Townsquare Media Q3 Net Revenue Up 8.4% to $120.6 Million

RADIO ONLINE | Wednesday, November 9, 2022

Townsquare Media

Townsquare Media reported third quarter net revenue increased 8.4% to $120.6 million from $111.2 million in 2021. Broadcast Advertising net revenue gained 3.4%, while Digital advertising net revenue rose 21.3%. Adjusted EBITDA grew 6% to $30.9 million from $29.2 million. Adjusted EBITDA (excluding political) was up 3.1% to $29.6 million from $28.7 million. The company posted a net income of $2.8 million (13 cents per diluted share) as compared to $12.9 million (47 cents) in the year-ago period.

"I am proud to report another record setting quarter of results that clearly demonstrate the undeniable success and differentiation of Townsquare's transformation into a Digital First Local Media company. The Townsquare Team reached alltime Q3 highs with net revenue growth of +8% year-over-year, and Adjusted EBITDA growth of +6% year-over-year, meeting our Q3 guidance. In addition, net leverage declined to an all-time low of 4.54x as we continue to make progress towards our 4x net leverage target," commented CEO Bill Wilson.

"Our growth engine has been and will continue to be our digital solutions, which were the primary driver of our third quarter growth, accounting for half of Townsquare's total revenue and total profit. Total digital revenue increased +17% year-overyear in the third quarter, and trailing twelve-month digital revenue grew to $225 million. As a uniquely positioned Digital First Local Media Company focused principally on markets outside of the Top 50 in the United States, Townsquare has a resilient digital growth engine supported by both a recurring subscription digital marketing solutions business, with a large addressable market and limited competition, and a highly differentiated digital advertising technology platform," he added.

Looking ahead the the fourth quarter, net revenue is expected to be between $116 million and $122 million (+5% to +10% as compared to the prior year), and Adjusted EBITDA is expected to be between $27.7 million and $30.7 million (+8% to +20% as compared to the prior year).