Financial Data and Key Metrics Changes - Total net revenue for Q1 2025 was $48.9 million, down 10.1% year over year, but down 8.5% on a same station basis [4][8] - Total operating expenses were $45.2 million, a decrease of nearly $4 million or 8.1% compared to the prior year [16] - Adjusted EBITDA for Q1 2025 was $1.1 million, up 28% from $900,000 in the prior year period [19][20] - Operating income for Q1 2025 was a loss of $2 million, compared to a loss of $1.1 million in the prior year [18] Business Line Data and Key Metrics Changes - Digital revenue accounted for 22% of total revenue, with digital segment operating income growing from $100,000 in Q1 2024 to $1.9 million in Q1 2025 [4][24] - Consumer services remained the largest revenue category, accounting for 30% of total revenue, but declined 15% year over year [10] - Legal services grew nearly 5% year over year, while HVAC grew 12% year over year [11][12] - National revenue, excluding political, declined 12.7%, while local direct revenue increased by 0.3% year over year [14][15] Market Data and Key Metrics Changes - Overall demand remained under pressure, with year-over-year declines consistent with broader industry trends [10] - Foreign automotive revenue was up 7.5%, while domestic automotive revenue declined 5% [13] - Local agency revenue declined 19.9% year over year, but local direct revenue showed resilience [14][15] Company Strategy and Development Direction - The company aims to accelerate digital growth, improve revenue quality, and execute with discipline [3] - A focus on high-margin digital products and deepening advertiser relationships is central to the company's strategy [4][5] - The company is committed to disciplined execution and long-term financial performance while investing in high-impact content and digital products [6][24] Management's Comments on Operating Environment and Future Outlook - Management acknowledged ongoing challenges in a cautious advertising environment and broader economic headwinds [10][32] - Revenue is currently pacing down 10% in Q2, primarily driven by continued macroeconomic pressure [32] - The company remains focused on cost management while funding initiatives in digital, content, and technology [33] Other Important Information - The company ended Q1 2025 with $12.2 million in cash on hand, down from $13.8 million at the end of fiscal year 2024 [20] - Capital expenditures were $800,000 in the quarter compared to $900,000 in the prior year [21] Q&A Session Summary Question: Update on cost savings initiatives - The company has realized the full amount of cost reductions implemented in 2024 in Q1, with an additional $1.3 million in cuts made in Q1 [34] Question: National performance in 2024 - National revenue is weaker in 2024 compared to the previous year, with Boston down consistent with overall declines, while Philadelphia and New Jersey saw double-digit growth [35] Question: M&A discussions and opportunities - There have been discussions regarding M&A, but uncertainty in the economy has softened some of these discussions; the company remains open to evaluating beneficial swaps [36]

Financial Performance - Beasley Media Group's total net revenue for Q1 2025 was $489 million[43] - The company's SOI (Station Operating Income) for Q1 2025 was $37 million[43] - Adjusted EBITDA for Q1 2025 was $11 million, with an adjusted EBITDA margin of 23%[43,47] - Corporate G&A expense for Q1 2025 was $40 million, including $05 million in severance and other one-time expenses[43] - Cash and cash equivalents totaled $122 million[43] Revenue Mix - Audio revenue for Q1 2025 was $382 million[21] - Digital revenue for Q1 2025 was $108 million, representing 22% of total net revenue[21] - Same-station digital revenue grew by 6% year-over-year[21] Digital Strategy - 49% of Q1 2025 digital sales were from Third-Party Inventory (TPP), while 51% were from Owned & Operated (O&O)[38,40] Audience Reach - Beasley's audio stations reach nearly 18 million listeners weekly across key markets[31] - The company has 150 million average weekly audience size for AM/FM stations, 31 million average monthly downloads for podcasts, and 26 million average unique streamers[13]

