Group 1 - The company, Clear Channel Outdoor Holdings, Inc. (NYSE: CCO), will release its second quarter results for 2025 on August 5, 2025, before the market opens at 7:00 a.m. Eastern Time [1] - A conference call to discuss the results will take place at 8:30 a.m. Eastern Time on the same day [1] - Earnings materials, including reconciliations of non-GAAP financial measures to GAAP financial measures, will be available on the company's website by 7:00 a.m. Eastern Time [2] Group 2 - Clear Channel Outdoor Holdings, Inc. is a leader in the out-of-home advertising industry, focusing on innovation through digital billboards and data analytics [4] - The company aims to broaden its advertiser base by integrating programmatic capabilities that facilitate measurable advertising campaigns [4] - By leveraging its diverse portfolio, the company connects advertisers with millions of consumers each month [4]

Core Insights - A five-year collaboration between Clear Channel Outdoor and Kantar demonstrates that out-of-home (OOH) advertising outperforms connected TV (CTV) and digital channels in key metrics such as ad awareness, brand favorability, and purchase intent [1][3][4] - OOH advertising shows a significant 13.3% increase in ad awareness compared to digital media, TV, and CTV, highlighting its effectiveness in capturing audience attention [2][6] - The partnership provides actionable insights into how OOH drives brand impact, reinforcing its role as a high-performing channel essential for a balanced media strategy [3][4] OOH's Unique Value - OOH serves as a vital medium for addressing gaps that other channels cannot fill, especially as digital ad performance plateaus [5][6] - It bridges the gap between performance marketing and brand building, making it a high-performing media channel for driving awareness and improving brand affinity [5][6] - OOH consistently delivers higher brand awareness and engagement compared to digital media and matches linear TV in driving favorability and purchase intent, showcasing its efficiency [3][6] Industry Context - The findings come at a critical time as marketers face increasing economic uncertainty and fragmentation in the media landscape, making OOH an essential component for optimizing marketing spend [4][5] - The collaboration emphasizes the importance of leveraging OOH as part of a balanced media mix to unlock powerful channels that drive both immediate results and long-term brand growth [4][5][6] - OOH's ability to reach incremental audiences and drive consumer action positions it as a crucial channel for achieving impactful marketing strategies in today's evolving media landscape [7][8]

Group 1 - Clear Channel Outdoor (CCO) has launched a summer campaign to address childhood hunger in the U.S., partnering with No Kid Hungry to encourage public donations [1][3] - An estimated 1 in 5 children in the U.S., nearly 14 million, are living with hunger, highlighting the critical need for summer meal programs [1][3] - CCO's digital billboards will also promote NoKidHungry.org/Help, providing resources for families to access free summer meals [2] Group 2 - CCO is collaborating with the National Summer Learning Association (NSLA) to promote affordable summer learning opportunities for children, as nearly half of U.S. children lack such opportunities [3][4] - The campaign will coincide with National Summer Learning Week, emphasizing the importance of summer learning in closing the opportunity gap [4] - CCO's efforts aim to connect families with vital resources that support children's health and education during the summer months [5] Group 3 - Clear Channel Outdoor Holdings, Inc. is a leader in the out-of-home advertising industry, focusing on innovation through digital billboards and data analytics [6]

