First Quarter 2021 Investor Presentation May 6, 2021 Safe Harbor Statement Forward Looking Language Certain statements in this presentation constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of iHeartMedia, Inc. and its subsidiaries (the "Company"), to be materially different from any ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q Commission File Number 001-38987 IHEARTMEDIA, INC. (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorporation or organization) Title of each class Trading Symbol(s) Name of each exchange on which registered Class A Common Stock IHRT The Nasdaq Stock Market LLC 20880 Stone Oak Parkway San Antonio, Texas 78258 (Address of principal executive offices) (Zip Code) Delaware 26-0241222 (I.R.S ...

Financial Data and Key Metrics Changes - Reported revenues decreased by 9% year-over-year in Q4 2020, showing sequential improvement from a 22% decline in Q3 and a 47% decline in Q2 [17][43] - Adjusted EBITDA for Q4 was $266 million, down 13% from $306 million in the prior year [24][46] - Free cash flow generated in Q4 was $53 million, indicating a recovery from negative free cash flow in Q2 2020 [50][103] Business Line Data and Key Metrics Changes - Digital revenues grew by 53% year-over-year, with podcasting revenue increasing by 100% in Q4 [22][47] - Broadcast revenues declined by 19% in Q4, while Networks revenue decreased by 16% year-over-year [18][47] - The new reportable segments include the iHeartMedia Multiplatform Group and the iHeartMedia Digital Audio Group, which will provide better visibility into performance and margins [10][25] Market Data and Key Metrics Changes - Political revenue reached $168 million in 2020, an increase of 81% over the last presidential cycle in 2016 [20] - Broadcast radio usage in cars is returning to pre-COVID levels, while usage of iHeartRadio on digital devices remains elevated [18] Company Strategy and Development Direction - The company is focused on innovation and adaptation, particularly in digital audio and podcasting, to mitigate advertising revenue downturns [7][10] - The acquisition of Triton Digital aims to establish a complete ad tech solution for all forms of audio, enhancing the company's competitive position [14][36] - The company expects to return to 2019 performance levels by the end of 2021, driven by pent-up consumer demand and the rollout of COVID-19 vaccines [15][63] Management's Comments on Operating Environment and Future Outlook - Management acknowledges the challenges posed by COVID-19 but expresses optimism about recovery and growth in 2021 [15][64] - The company plans to maintain cost savings initiatives and expects to achieve a $100 million run rate from modernization efforts by mid-2021 [51][63] - Management believes the decisions made during the pandemic position the company well for future growth in the advertising ecosystem [65] Other Important Information - The company achieved $250 million in cost savings in 2020, with plans to replicate a significant portion of these savings in 2021 [23][52] - The company ended Q4 with approximately $5.3 billion in net debt, down from $5.4 billion in the previous year [49] Q&A Session Summary Question: Can you quantify how Triton accelerates growth? - Management believes Triton will enhance the company's financial structure and complete the ad tech stack, allowing for unified audio advertising solutions [68][70] Question: Is the growth rate of podcasting sustainable? - Management is confident in the podcasting business's growth, noting a 100% increase in Q4 and a 126% increase in January [81][82] Question: How do you view the mix between the Multiplatform and Digital Audio Groups? - Management expects the Digital Audio Group to grow at a higher rate, becoming a larger proportion of overall revenue and earnings [111] Question: When do you expect to return to live events? - Management anticipates that live events may not resume until summer at the earliest, but virtual events will continue to be part of the strategy [114]

Fourth Quarter 2020 Investor Presentation February 25, 2021 Safe Harbor Statement Forward Looking Language Certain statements in this presentation constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of iHeartMedia, Inc. and its subsidiaries (the "Company"), to be materially different fr ...