Core Viewpoint - Beasley Broadcast Group reported a decline in net revenue and an operating loss for the first quarter of 2025, primarily due to a soft advertising market and the closure of certain divisions, despite some growth in digital revenue and strategic cost management efforts [1][3][5]. Financial Performance - Net revenue for the three months ended March 31, 2025, was $48.9 million, a decrease of 10.1% from $54.4 million in the same period of 2024 [2][3]. - The operating loss increased to $2.0 million in Q1 2025 from a loss of $1.1 million in Q1 2024, driven by a $5.5 million reduction in net revenue [4]. - The net loss for the first quarter of 2025 was approximately $2.7 million, or $1.50 per diluted share, compared to a net income of $8 thousand, or $0.01 per diluted share, in Q1 2024 [5][21]. - Adjusted EBITDA for Q1 2025 was $1.1 million, up from $0.9 million in Q1 2024, reflecting the benefits of strategic streamlining initiatives [6]. Revenue Breakdown - Revenue from new business accounted for 18% of net revenue, while local revenue, including digital packages sold locally, represented 71% of total revenue [7]. - Digital revenue was $10.8 million, comparable to the first quarter of 2024, but increased by 6% year-over-year on a same-station basis, accounting for 22% of net revenue [7][8]. - The digital segment operating margin was reported at 18%, indicating a strong performance in this area [8]. Strategic Initiatives - The company emphasized its ongoing transformation and resilience in its core strategy, focusing on cost management and digital business growth to navigate macroeconomic challenges [7][8]. - Management expressed optimism about the scalability of its digital platform and the impact of strategic investments on long-term value creation for shareholders [8].

Financial Position - As of December 31, 2024, the company's FCC licenses represented 71% of total assets, indicating potential future impairment risks [106]. - The company had long-term debt of $220.1 million and equity of $147.2 million as of December 31, 2024, highlighting a substantial debt-to-equity ratio [107]. Dividend Policy - The company has suspended future quarterly dividend payments, which will depend on future operations, earnings, and capital requirements [108]. Revenue Sources and Risks - Stations located in Florida contributed 14% of net revenue in 2024, exposing the company to risks from hurricanes and extreme weather [110]. - The company relies on third-party contracts for distribution, which could be disrupted by various events, potentially affecting operating results [111]. Cybersecurity Concerns - Cybersecurity threats, including phishing and ransomware attacks, pose risks to the company's financial condition and operations [114]. Shareholder Control - The Beasley family controls 92% of the total voting power of the company's common stock, which may conflict with the interests of other shareholders [125]. - The Beasley family controls a significant portion of Class B and Class A Common Stock, impacting potential changes in control of the Company [130]. - Future sales of Class A Common Stock by the Beasley family could adversely affect its market price and complicate capital raising efforts [127]. Operational Challenges - The company faces challenges in integrating acquired stations, which may impact financial performance and operational efficiency [124]. - The company’s ability to attract and retain key personnel is critical for competitiveness, with potential losses to competing media entities [121]. Regulatory and Market Risks - The Company faces regulatory limitations on ownership and control transfers, which may adversely affect the trading price of Class A Common Stock [130]. - There may be a lack of an active market for Class A Common Stock, leading to potential price volatility and execution issues for investors [131]. - Historical fluctuations in stock price and trading volume may not correlate with the Company's operational performance [131]. - The Company’s operating results may fall below public market analysts' expectations, potentially leading to a significant decrease in stock price [131].

Financial Data and Key Metrics Changes - For Q4 2024, total net revenue was $67.3 million, a 2.3% increase compared to Q4 2023 [5] - Full year 2024 total net revenue was $240 million, a 2.8% decline compared to full year 2023 [15] - Same-station revenue for Q4 grew 4.4% [6] - Station operating income (SOI) for Q4 was $14.1 million, a 46% increase year-over-year [21] - Full year operating income totaled $13.1 million versus a loss of $82 million in 2023 [25] - Interest expense for Q4 was $3.5 million, a reduction of $3.4 million year-over-year [25] - Total principal outstanding on notes was $220 million, down from $267 million at the end of 2023 [26] - EBITDA for Q4 was $12.5 million, with full year lender EBITDA at $32.2 million, a 35% improvement versus the prior year [26] Business Line Data and Key Metrics Changes - Digital revenue accounted for 17.1% of total revenue in Q4, down from 19.4% in Q3, but total digital revenue increased sequentially [7] - For the full year, digital revenue as a percentage of total revenue reached 19.4%, up from 18.4% in the prior year [8] - National revenue, excluding political, declined 4.9% in Q4, an improvement from the 16% decline in Q3 [8] - Local over-the-air revenue declined 5.7% in Q4 [9] - Sports betting revenue for Q4 was $4.1 million, a $1.1 million decrease year-over-year [16] Market Data and Key Metrics Changes - Political revenue for Q4 was $8.3 million, helping to offset weakness in national and local ad spend [6] - The auto sector remained flat but took more share, rising to 9% of total revenue in Q4 [18] - Anticipated tariffs could drive up consumer vehicle prices significantly, leading to advertiser pullback in the auto sector [19] Company Strategy and Development Direction - The company executed strategic capital structure initiatives to improve leverage profile and reduce financial risk [5] - Focus on digital growth and enhancing digital operations to drive higher-margin offerings [30][32] - Plans to redesign digital platforms to enhance user experience and increase engagement [35] Management's Comments on Operating Environment and Future Outlook - Management anticipates continued near-term pressure in advertising due to economic uncertainty [12][38] - Same-station revenue is pacing down roughly 10% for Q1 2025, with significant declines starting in February [37] - Management remains focused on driving digital growth and strengthening advertiser relationships [38] Other Important Information - The company delivered over $20 million in annualized savings through workforce realignment and technology-driven efficiencies [5] - Corporate expenses for Q4 totaled $4.7 million, reflecting a reduction year-over-year [23] Q&A Session Summary Question: Which markets led in political revenue for Q4? - Significant political dollars were seen in Charlotte, Philadelphia, Detroit, and Las Vegas [41] Question: Are there signs of resumption in national advertising in Philadelphia and Boston? - National in Boston is pacing down, while national in Philadelphia is pacing up, but overall national pacing is down roughly 10% [43] Question: How much of the $20 million cost savings impacted 2024 numbers? - Improvements in EBITDA reflect annualized cost savings exceeding $20 million, with further reductions in Q4 contributing to additional savings [44][45] Question: What is the potential for regulatory changes and openness to station swaps or sales? - The regulatory environment seems ripe for deregulation, and the company is open to swaps or sales if the deal is right [46][47]

