Cumulus Media Q1 Net Revenues Flat, Loss Narrows
|RADIO ONLINE | Tuesday, May 15, 2018|
Cumulus Media reported first quarter net revenue of $263.7 million, down 0.1% from $264 million in 2017. Total operating expenses totaled $238.5 million, down fro $243 million, while operating income (OI) grew to $25.1 million from $20.5 million. Radio station revenue fell $168.2 million from $173.6 million, while Westwood One revenue climbed to $94.7 million from $89.5 million. The company reported a net loss of $5 million (17 cents per diluted share) as compared to a net loss of $7.3 million (25 cents) in the year-ago period.
On November 29, Cumulus filed voluntary petitions for relief under chapter 11 of title 11 of the U.S. bankruptcy code in the U.S. Bankruptcy Court for the Southern District of New York. The Chapter 11 filings are being jointly administered under the caption In re Cumulus Media Inc., et al, Case No. 17-13381. On May 10, 2018, the Court entered an order confirming the company's Plan of Reorganization. The company expects to emerge from Chapter 11 before the end of the second quarter of 2018, after the conditions to the plan are satisfied.
Cumulus Media President/CEO Mary Berner said, "Despite ongoing market challenges, our first quarter results demonstrate continued operational traction and financial progress against our key priorities, with the Radio Station Group turning in its seventh straight quarter of revenue share growth and Westwood One delivering its fifth straight quarter of revenue share growth."
Berner continued, "With the recent confirmation of our plan, we are now able to complete the balance sheet restructuring which is a critical element of our turnaround plan. After we emerge from Chapter 11, we look forward to moving ahead with a firmer financial foundation in place and greater ability to execute on our many initiatives to further strengthen and build this business."