Audacy Q2 Revs Rise 5% to $319.4 Million, Posts Loss

RADIO ONLINE | Friday, August 5, 2022 | 12:05pm CT

Audacy

Audacy reported second quarter net revenues rose 5% to $319.4 million from $304.5 million in 2021. Core spot revenues were $200.5 million and were flat, while digital revenues grew 19% to $69.3 million. Total operating expenses were $296.2 million up from $282.8 million. Operating income rose to $23.3 million from $21.7 million, while Adjusted EBITDA declined to $38.5 million from $39.9 million. The company posted a net loss of $773,000 (0 cents) as compared to a net income of $1.4 million (1 cent) in the year-ago period.

Chairman, President and CEO David J. Field stated, "After a very strong first quarter in which we grew revenues by 14% and significantly increased margin, our second quarter results were adversely impacted by declining macroeconomic conditions and ad market headwinds which reduced our top line growth to 5%.

"While we navigate the turbulent current market conditions, we are excited by our future growth potential across our scaled, multi-platform businesses, capitalizing on a number of important recent developments that include an enhanced national sales organization, expanded podcast and streaming audio networks, and during the second half of this year, the rollout of a new, reimagined digital platform and ad tech capabilities that will enable us to unlock pools of ad demand and supply that we can't effectively monetize today.

"Our transformational development over the past couple of years has meaningfully enhanced our competitive position, strengthening our capacity to serve listeners and customers and enabling a powerful set of opportunities for revenue and EBITDA growth in the dynamically growing audio market."

Audacy announced on August 1, the company received notification from the New York Stock Exchange (NYSE) that its Class A common stock is not in compliance with the NYSE's continued listing standard requiring a minimum average closing price of $1.00 per share over 30 consecutive trading days. The notice did not result in the immediate delisting from the NYSE. The company plans to notify NYSE that it intends to regain compliance, and is considering all available options that are in the best interests of the Company and its shareholders.

Audacy can regain compliance with the NYSE continued listing requirements at any time during a six-month cure period if, on the last trading day of any calendar month during the cure period, the common stock has a closing share price of at least $1.00 and an average closing share price of at least $1.00 over the 30 trading-day period ending on the last trading day of that month.

Under NYSE rules, the Audcay's common stock will continue to be listed on the NYSE during the cure period, subject to the company's compliance with other NYSE continued listing requirements.