[PART I](index=4&type=section&id=PART%20I) [Business](index=4&type=section&id=Item%201.%20Business) iHeartMedia is the leading U.S. audio media company, leveraging broadcast radio, digital, podcasting, social media, and events to capture advertising spend, with its operations heavily regulated by the FCC - iHeartMedia positions itself as the **1 audio media company** in the U.S. by consumer reach, operating in the 'companionship' sector of the audio industry, distinct from the 'music collection' sector[15](index=15&type=chunk)[16](index=16&type=chunk)[19](index=19&type=chunk) - The company operates across five main platforms: Broadcast radio (largest reach), Digital (iHeartRadio), Podcasts (**1 publisher by audience**), Social media (**228 million followers**), and Events (over **20,000 annually**, adapted to virtual formats)[18](index=18&type=chunk)[20](index=20&type=chunk) Business Segment Revenue (2018-2020) | Segment | 2020 Revenue ($M) | 2019 Revenue ($M) | 2018 Revenue ($M) | | :--- | :--- | :--- | :--- | | Audio | 2,681.2 | 3,454.5 | 3,353.8 | | Audio & Media Services | 274.7 | 236.7 | 264.1 | - As of December 31, 2020, the company owned and operated **858 live broadcast radio stations** (**244 AM, 614 FM**) across approximately **160 U.S. markets**[24](index=24&type=chunk)[30](index=30&type=chunk) Digital Revenue Growth (2018-2020) | Year | Digital Revenue ($M) | | :--- | :--- | | 2020 | 474.4 | | 2019 | 376.2 | | 2018 | 284.6 | - Podcasting is a key growth area, with revenue reaching **$101 million in 2020**, a **90.6% increase** from the prior year, and the company is the **1 podcast publisher** as measured by Podtrac[34](index=34&type=chunk) - The company's growth strategy includes capturing more advertising spend from other mediums (like digital and TV) by using data-rich tools like SmartAudio, increasing its share of the national advertising market, and expanding its high-profile events platform[39](index=39&type=chunk)[40](index=40&type=chunk)[49](index=49&type=chunk) - The business is heavily regulated by the FCC, which governs broadcast licenses, ownership rules (including alien ownership), and programming content, and the company received a Declaratory Ruling in November 2020 authorizing up to **100% foreign ownership**, subject to certain conditions[66](index=66&type=chunk)[76](index=76&type=chunk) [Risk Factors](index=19&type=section&id=Item%201A.%20Risk%20Factors) The company faces significant risks from the COVID-19 pandemic's impact on advertising revenue, intense competition, substantial indebtedness, regulatory changes, and challenges related to its recent Chapter 11 bankruptcy emergence - The COVID-19 pandemic has significantly impacted the business by reducing ad budgets, causing order cancellations, and disrupting operations, with a negative impact expected to continue into 2021[90](index=90&type=chunk)[91](index=91&type=chunk) - The company faces intense competition for audiences and advertising revenue from other radio operators, streaming services, satellite radio, podcasts, and other media platforms[95](index=95&type=chunk)[97](index=97&type=chunk) - Substantial indebtedness may adversely affect financial health by increasing vulnerability to economic downturns, dedicating a large portion of cash flow to debt service, and limiting operational flexibility due to restrictive covenants[107](index=107&type=chunk) - Extensive government regulation, primarily by the FCC, could limit operations or lead to large fines, and potential legislation could also require new royalty payments for over-the-air broadcasts, increasing expenses[110](index=110&type=chunk)[112](index=112&type=chunk) - Risks related to the recent emergence from Chapter 11 include non-comparability of historical financial data due to fresh-start accounting and a new capital structure, as well as potential unfavorable tax consequences[120](index=120&type=chunk)[121](index=121&type=chunk) - FCC regulations limit foreign ownership of capital stock, and while a November 2020 ruling authorized up to **100% foreign ownership**, it is subject to conditions and requires specific approval for foreign holders exceeding certain thresholds (e.g., **5%**)[135](index=135&type=chunk)[137](index=137&type=chunk) [Properties](index=33&type=section&id=Item%202.