when it was disconnected from the radio, and it showed fluctuating voltages between 2.5-5V and 9V-12V. I assume that is causing the flashing screen. I tried inserting a headphone in the line out and "reply" connections but same problem. Its possible all I need is a power supply replacement and I think this one matches very closelyhttp://www.ebay.com/itm/400896447139
I tried inserting headphone jack in front jack (labeled Reply?) and also LINE OUT in the back .It is the same 'flashing' screen problem with headphone inserted and powered on.
Thank you for updating me. I will check this too. Do you think the fluctuating voltage I measured on the power supply could be normal occurance with no load?