Financial Data and Key Metrics Changes - The company has achieved $35 million in corporate cost savings, primarily from selling European and Latin American operations, with further cost reductions expected as the transition service agreements (TSAs) expire [62][64] - The company currently holds approximately $300 million in cash, with a new baseline liquidity level expected to be less than half of the previous $150 million requirement [63][65] Business Line Data and Key Metrics Changes - The airport advertising segment has seen significant revenue growth, with a focus on fewer, larger contracts leading to increased revenue per passenger [14][16] - Digital advertising continues to grow, with a significant portion of roadside inventory available for programmatic sales, although some airport contracts face challenges due to copy approval processes [57][58] Market Data and Key Metrics Changes - The company is experiencing strong demand in the AI sector, particularly in San Francisco, and anticipates growth in media and entertainment advertising as studios plan to support upcoming releases [20][22] - The auto insurance market is recovering, although it has not yet reached its full potential, while the pharmaceutical sector presents promising opportunities despite being methodical in its approach [29][30] Company Strategy and Development Direction - The company is focused on digital conversions and debt repayment as primary capital allocation priorities, with a commitment to maintaining a strong digital presence across its markets [66][68] - The management team emphasizes the importance of regulatory environments in determining the pace of digital conversions, with a goal to increase digital revenue penetration in various markets [53][54] Management's Comments on Operating Environment and Future Outlook - Management does not foresee a recession impacting the business, citing stability in advertising campaigns and a strong recovery from COVID-19 disruptions [2][5] - The company has derisked its operations significantly, which should provide a buffer against potential economic downturns [8][64] Other Important Information - The company is in the process of finalizing a transaction involving its Brazilian operations, which is expected to bring in cash and enhance its financial position [36][38] - The MTA contract in New York is anticipated to ramp up revenue over time, with expectations for profitability by 2025 [40][42] Q&A Session Summary Question: What changes are being observed in the advertising market? - Management noted that there has been no significant change in advertiser behavior, with programmatic advertising continuing to perform well [2] Question: How does the company view the potential impact of a recession on out-of-home advertising? - Management expressed confidence that the out-of-home sector would hold up well, drawing on historical resilience during past recessions [5][7] Question: Can you provide updates on specific verticals such as AI, media, auto insurance, and pharma? - AI is still emerging, with strong activity in San Francisco; media and entertainment are expected to see increased spending; auto insurance is recovering but not at peak levels; and pharma is a promising but methodical sector [20][29][30] Question: What are the company's capital allocation priorities moving forward? - The focus will be on digital conversions, debt repayment, and utilizing proceeds from asset sales to improve the capital structure [66][68]

Core Insights - Clear Channel Outdoor (CCO) is collaborating with Texas Center for the Missing (TCM) to raise awareness about missing children in Texas through a month-long public service campaign [2][5] - The campaign aims to distribute photos of missing children across major Texas markets, leveraging billboards as a vital tool for law enforcement to generate leads [4][5] - The Texas Department of Public Safety reported 44,783 missing person cases in 2024, with 31,864 being juveniles, highlighting a national crisis regarding missing and exploited children [3] Company Overview - Clear Channel Outdoor Holdings, Inc. is a leader in the out-of-home advertising industry, focusing on innovation through digital billboards and data analytics to enhance advertising effectiveness [11] - The company has a strong commitment to community initiatives, exemplified by its partnership with TCM, which has historically helped reunite missing children with their families [5][12] Industry Context - The ongoing crisis of missing and exploited children necessitates community awareness and law enforcement training, as emphasized by TCM's efforts since its founding in 2000 [12] - TCM has served over 500,200 children and families and trained 8,400 law enforcement officers, showcasing its significant impact on addressing the issue of missing persons [12]

Clear Channel Outdoor (CCO) FY Conference Summary Company Overview - **Company**: Clear Channel Outdoor (CCO) - **Date of Conference**: May 13, 2025 - **Key Speakers**: Scott Wells (President and CEO), David Saylor (EVP and CFO) Key Points Industry and Company Strategy - Clear Channel Outdoor is at a pivotal moment after completing the sale of most of its international businesses, focusing exclusively on the U.S. market [4][5] - The company aims to continue its digital transformation, pay down debt, and develop new verticals for organic growth [6][8] - A zero-based budgeting process is being implemented to further reduce corporate expenses [7][53] Market Trends and Demand - The company reported healthy demand across its markets, with steady dialogues with local marketers despite global volatility [8][9] - Emerging verticals include AI and a resurgence in the insurance sector, particularly auto insurance, which had previously declined during COVID [9][10][15] - San Francisco's market recovery is expected to provide a tailwind for growth [10][12] Revenue Guidance and Visibility - The company has over 85% visibility into Q2 revenue and is on track with its full-year revenue guidance [11] - The MTA contract acquired at the end of the previous year is expected to drive revenue growth, although it comes with lower margins initially [12][49] Digital Transformation and Programmatic Advertising - Digital conversions remain a key growth driver, with internal rates of return (IRR) in the low 30s [40] - The company is balancing static and digital inventory while increasing programmatic advertising, which adds some volatility but also opportunities [42][45] Financial Performance and Cost Management - Clear Channel Outdoor has eliminated $35 million in annual corporate expenses following the divestiture of international operations [53] - The company is focused on reducing leverage and improving margins, with expectations for year-over-year margin increases despite initial lower margins from new contracts [52][66] Future Growth and Partnerships - The company is exploring creative structures for asset management and partnerships, including potential joint ventures and preferred equity arrangements [58][60] - Clear Channel Outdoor is considering options for REIT conversion, contingent on achieving appropriate leverage levels [67] Debt Management and Capital Markets - The company ended the quarter with approximately $400 million in cash and plans to use excess cash for debt repayment [62][65] - Clear Channel Outdoor is actively monitoring capital markets for opportunities to refinance upcoming debt maturities [70][73] Conclusion - Clear Channel Outdoor is strategically positioned for growth in the U.S. market, focusing on digital transformation, cost management, and leveraging new partnerships while navigating the complexities of the advertising landscape [4][6][58]