Financial Performance - Beasley Broadcast Group reported fourth quarter revenue of $67.3 million, a 2.3% increase from $65.7 million in Q4 2023[3]. - The company generated $8.3 million in political revenue during Q4 2024, which helped offset declines in commercial advertising[6]. - Operating income remained steady at $7.6 million for both Q4 2024 and Q4 2023, despite the absence of a one-time gain in Q4 2023[7]. - Beasley reported a net loss of $2.1 million, or $1.17 per diluted share, compared to a net income of $6.4 million, or $4.25 per diluted share, in the prior year[8]. - Net revenue for the three months ended December 31, 2024, was $67.29 million, a 2.34% increase from $65.75 million in the same period of 2023[25]. - The company reported a net loss of $(2.06) million for the three months ended December 31, 2024, compared to a net income of $6.38 million in the same period of 2023[25]. - Basic net income (loss) per share for the three months ended December 31, 2024, was $(1.17), compared to $4.26 in 2023[25]. Revenue Breakdown - Digital revenue accounted for 17.1% of net revenue, totaling $11.5 million, reflecting a 4.1% year-over-year decline[5]. - Digital revenue grew 2.9% year-over-year to $46.7 million, accounting for 19.4% of net revenue[12]. - Local revenue, including digital packages sold locally, represented 71% of net revenue in FY 2024[5]. Expense Management - EBITDA per Indenture for Q4 2024 was $12.5 million, up from $6.2 million in Q4 2023, due to disciplined expense management[9]. - The company achieved approximately $20.0 million in annualized expense reductions, improving its leverage profile and financial flexibility[10]. - Total operating expenses decreased to $59.70 million for the three months ended December 31, 2024, down from $58.17 million in 2023, reflecting a reduction of 2.63%[25]. - The company incurred severance expenses of $1.20 million for the three months ended December 31, 2024, compared to $0.23 million in the same period of 2023, indicating a significant increase in restructuring costs[31]. Cash Flow and Debt - Net cash used in operating activities improved to $(3.71) million for the twelve months ended December 31, 2024, compared to $(4.68) million in 2023, indicating a 20.6% reduction in cash outflow[29]. - Cash and cash equivalents decreased to $13.77 million as of December 31, 2024, down from $26.73 million in 2023, representing a decline of 48.6%[27]. - Long-term debt decreased to $247.12 million as of December 31, 2024, from $264.20 million in 2023, reflecting a reduction of 6.5%[27]. Future Outlook - Beasley aims to drive sustainable revenue growth and expand digital offerings while optimizing its sales approach in 2025[10]. - Adjusted EBITDA for the twelve months ended December 31, 2024, was $25.84 million, an increase of 17.5% compared to $21.97 million in 2023[31]. - Total assets decreased to $549.21 million as of December 31, 2024, from $574.27 million in 2023, a decline of 4.37%[27].

