Salem Media Narrows Q2 Loss as Revenue Falls 15%

RADIO ONLINE | Wednesday, August 12, 2026 | 12:54pm CT

Salem Media

Salem Media reported a sharply reduced net loss for the second quarter of 2026 despite a 15% decline in revenue, as lower operating expenses and impairment charges helped improve the company's bottom line.

For the three months ended June 30, Salem posted total net revenue of $45.9 million, down 15.2% from $54.1 million in the year-ago period. The company reported a net loss of $3.4 million, or 11 cents per share, compared with a net loss of $17.6 million, or 55 cents per share, in the second quarter of 2025.

Operating expenses declined to $50.3 million from $76.5 million, while selling, general and administrative expenses fell to $40.2 million from $51.2 million. Salem's operating loss narrowed to $4.4 million from $22.3 million a year earlier.

The company said expenses excluding the impact of asset sales declined 17.8%, or $8.6 million, driven in part by $3.6 million in lower payroll-related costs from workforce reductions, along with decreases in professional services, facility, marketing and health insurance expenses.

Adjusted EBITDA turned positive at $1.2 million for the quarter, compared with an Adjusted EBITDA loss of $1.1 million in the year-ago period. For the first six months of 2026, Adjusted EBITDA was $542,000, compared with a loss of $5.7 million during the same period last year.

Salem recorded a $4.8 million impairment charge during the quarter related to broadcast licenses in 10 market clusters, substantially below the $25.2 million impairment recorded a year earlier. The affected 2026 markets were Boston, Chicago, Cleveland, Colorado Springs, Columbus, Los Angeles, Miami, Orlando, Philadelphia and San Francisco.

For the first six months of the year, Salem's revenue declined to $91.8 million from $105.9 million, while its net loss narrowed to $6.0 million from $24.7 million. Selling, general and administrative expenses decreased 20.2% to $81.9 million.

The company said first-half digital revenue fell $5.6 million primarily due to the loss of a podcaster, while programming revenue excluding political advertising declined $2.0 million, primarily at its Christian Teaching and Talk stations. Political revenue, however, increased 74% to $2.4 million as the 2026 election cycle boosted spending.

Salem ended June with $4.3 million outstanding under its asset-based revolving credit facility and $6.6 million in borrowing availability.

The results come as Salem moves toward its previously announced acquisition by The Christian Community Foundation, doing business as WaterStone. Under the agreement, WaterStone will acquire all outstanding Salem common shares for $1 per share and take the company private. The transaction has been approved by Salem's board and shareholders and was expected to close in August, subject to regulatory approval.