%20Properties) The company's corporate headquarters are leased in San Antonio, Texas, with additional executive operations in New York, and its Audio segment properties, including offices, studios, and transmitter sites, are considered suitable for operations - Corporate headquarters are leased in San Antonio, TX, with other key operations in New York, NY[146](index=146&type=chunk) - Audio segment properties include offices, studios, and transmitter/antenna sites, which the company owns or leases, with most towers and antennas being leased[147](index=147&type=chunk)[148](index=148&type=chunk) [Legal Proceedings](index=33&type=section&id=Item%203.%20Legal%20Proceedings) The company is involved in various ordinary course legal proceedings, with a key regulatory matter being the FCC's Foreign Ownership Rule, which led to a November 2020 ruling permitting up to 100% foreign ownership and a subsequent warrant exchange in January 2021 - The company is involved in ordinary course litigation, including commercial disputes, defamation, employment claims, and intellectual property matters[149](index=149&type=chunk) - A significant legal matter relates to FCC foreign ownership restrictions, where the company received a declaratory ruling on November 5, 2020, permitting up to **100% foreign ownership**, subject to certain conditions[151](index=151&type=chunk)[152](index=152&type=chunk) - Following the FCC ruling, the company conducted an exchange of a portion of its outstanding Special Warrants into Class A and Class B common stock on January 8, 2021[153](index=153&type=chunk) [PART II](index=36&type=section&id=PART%20II) [Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities](index=36&type=section&id=Item%205.%20Market%20for%20Registrant's%20Common%20Equity,%20Related%20Stockholder%20Matters%20and%20Issuer%20Purchases%20of%20Equity%20Securities) The company's Class A common stock trades on Nasdaq under 'IHRT', with no public market for Class B, and while a partial warrant exchange occurred, the company has no current dividend intention, and its stock underperformed Nasdaq but outperformed a peer Radio Index from July 2019 to December 2020 - Class A common stock is traded on the Nasdaq Global Select Market under the symbol '**IHRT**', with no established public trading market for the Class B common stock[157](index=157&type=chunk)[158](index=158&type=chunk) - The company has no current intention to pay dividends on its Class A common stock[161](index=161&type=chunk) Stock Performance Comparison (Indexed to $1,000 on 7/18/19) | Date | iHeartMedia, Inc. | Radio Index | Nasdaq Stock Market Index | | :--- | :--- | :--- | :--- | | 7/18/19 | $1,000 | $1,000 | $1,000 | | 12/31/19 | $1,024 | $860 | $1,093 | | 12/31/20 | $787 | $489 | $1,570 | [Selected Financial Data](index=40&type=section&id=Item%206.%20Selected%20Financial%20Data) This section presents selected historical financial data, which is not directly comparable across periods due to the company's May 2019 emergence from Chapter 11 bankruptcy and adoption of fresh-start accounting, highlighting a significant 2020 revenue decline to **$2.95 billion** and a net loss of **$1.91 billion** driven by a **$1.74 billion** impairment charge - Financial data is split into 'Successor' (after May 1, 2019) and 'Predecessor' (on or before May 1, 2019) periods due to emergence from bankruptcy and adoption of fresh-start accounting, making periods not directly comparable[170](index=170&type=chunk)[171](index=171&type=chunk) Selected Historical Financial Data (in thousands) | Metric | Successor 2020 | Successor (May 2 - Dec 31, 2019) | Predecessor (Jan 1 - May 1, 2019) | Predecessor 2018 | | :--- | :--- | :--- | :--- | :--- | | **Revenue** | **$2,948,218** | **$2,610,056** | **$1,073,471** | **$3,611,323** | | Operating Income (Loss) | $(1,737,624) | $439,636 | $67,040 | $690,144 | | Net Income (Loss) | $(1,915,222) | $113,299 | $11,165,113 | $(202,639) | | Impairment Charges | $1,738,752 | $0 | $91,382 | $33,150 | | Total Assets | $9,202,961 | $11,021,099 | N/A | $12,269,515 | | Long-term Debt | $5,982,155 | $5,756,504 | N/A | $0 (reclassified) | [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=42&type=section&id=Item%207.