Core Viewpoint - Beasley Broadcast Group, Inc. reported mixed financial results for the fourth quarter and full year of 2024, with a slight increase in net revenue but a significant net loss due to one-time costs and operational challenges [3][4][6]. Financial Performance Summary - For the three months ended December 31, 2024, net revenue was $67.3 million, a 2.3% increase from $65.7 million in the same period of 2023, primarily driven by $8.3 million in political advertising [3][4]. - Operating income remained stable at $7.6 million for Q4 2024, unchanged from Q4 2023, despite the absence of a one-time gain from the previous year [5]. - The company reported a net loss of $2.1 million, or $1.17 per diluted share, compared to a net income of $6.4 million, or $4.25 per diluted share, in Q4 2023 [6][22]. - EBITDA per Indenture for Q4 2024 was $12.5 million, up from $6.2 million in Q4 2023, reflecting improved expense management [7]. Operational Highlights - The increase in net revenue was partially offset by declines in commercial advertising and revenue losses from the divestiture of the Wilmington station and the closure of the esports division [4]. - The company achieved approximately $20 million in annualized expense reductions through operational efficiencies and workforce realignment [8]. - Digital revenue accounted for nearly 20% of total revenue, indicating a growing focus on digital platforms [8]. Year-End Results - For the full year ended December 31, 2024, net revenue was $240.3 million, down from $247.1 million in 2023 [3][22]. - The operating loss for the year was $13.1 million, a significant improvement from an operating loss of $82 million in 2023, largely due to the absence of non-cash impairment losses that affected the previous year [3][22]. - The net loss for the year was $5.9 million, compared to a net loss of $75.1 million in 2023, highlighting a recovery in financial performance [3][22]. Strategic Focus - The company aims to drive sustainable revenue growth and expand its digital offerings while optimizing its sales approach [8]. - Beasley is focused on leveraging data-driven insights and enhancing direct-to-consumer engagement to provide innovative marketing solutions for advertisers [8].

Core Viewpoint - Beasley Broadcast Group, Inc. will report its 2024 full-year financial results on March 20, 2025, and will host a conference call to discuss these results [1]. Group 1: Financial Reporting - The company will announce its financial results before the market opens on March 20, 2025 [1]. - A conference call and webcast will take place at 11:00 a.m. ET on the same day to review the results [1]. Group 2: Accessing the Conference Call - Interested parties can join the conference call by dialing (888) 672-2415 or +1 (646) 307-1963, using conference ID 1613596 [2]. - A live webcast will also be available on the company's website, with a replay accessible for five days post-event [2]. Group 3: Company Overview - Beasley Broadcast Group, Inc. was founded in 1961 and owns 57 AM and FM stations across 10 markets in the United States [4]. - The company's radio stations reach over 20 million unique consumers weekly through various platforms, including over-the-air, online, and mobile devices [4].

Revenue Performance - Net revenue for the three months ended September 30, 2024, decreased by $1.9 million (3.2%) to $58.19 million compared to $60.12 million for the same period in 2023[74] - Audio revenue decreased by $1.4 million (3.0%) to $46.89 million, primarily due to a decrease in local agency revenue and the disposition of WJBR-FM[75] - Digital revenue increased slightly by $0.12 million (1.1%) to $11.30 million, remaining comparable to the previous year[75] - Net revenue decreased by $8.4 million (4.6%) from $181.4 million in the nine months ended September 30, 2023, to $173.0 million in the same period of 2024[84] - Audio revenue decreased by $8.5 million (5.8%) primarily due to a decrease in local agency revenue and the sale of WJBR-FM[86] - Digital revenue increased by $1.8 million (5.4%) due to continued growth in the digital segment[86] Operating Expenses - Operating expenses decreased by $0.2 million (0.3%) to $49.95 million, with audio operating expenses increasing by $0.6 million (1.5%) due to workforce reductions[76] - Corporate expenses decreased by $0.2 million (4.4%) to $4.30 million, primarily due to an increase in digital expenses allocated to operating expenses[77] - Operating expenses decreased by $3.6 million (2.3%) from $152.1 million in the nine months ended September 30, 2023, to $148.5 million in 2024[84] Net Loss and Impairment - The company reported a net loss of $3.56 million for the three months ended September 30, 2024, a decrease of $63.98 million (94.7%) compared to a net loss of $67.54 million in the same period in 2023[74] - FCC licenses impairment losses were eliminated, resulting in a decrease of $78.20 million (100%) compared to the previous year[74] - Goodwill impairment losses decreased by $9.66 million (91.3%) to $0.92 million for the three months ended September 30, 2024[74] - Net loss for the nine months ended September 30, 2024, was $3.8 million compared to a net loss of $81.5 million for the same period in 2023, a reduction of $77.7 million (95.3%) [93] - FCC licenses impairment losses of $78.2 million recorded in Q3 2023 due to increased interest rates and decreased projected revenues[78] - Goodwill impairment loss of $10.6 million recorded in Q3 2023 related to the Philadelphia market cluster, attributed to increased discount rates and decreased projected revenues[79] Cash Flow and Liquidity - Net cash used in operating activities decreased to $2.2 million for the nine months ended September 30, 2024, from $5.0 million for the same period in 2023, reflecting an $11.5 million decrease in operating expenses[106] - Net cash provided by investing activities was $3.4 million for the nine months ended September 30, 2024, compared to net cash used of $2.8 million in the same period of 2023, including $6.0 million from the sale of an investment[107] - Net cash used in financing activities was approximately $90,000 for the nine months ended September 30, 2024, a significant decrease from $2.1 million in the same period of 2023[108] - The company expects to meet liquidity needs through internally generated cash flow, additional borrowings, and equity offerings[102] - The company believes it will have sufficient liquidity and capital resources to meet financial obligations for the next 12 months, although unexpected expenses could impact this outlook[103] - A total net increase in cash and cash equivalents was $1.1 million for the nine months ended September 30, 2024, compared to a net decrease of $9.9 million in the same period of 2023[106] Stock and Corporate Actions - The company executed a 1-for-20 reverse stock split on September 23, 2024, affecting the Class A and Class B Common Stock without changing the par value[56] - The board of directors has suspended future quarterly dividend payments until it is determined that resumption is in the best interest of stockholders[95] - The company entered into a common stock purchase agreement for the issuance of 56,864 shares at an offering price of approximately $12.31 per share, resulting in gross proceeds of $700,000[100] - The company may repurchase shares to fund withholding taxes related to restricted stock units, having repurchased 6,684 shares for approximately $90,000 during the nine months ended September 30, 2024[101] - The company may seek to repurchase or redeem existing notes depending on market conditions and liquidity requirements[101] Tax and Interest - Interest expense decreased by $2.0 million (10.1%) due to repurchases of Existing Notes throughout 2023[91] - Effective tax rate was approximately (24%) for the nine months ended September 30, 2024, compared to (32%) for the same period in 2023[92] Off-Balance Sheet Arrangements - There were no off-balance sheet arrangements as of September 30, 2024[104]

