Financial Performance - For Q3 2024, Urban One, Inc. reported net revenues of approximately $110.4 million, a decrease of 6.3% from Q3 2023[1] - The operating loss for Q3 2024 was approximately $26.2 million, an improvement from the operating loss of approximately $56.1 million in Q3 2023[1] - Adjusted EBITDA for Q3 2024 was approximately $25.4 million, down from approximately $34.7 million in Q3 2023, representing a decrease of 26.7%[1] - The net loss for Q3 2024 was approximately $31.8 million or $(0.68) per share, compared to a net loss of $54.4 million or $(1.14) per share in Q3 2023[1] - Revenue from the Radio Broadcasting segment was approximately $39.7 million in Q3 2024, down from $40.2 million in Q3 2023, primarily due to a decrease in national advertising[7] - The Cable Television segment generated approximately $40.7 million in revenue for Q3 2024, a decrease of 13.0% from $46.8 million in Q3 2023, attributed to lower audience viewership[7] - Total operating expenses amounted to $173,937,000, up from $136,590,000, indicating a rise of approximately 27.4%[20] - The company reported an operating loss of $56,112,000 compared to a loss of $26,197,000 in the previous quarter, reflecting a significant increase in losses[20] - The net loss attributable to common stockholders was $54,411,000, worsening from a loss of $31,798,000 in the previous quarter[20] - The company experienced a net loss income before income taxes of $(67,764,000), compared to $(33,212,000) in the previous quarter, indicating a worsening financial position[20] Revenue Trends - The radio division experienced a same station revenue decline of 7.7% excluding political revenues, but saw a 23.9% increase in political revenues in Q4[2] - Digital advertising revenues decreased by 4.1% due to weaker advertising demand compared to the previous year[2] - Urban One reported net revenues of approximately $110.4 million for Q3 2024, a decrease of 6.3% from $117.8 million in Q3 2023[7] - Cash and cash equivalents decreased to approximately $115.5 million as of September 30, 2024, from $233.6 million as of December 31, 2023[5] - Net revenue for the quarter was $332.5 million, a decrease from $357.3 million in the previous quarter, representing a decline of approximately 7%[24] Operating Expenses and Losses - Operating expenses, excluding certain costs, increased by 3.5% to approximately $87.4 million in Q3 2024 from $84.5 million in Q3 2023[10] - Interest expense decreased to approximately $11.6 million in Q3 2024 from $14.0 million in Q3 2023, reflecting a reduction in outstanding debt[14] - The company reported interest expense for the quarter was $13,983,000, compared to $11,649,000 in the previous quarter, indicating an increase of approximately 20%[20] - The impairment of goodwill and intangible assets was recorded at $127.6 million, consistent with the previous quarter's $124.3 million[24] Shareholder Information - The company repurchased 1,015,023 shares of Class A Common Stock for approximately $2.0 million at an average price of $2.01 per share during Q3 2024[17] - For the three months ended September 30, 2024, Urban One had 47,105,290 shares of common stock outstanding on a weighted average basis (basic), compared to 47,722,263 shares for the same period in 2023, indicating a decrease of approximately 1.3%[1] - For the nine months ended September 30, 2024, Urban One had 48,614,438 shares of common stock outstanding on a weighted average basis (basic), compared to 47,592,010 shares for the same period in 2023, reflecting an increase of approximately 2.1%[1] Management Insights - Urban One's broadcast and digital operating income is a significant measure used by management to evaluate the operating performance of core segments, although it is not a GAAP measure[1] - The company emphasizes that adjusted EBITDA and EBITDA should not be considered alternatives to operating income or cash flow from operating activities as defined under GAAP[1] - Urban One's management believes that adjusted EBITDA provides useful information about the operating performance of the business, apart from fixed asset-related expenses[1] - The company made an immaterial change to the definition of adjusted EBITDA during the quarter, which was recasted for all historical periods[1] Future Outlook - The next earnings conference call is scheduled for November 12, 2024, at 10:00 a.m. EST[28]
Urban One(UONEK) - 2024 Q3 - Quarterly Results