Core Points - Clear Channel Outdoor Holdings, Inc. has entered into a definitive agreement to sell its business in Brazil to Publibanca Brasil S.A. for approximately R$80 million (US$14 million) [1][2][3] - The transaction is subject to regulatory approval from Brazil's Administrative Council for Economic Defense and other customary closing conditions, with an expected closing in 2025 [2][3] - The proceeds from the sale will be used to improve the company's liquidity position and is part of a strategy to optimize its portfolio, focusing on the America and Airports segments [2][3] Company Overview - Clear Channel Outdoor Holdings, Inc. is a leader in the out-of-home advertising industry, leveraging digital billboards and data analytics to enhance advertising effectiveness [5] - The company aims to connect advertisers with millions of consumers monthly through its diverse portfolio of advertising assets [5] Advisory Information - Moelis & Company LLC has been engaged as the financial advisor to assist with the sale of the company's Latin American businesses [4]

Core Insights - Clear Channel Outdoor (CCO) reported a revenue of $334.18 million for Q1 2025, reflecting a year-over-year decline of 30.6% and an EPS of -$0.11 compared to -$0.17 a year ago [1] - The revenue fell short of the Zacks Consensus Estimate of $338.17 million, resulting in a surprise of -1.18%, while the EPS exceeded expectations by 15.38% against a consensus estimate of -$0.13 [1] Financial Performance - CCO's shares have returned -11.3% over the past month, contrasting with the Zacks S&P 500 composite's -0.7% change, indicating underperformance relative to the broader market [3] - The company holds a Zacks Rank 3 (Hold), suggesting it may perform in line with the market in the near term [3] Geographic Revenue Breakdown - Revenue from America was reported at $254.19 million, slightly above the average estimate of $256.44 million, showing a year-over-year increase of +1.8% [4] - Airport revenue reached $79.98 million, marginally exceeding the estimated $79.85 million, with a year-over-year growth of +4% [4] - Adjusted EBITDA for Airports was $14.31 million, below the average estimate of $15.45 million, while corporate expenses showed an adjusted EBITDA of -$22.74 million, slightly better than the estimated -$22.82 million [4]

Financial Data and Key Metrics Changes - Consolidated revenue for Q1 2025 was $334 million, a 2.2% increase compared to Q1 2024, in line with guidance [24] - Loss from continuing operations was $55 million, and adjusted EBITDA for the quarter was $79 million, down 12.5% [24] - AFFO was negative $23 million, within expectations [24] Business Line Data and Key Metrics Changes - Americas segment revenue was $254 million, up 1.8%, driven by the MTA roadside billboard contract, with digital revenue up 6.4% [25] - Airports segment revenue was $80 million, up 4%, driven by a 20% increase in national sales, despite a 16.4% decline in local sales [26] - Adjusted EBITDA for the Americas segment was $88 million, down 8%, with a margin of 34.6% [25] Market Data and Key Metrics Changes - The company noted a significant recovery in San Francisco, which had been a headwind in 2023, and is expected to be a tailwind in 2025 [12] - Increased interest from national advertisers was observed, particularly in the media and entertainment sectors [40] Company Strategy and Development Direction - The company is focusing on becoming a U.S.-focused business, simplifying operations to reduce interest and corporate expenses [17][18] - Plans to continue reducing debt and exploring creative solutions to enhance leverage using strong operating assets [19] - The management is optimistic about the future of out-of-home advertising in the U.S. and aims for mid-single-digit growth in consolidated revenue and adjusted EBITDA [32] Management's Comments on Operating Environment and Future Outlook - Management is not currently seeing cancellations or scaled-down campaigns, indicating confidence in cash generation [14] - The company is prepared for potential macroeconomic challenges but believes it is well-positioned to gain media share [31] - The outlook for 2025 is positive, with a strong pipeline and over 85% of Q2 revenue already booked [20] Other Important Information - The company has successfully reduced annual corporate expenses by approximately $35 million and aims to further reduce costs [12] - Strong liquidity position with $568 million at the end of the quarter, including cash and available revolver funds [28] Q&A Session Summary Question: Visibility into the back half of the year and corporate expense reductions - Management expressed confidence in visibility for the year, noting positive trends in various markets, including media and entertainment [40] - Opportunities for cost reductions are being explored, with a focus on a zero-based budget approach [42] Question: Cancellation terms for advertisers and macroeconomic impact on guidance - Standard cancellation terms are a 60-day notice for printed ads, with digital terms varying [49] - The low end of guidance reflects current market conditions without assuming broader economic impacts [50] Question: Impact of digital assets on performance during downturns - Management noted that digital assets tend to recover faster than print during downturns, with no current signs of weakness [55] Question: Site lease expenses and margin cadence - Site lease expenses are expected to stabilize, with margins for airports returning to historical levels around 20% [59][60] Question: Debt buyback flexibility and capital structure - The company is focused on achieving the best yield in its capital structure, utilizing liquidity from recent transactions [63] Question: Interest from potential counterparties for creative solutions - Management is encouraged by the interest in their assets but is not ready to disclose specific opportunities yet [66] Question: Static and print revenues performance - Management expects print revenues to grow over the year, attributing current declines to unique campaign drivers rather than digital cannibalization [71]