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses the significant negative impact of the COVID-19 pandemic on 2020 revenue, which fell **20%** to **$2.95 billion**, partially offset by strong digital growth and political advertising, alongside **$250 million** in cost savings and a **$1.7 billion** impairment charge, while affirming sufficient liquidity for the next 12 months [Results of Operations](index=46&type=section&id=Results%20of%20Operations) For the year ended December 31, 2020, revenue decreased **20.0%** to **$2.95 billion** due to the COVID-19 pandemic, partially offset by **26.1%** digital growth and political advertising, resulting in an operating loss of **$1.74 billion** (driven by an impairment charge) and a net loss of **$1.9 billion**, contrasting sharply with 2019's bankruptcy-inflated net income Consolidated Results of Operations (2020 vs. 2019 Combined) | (In thousands) | Year Ended 2020 | Year Ended 2019 (Combined) | % Change | | :--- | :--- | :--- | :--- | | **Revenue** | **$2,948,218** | **$3,683,527** | **(20.0)%** | | **Operating Income (Loss)** | **$(1,737,624)** | **$506,676** | **NM** | | **Net Income (Loss)** | **$(1,915,222)** | **$11,278,412** | **NM** | | **Adjusted EBITDA** | **$538,673** | **$1,000,698** | **(46.2)%** | Revenue by Stream (2020 vs. 2019 Combined) | (In thousands) | Year Ended 2020 | Year Ended 2019 (Combined) | % Change | | :--- | :--- | :--- | :--- | | Broadcast Radio | $1,604,880 | $2,233,246 | (28.1)% | | Digital | $474,371 | $376,178 | 26.1% | | Networks | $484,950 | $614,719 | (21.1)% | | Sponsorship and Events | $107,654 | $209,517 | (48.6)% | | Audio and Media Services | $274,749 | $236,654 | 16.1% | - The 2020 operating loss was driven by a **$1.7 billion** non-cash impairment charge on indefinite-lived intangible assets and goodwill in Q1 2020, triggered by the adverse effects of the COVID-19 pandemic[206](index=206&type=chunk) - Operating expenses (Direct, SG&A, Corporate) decreased significantly in 2020 due to cost reduction initiatives in response to COVID-19 and lower variable costs (e.g., sales commissions) tied to reduced revenue[201](index=201&type=chunk)[203](index=203&type=chunk)[204](index=204&type=chunk) [Non-GAAP Financial Measures](index=54&type=section&id=Non-GAAP%20Financial%20Measures) This section provides reconciliations for non-GAAP measures, showing Adjusted EBITDA for 2020 decreased **46.2%** to **$538.7 million** and Free Cash Flow from continuing operations decreased **62.6%** to **$130.7 million**, reflecting lower operating performance and higher cash interest payments Adjusted EBITDA Reconciliation Summary (in thousands) | | Year Ended 2020 | Year Ended 2019 (Combined) | | :--- | :--- | :--- | | Operating Income (Loss) | $(1,737,624) | $506,676 | | Depreciation and amortization | $402,929 | $302,457 | | Impairment charges | $1,738,752 | $91,382 | | Share-based compensation | $22,862 | $26,909 | | Restructuring & reorganization | $100,410 | $65,120 | | **Adjusted EBITDA** | **$538,673** | **$1,000,698** | Free Cash Flow Reconciliation Summary (in thousands) | | Year Ended 2020 | Year Ended 2019 (Combined) | | :--- | :--- | :--- | | Cash from operating activities (continuing) | $215,945 | $461,400 | | Purchases of property, plant and equipment | $(85,205) | $(112,190) | | **Free cash flow (continuing)** | **$130,740** | **$349,210** | [Liquidity and Capital Resources](index=58&type=section&id=LIQUIDITY%20AND%20CAPITAL%20RESOURCES) As of December 31, 2020, the company had total available liquidity of approximately **$893 million**, including **$720.7 million** in cash, deemed sufficient for the next 12 months, supported by **$200 million** in cost savings and **$450 million** in incremental term loans, with net debt at **$5.3 billion** and **$335 million** in anticipated 2021 interest payments - As of December 31, 2020, the company had **$720.7 million** in cash and cash equivalents and total available liquidity of approximately **$893 million**[260](index=260&type=chunk)[261](index=261&type=chunk) - In response to COVID-19, the company generated approximately **$200 million** in operating cost savings in 2020 through reductions in operating expenses, capital expenditures, and compensation, with the majority of these savings expected to be permanent[266](index=266&type=chunk) Net Debt Summary (in millions) | | Dec 31, 2020 | Dec 31, 2019 | | :--- | :--- | :--- | | Total Debt | $6,016.9 | $5,765.4 | | Less: Cash and cash equivalents | $720.7 | $400.3 | | **Net Debt** | **$5,296.2** | **$5,365.1** | - Anticipated cash requirements for 2021 include approximately **$335 million** for interest payments, and the company also deferred **$29.3 million** in 2020 employment taxes under the CARES Act, with payments due in 2021 and 2022[262](index=262&type=chunk)[263](index=263&type=chunk) [Critical Accounting Estimates](index=67&type=section&id=CRITICAL%20ACCOUNTING%20ESTIMATES) Management identifies critical accounting estimates including the valuation of indefinite-lived intangible assets (FCC licenses) and goodwill, which were significantly impacted by impairment charges in 2020, alongside estimates for doubtful accounts, leases, asset useful lives, tax provisions (including deferred tax asset valuation allowances), and litigation accruals - Valuation of indefinite-lived intangible assets (FCC licenses) and goodwill are critical estimates, with an interim impairment test in Q1 2020 leading to significant write-downs due to COVID-19's impact, though the annual test on July 1, 2020, resulted in no further impairment[312](index=312&type=chunk)[316](index=316&type=chunk)[314](index=314&type=chunk) - The estimated fair value of FCC licenses was **$2.0 billion** at July 1, 2020, compared to a carrying value of **$1.8 billion**, indicating some cushion against future impairment[315](index=315&type=chunk) - The fair value of the Audio and RCS reporting units exceeded their carrying values by approximately **10% or less** during the annual goodwill impairment test, indicating sensitivity to changes in assumptions[321](index=321&type=chunk) - Estimating tax provisions, particularly the valuation allowance against deferred tax assets, requires significant judgment as the company must assess the likelihood of realizing these assets in the future[324](index=324&type=chunk)[325](index=325&type=chunk) [Financial Statements and Supplementary Data](index=72&type=section&id=Item%208.%20Financial%20Statements%20and%20Supplementary%20Data) This section contains the company's audited consolidated financial statements for the fiscal year ended December 31, 2020, and the independent auditor's report from Ernst & Young LLP, which highlights the valuation of goodwill and indefinite-lived intangibles as a critical audit matter due to significant estimation and judgment, especially after Q1 2020 impairment charges - The report from independent auditor Ernst & Young LLP provides an unqualified opinion on the financial statements and the effectiveness of internal control over financial reporting[336](index=336&type=chunk)[337](index=337&type=chunk) - The auditor identified the 'Valuation of Goodwill and Indefinite-Lived Intangibles' as a Critical Audit Matter due to the complex and highly judgmental nature of impairment tests, particularly the significant estimations required for projected cash flows and discount rates following the impact of COVID-19[342](index=342&type=chunk)[343](index=343&type=chunk) [Controls and Procedures](index=153&type=section&id=Item%209A.%20Controls%20and%20Procedures) Management, including the CEO and CFO, concluded that the company's disclosure controls and procedures and internal control over financial reporting were effective as of December 31, 2020, with the independent auditor also issuing an unqualified opinion on internal control effectiveness - Management concluded that the company's disclosure controls and procedures were effective as of December 31, 2020[659](index=659&type=chunk) - Management's assessment concluded that the company's internal control over financial reporting was effective as of December 31, 2020, based on the COSO 2013 framework[662](index=662&type=chunk) - No material changes to internal control over financial reporting occurred during the fourth quarter of 2020[663](index=663&type=chunk) [Other Information](index=155&type=section&id=Item%209B.%20Other%20Information) On February 23, 2021, the Board of Directors amended the company's bylaws to designate the federal district courts of the United States as the exclusive forum for resolving any complaints arising under the Securities Act of 1933 - On February 23, 2021, the company's bylaws were amended to establish federal district courts as the exclusive forum for actions arising under the Securities Act of 1933[674](index=674&type=chunk) [PART III](index=156&type=section&id=PART%20III) [Directors, Executive Officers and Corporate Governance](index=156&type=section&id=Item%2010.