Financial Data and Key Metrics Changes - Total net revenue for Q3 2024 was $58.2 million, reflecting a decline of 3.2% compared to the previous year when adjusted for divestitures [9][17] - Same-station revenue increased by 0.5% for Q3, with a year-to-date decline of 1.6% [9][17] - Operating income for Q3 increased by 101.4% year-over-year, from a negative $85.5 million to a positive $1.2 million [20] - Interest expense decreased by $353,000 year-over-year to $6.1 million, reflecting benefits from debt reductions [21] Business Line Data and Key Metrics Changes - Digital segment revenue grew by 1.1% for the quarter, with same-station digital revenue increasing by 11.7% [12][24] - Same-station over-the-air local revenue decreased by 8.9%, driven by a 6.9% decline in local agency business [14] - Political revenue for the quarter was $2.7 million, bringing year-to-date political revenue to $3.7 million, up 23% from the same period in 2020 [11] Market Data and Key Metrics Changes - National advertising revenue was down 16% excluding political contributions, with same-station national revenue up 10.7% due to political spending [13] - The auto category saw an 11% year-over-year decline, representing 7.9% of total Q3 revenue [19] Company Strategy and Development Direction - The company is focused on improving its capital structure, having successfully completed a debt reduction of $47 million and extending maturities to August 2028 [7] - A reverse stock split was executed at a ratio of 1 for 20 to maintain NASDAQ listing and enhance share investability [8] - The company aims to grow digital revenue and has made strategic reductions in operating expenses projected to save over $5 million annually [27] Management's Comments on Operating Environment and Future Outlook - Management noted that advertisers are hesitant to book prior to election results, impacting national advertising [29] - The company expects revenue to be up in Q4, with pacing in the mid-single digits as of the call date [27][30] Other Important Information - The company experienced operational challenges due to Hurricane Halen, but successfully provided community support during the crisis [26] - The company ended Q3 with cash on hand of $27.8 million, down from $33.3 million at the end of Q2 2024 [22] Q&A Session Summary Question: Are you seeing any resumption in national advertising in Philadelphia and Boston? - Management indicated that there has not been a resumption yet, as advertisers are hesitant to book until after the election [29] Question: Post the exchange, how do you think about liquidity and the potential for more bond buybacks? - The company is focused on maintaining a minimum cash position but will seek opportunities for opportunistic bond buybacks [30] Question: When do you foresee year-over-year comps going positive again? - Management expects revenue to be up in Q4, with same-station revenue pacing up in the mid-single digits [30]