Urban One Q3 Net Revenues Down 17.2%, $0.20 EPS Loss

RADIO ONLINE | Wednesday, November 18, 2020 | 2:23pm CT

Urban One

Urban One reported third quarter net revenue fell 17.2% to $91.9 million, from $111 million in 2019. Broadcast and digital operating income grew 1.3% to $44.2 million, while operating income decreased to $4 million from $31.1 million. Adjusted EBITDA was down slightly to $39.6 million from $38.7 million. The company posted a net loss of $12.8 million (-29 cents per basic share) as compared to a net income of $5.4 million (12 cents) in the year-ago period.

Urban One President/CEO Alfred C. Liggins III stated, "During the third quarter, we saw continued sequential improvements in radio revenues: compared to Q2 2020, our radio segment revenues were up 54.3%. This improvement will continue into fourth quarter, where same station radio division revenues are currently pacing down only mid-single digits compared to Q4 2019 including political advertising. Most remarkably, despite the ongoing impact of the Covid-19 pandemic, we were able to grow our Q3 2020 Adjusted EBITDA by 2.3% compared to Q3 2019 and by 61.3% compared to Q2 2020. This was largely driven by impressive performance in our TV, Digital and Reach Media divisions, all of which grew their Adjusted EBITDA by double digit percentages, or better, year-over-year."

He added, "During this 2020 election cycle we have seen record-breaking political advertising revenues, in excess of $20 million across our entire platform of radio, digital and TV assets. I believe this reflects the increasing recognition of the importance of our audience, and the trusted platform we provide our clients to reach black America. This strong operating performance will push full year 2020 Adjusted EBITDA guidance into the $125-$130 million range, which will be a tremendous achievement given the economic impact of Covid-19, and is a testament to the dedication and talent of our staff."