%20Directors,%20Executive%20Officers%20and%20Corporate%20Governance) Information regarding directors, executive officers, and corporate governance is incorporated by reference from the company's Definitive Proxy Statement for the 2021 Annual Meeting of Stockholders, with the Code of Business Conduct and Ethics available on its website - Most information required by this item, including details on directors and corporate governance, is incorporated by reference from the forthcoming 2021 Definitive Proxy Statement[680](index=680&type=chunk) [Executive Compensation](index=156&type=section&id=Item%2011.%20Executive%20Compensation) Information regarding executive and director compensation is incorporated by reference from the company's Definitive Proxy Statement for the 2021 Annual Meeting of Stockholders - All information required by this item is incorporated by reference from the forthcoming 2021 Definitive Proxy Statement[681](index=681&type=chunk) [Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters](index=156&type=section&id=Item%2012.%20Security%20Ownership%20of%20Certain%20Beneficial%20Owners%20and%20Management%20and%20Related%20Stockholder%20Matters) This section details equity compensation plans, showing **10.8 million** securities to be issued upon exercise of outstanding options and rights at a weighted-average exercise price of **$16.02**, with an additional **2.4 million** securities available for future issuance, and further information on security ownership incorporated by reference from the Definitive Proxy Statement Equity Compensation Plan Information | Plan Category | Securities to be issued upon exercise (A) | Weighted-Average Exercise Price (B) | Securities remaining for future issuance (C) | | :--- | :--- | :--- | :--- | | **Plans not approved by security holders** | **10,829,057** | **$16.02** | **2,413,013** | [Certain Relationships and Related Transactions, and Director Independence](index=156&type=section&id=Item%2013.%20Certain%20Relationships%20and%20Related%20Transactions,%20and%20Director%20Independence) Information regarding related party transactions and director independence is incorporated by reference from the company's Definitive Proxy Statement for the 2021 Annual Meeting of Stockholders - All information required by this item is incorporated by reference from the forthcoming 2021 Definitive Proxy Statement[684](index=684&type=chunk) [Principal Accountant Fees and Services](index=158&type=section&id=Item%2014.%20Principal%20Accountant%20Fees%20and%20Services) Information regarding principal accountant fees and services is incorporated by reference from the company's Definitive Proxy Statement for the 2021 Annual Meeting of Stockholders - All information required by this item is incorporated by reference from the forthcoming 2021 Definitive Proxy Statement[685](index=685&type=chunk) [PART IV](index=159&type=section&id=PART%20IV) [Exhibits and Financial Statement Schedules](index=159&type=section&id=Item%2015.%20Exhibits%20and%20Financial%20Statement%20Schedules) This section lists all financial statements, schedules, and exhibits filed as part of the 10-K report, including consolidated financial statements, Schedule II for Valuation and Qualifying Accounts, and key corporate documents such as the plan of reorganization, certificates of incorporation, bylaws, and various debt and employment agreements - This section lists all financial statements, schedules, and exhibits filed with the report[687](index=687&type=chunk) Schedule II: Allowance for Doubtful Accounts (in thousands) | Period | Beginning Balance | Charges to Costs | Write-offs | Ending Balance | | :--- | :--- | :--- | :--- | :--- | | **2020 (Successor)** | **$12,629** | **$38,273** | **$12,738** | **$38,777** | | 2019 (Combined) | $26,584 | $17,356 | $8,622 | $12,629 |

Third Quarter 2020 Investor Presentation November 9, 2020 Safe Harbor Statement Forward Looking Language Certain statements in this presentation constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of iHeartMedia, Inc. and its subsidiaries (the "Company"), to be materially different from ...

