Cumulus Media(US:CMLS)2024-08-02 12:03Financial Performance - Net revenue for the three months ended June 30, 2024, decreased by $5.3 million, or 2.5%, compared to the same period in 2023, primarily due to reductions in network and spot revenues[98]. - Adjusted EBITDA for the three months ended June 30, 2024, was $25.2 million, a decrease of $5.5 million, or 17.8%, from $30.7 million in the same period in 2023[96]. - Net loss for the three months ended June 30, 2024, was $27.7 million, compared to a net loss of $1.1 million in the same period in 2023, representing an increase of $26.6 million[96]. - Loss before income taxes for the three months ended June 30, 2024, was $26.9 million, compared to a loss of $5.9 million in the same period in 2023, an increase of $21.0 million[96]. - For the six months ended June 30, 2024, net revenue decreased by $10.9 million, or 2.6%, compared to the same period in 2023, primarily due to reductions in spot and network revenues[109]. - Adjusted EBITDA for the six months ended June 30, 2024, was $33.6 million, a decrease of $7.4 million from $41.0 million for the same period in 2023[121]. Expenses - Corporate expenses increased by $7.6 million, or 31.6%, for the three months ended June 30, 2024, primarily due to $16.3 million of debt exchange costs[101]. - Content costs for the three months ended June 30, 2024, increased by $0.1 million, or 0.1%, compared to the same period in 2023, driven by higher digital costs[99]. - Selling, general and administrative expenses remained consistent, with a slight increase attributed to higher personnel costs from an expanded digital sales force[99]. - Corporate expenses increased by $9.4 million, or 24.7%, for the six months ended June 30, 2024, primarily due to $16.3 million of debt exchange costs[114]. - Content costs for the six months ended June 30, 2024, decreased by $3.5 million, or 2.2%, primarily due to lower syndicated programming costs[111]. Interest and Tax - Interest expense for the three months ended June 30, 2024, decreased by $0.3 million, or 1.8%, compared to the same period in 2023[104]. - Interest income for the three months ended June 30, 2024, decreased by $0.6 million, or 79.5%, compared to the same period in 2023[96]. - Total interest expense for the six months ended June 30, 2024, decreased by $0.6 million, or 1.7%, compared to the same period in 2023[117]. - Interest income for the six months ended June 30, 2024, decreased by $0.6 million, or 54.5%, compared to the same period in 2023[117]. - The company recorded an income tax expense of $2.3 million on a pre-tax book loss of $39.6 million for the six months ended June 30, 2024, resulting in an effective tax rate of approximately (5.8)%[120]. Cash Flow and Financing - Cash and cash equivalents as of June 30, 2024, were $53.5 million, with the company using $24.1 million for operating activities in the first half of 2024[126]. - Net cash used in operating activities for the six months ended June 30, 2024, was $(24.1) million, a decrease from $35.2 million provided in the same period of 2023[141]. - Net cash provided by investing activities for the six months ended June 30, 2024, was $2.3 million, compared to $(6.4) million used in the same period of 2023[142]. - Net cash used in financing activities for the six months ended June 30, 2024, was $(5.5) million, a significant decrease from $(43.8) million used in the same period of 2023[143]. - The company did not repurchase any shares during the six months ended June 30, 2024, but repurchased 323,285 shares at an average price of $4.65 per share for approximately $1.5 million in the same period of 2023[139]. Debt and Credit Facilities - The gain on early extinguishment of debt for the three months ended June 30, 2024, was $0.2 million, significantly lower than the $8.4 million gain in the same period in 2023[105]. - The gain on early extinguishment of debt for the six months ended June 30, 2024, was $0.2 million, compared to a gain of $9.0 million for the same period in 2023[118]. - Holdings completed a Term Loan Exchange Offer, exchanging $328.3 million of Term Loan due 2026 for $311.8 million of Term Loan due 2029[132]. - As of May 2, 2024, there was $1.2 million outstanding under Term Loan due 2026 and $311.8 million outstanding under Term Loan due 2029[132]. - The 2020 Revolving Credit Facility was amended to increase aggregate commitments to $125.0 million and extend maturity to March 1, 2029[136]. - Holdings accepted $323.0 million of Senior Notes due 2026 in exchange for approximately $306.4 million of Senior Notes due 2029[138]. Other Information - The company experienced a loss on sale or disposal of assets or stations for the six months ended June 30, 2024, that was not material[115]. - As of June 30, 2024, $25.0 million remained available for repurchase under the share repurchase program[140]. - There were no off-balance sheet arrangements as of June 30, 2024[145].