Financial Data and Key Metrics Changes - Consolidated revenue for Q1 2025 was $334 million, a 2.2% increase compared to Q1 2024, aligning with guidance [22] - Loss from continuing operations was $55 million, and adjusted EBITDA for the quarter was $79 million, down 12.5% due to expected declines in airport rate abatements [22] - AFFO was negative $23 million, within expectations [22] Business Line Data and Key Metrics Changes - Americas segment revenue was $254 million, up 1.8%, driven by the MTA roadside billboard contract, with digital revenue up 6.4% [23] - Airports segment revenue was $80 million, up 4%, with a 20% increase in national sales, but a 16.4% decline in local sales [24] - Adjusted EBITDA for the Americas segment was $88 million, down 8%, while airports segment adjusted EBITDA was $14 million, down 25% [22][24] Market Data and Key Metrics Changes - The company noted a recovery in San Francisco, which had been a significant headwind in 2023, and is expected to contribute positively in 2025 [10] - Increased interest from national advertisers was observed, with bookings up double digits so far this year [10] Company Strategy and Development Direction - The company is focusing on becoming a U.S.-focused business, simplifying operations to reduce interest and corporate expenses [5][16] - Plans to continue reducing debt using proceeds from asset sales and cash on hand, with a focus on positive cash generation [10][12] - The management is optimistic about the future of out-of-home advertising in the U.S. and is actively exploring creative solutions to enhance leverage [15][16] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to gain media share despite macroeconomic uncertainties [30] - The company is not currently seeing cancellations or scaled-down campaigns, indicating a stable demand environment [11][12] - Guidance for full-year revenue and adjusted EBITDA remains confirmed, with an increase in AFFO guidance reflecting lower interest expenses [27][30] Other Important Information - The company has successfully eliminated approximately $35 million in annual corporate expenses and expects further reductions [10] - Strong liquidity position with $568 million at the end of the quarter, including cash and available revolver funds [26] Q&A Session Summary Question: Visibility into the back half of the year and corporate expense reductions - Management indicated good visibility into the year, with positive trends in various markets, including media and entertainment [39] - Opportunities for cost reductions will be explored comprehensively, including a zero-based budget approach [42] Question: Cancellation terms for advertisers and macroeconomic impact on guidance - Standard cancellation terms are a 60-day notice for printed ads, with digital terms varying [47] - The low end of guidance reflects current market conditions without assuming broader macroeconomic impacts [48] Question: Impact of digital assets on performance during downturns - Management noted that digital revenue has historically rebounded faster than print during downturns, providing some resilience [54] Question: Site lease expenses and margin cadence - Site lease expenses are expected to stabilize, with margins affected by the MTA contract ramp-up and seasonal trends in advertising [58] Question: Debt buyback flexibility and strategic opportunities - The company is focused on optimizing its capital structure for the best yield, with a reinvestment period allowing for strategic debt management [62] - Interest from potential counterparties for creative solutions has been encouraging, but specific opportunities are still under exploration [65]