iHeartMedia, Inc. (NASDAQ:IHRT) Q3 2020 Earnings Conference Call November 9, 2020 4:30 PM ET Company Participants Mike McGuinnes - Deputy Chief Financial Officer & Head of Investor Relations Bob Pittman - Chairman and Chief Executive Officer Rich Bressler - President, Chief Operating Officer and Chief Financial Officer Conference Call Participants Jessica Reif Ehrlich - Bank of America Steven Cahall - Wells Fargo John Janedis - Wolf Research Jim Goss - Barrington Research Operator Ladies and gentlemen, than ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE QUARTERLY PERIOD ENDED SEPTEMBER 30, 2020 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE TRANSITION PERIOD FROM _________ TO __________ Commission File Number 001-38987 IHEARTMEDIA, INC. (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorp ...

Financial Data and Key Metrics Changes - The company experienced a total revenue decline of approximately 47% year-over-year in Q2 2020, with an adjusted EBITDA loss of $29.3 million [15][38]. - Consolidated revenue decreased by 46.6% compared to the prior year, with a GAAP operating loss of $159.1 million [35][38]. - Free cash flow used in continuing operations was only a negative $6.5 million, indicating strong cash flow characteristics despite revenue declines [41]. Business Line Data and Key Metrics Changes - Broadcast radio revenue was down 57% year-over-year, while networks revenue declined by 38.4% [17][39]. - Digital revenue grew by 2.4%, driven by podcasting, which saw a remarkable increase of 102.7% year-over-year [39][40]. - Audio and media services revenue declined by 32.9% on a reported basis [39]. Market Data and Key Metrics Changes - The company noted a sequential improvement in revenue declines each month since April, with July showing a significant recovery [10][44]. - Specific advertiser categories that performed better included consumer products, home improvement, insurance, and financial services, while entertainment categories lagged [73]. Company Strategy and Development Direction - The company emphasized a multi-platform strategy, focusing on digital, podcasting, and smart audio programmatic services, which have shown better revenue performance than traditional broadcast [11][17]. - Significant cost reductions were implemented, with a target of $250 million in savings for 2020, including a focus on real estate and technology-driven efficiencies [28][45]. - The company is committed to maintaining liquidity and a resilient capital structure to navigate the ongoing economic challenges [42][47]. Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism about the recovery in advertising demand, noting that radio remains a key medium for reaching consumers during economic recovery [29][70]. - The company is prepared for a wide range of recovery scenarios and is focused on maximizing liquidity and operational efficiency [30][47]. - Management highlighted the importance of adapting to new operational practices learned during the pandemic, which could lead to lasting improvements [92]. Other Important Information - The company has built a strong position in podcasting, becoming the number one commercial podcast publisher in America, leveraging its broadcast assets for promotion [20][21]. - The introduction of the Black Information Network was noted as a significant innovation aimed at serving the black community and providing a trusted news source [25]. Q&A Session Summary Question: How should we think about being EBITDA or free cash flow positive in the second half of the year? - Management refrained from providing specific guidance but highlighted strong cash flow characteristics, with only $6.77 million used in free cash flow during Q2 despite significant revenue declines [53][54]. Question: What is the current state of the capital structure and potential strategic partnerships? - Management expressed confidence in their capital structure and liquidity position, indicating no immediate need for strategic partnerships unless they are value-accretive [58]. Question: How does the company view competitive dynamics with Spotify in podcasting? - The company maintains a distributed content model, emphasizing wide availability of content rather than exclusivity, which they believe benefits audience size and advertiser reach [60][61]. Question: What is driving the recovery in revenue and advertiser categories? - Management noted a return in advertising demand as businesses begin to reopen, with radio being a key medium for communicating new services to consumers [68][69]. Specific categories like CPG and streaming services have shown better performance [73]. Question: Can you provide an update on cost-saving initiatives and their impact on EBITDA? - Management confirmed they are on track for $250 million in cost savings, with a focus on real estate and operational efficiencies, expecting more savings to materialize in the second half of the year [87][90].

Second Quarter 2020 August 6, 2020 Safe Harbor Statement Forward Looking Language Certain statements in this presentation constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of iHeartMedia, Inc. and its subsidiaries (the "Company"), to be materially different from any future results, pe ...