Boston Omaha(BOC) - 2025 Q2 - Quarterly Results

Second Quarter 2025 Financial Results Overview Announcement and Report Access Boston Omaha Corporation announced its second-quarter financial results for the period ended June 30, 2025, and filed its Form 10-Q quarterly report with the SEC; the company encourages shareholders to review the supplemental presentation on its investor relations website for additional business metrics - Boston Omaha Corporation announced its Q2 2025 financial results and filed its Form 10-Q report[1] - Shareholders are encouraged to review the supplemental presentation on the investor relations website for additional business metrics used by management to measure performance across key business segments and investments[2] Summary Financial Data The company achieved year-over-year total revenue growth in Q2 and H1 2025; despite a slight increase in Q2 net loss attributable to common stockholders, H1 net loss significantly improved year-over-year, with total assets and liabilities increasing and total equity slightly decreasing as of June 30, 2025 Key Financial Data for Q2 and H1 2025 | Metric | Q2 2025 | Q2 2024 | YoY Change (QoQ) | H1 2025 | H1 2024 | YoY Change (YoY) | | :--------------------------------- | :------------- | :------------- | :------------- | :------------- | :------------- | :------------- | | Revenue | | | | | | | | Billboard Leases, Net | $11,440,033 | $11,437,468 | +0.02% | $22,204,508 | $22,134,128 | +0.32% | | Broadband Services | $10,233,463 | $9,787,983 | +4.55% | $20,553,593 | $19,471,412 | +5.56% | | Earned Premiums | $5,565,360 | $4,737,056 | +17.49% | $11,129,133 | $8,740,115 | +27.33% | | Insurance Commissions | $448,192 | $527,055 | -14.97% | $1,027,485 | $1,029,743 | -0.22% | | Investment and Other Income | $516,622 | $598,221 | -13.64% | $1,019,445 | $1,265,116 | -19.42% | | Total Revenue | $28,203,670 | $27,087,783 | +4.12% | $55,934,164 | $52,640,514 | +6.26% | | Depreciation and Amortization Expense | $6,164,312 | $5,512,274 | +11.83% | $12,156,295 | $10,903,072 | +11.49% | | Net Operating Loss | $(820,490) | $(4,396,615) | +81.34% | $(1,617,893) | $(6,454,896) | +74.93% | | Other (Expense) Income, Net | $(4,492,520) | $2,357,407 | -290.54% | $(6,309,717) | $231,444 | -2826.7% | | Net Loss Attributable to Common Stockholders | $(2,320,083) | $(2,235,219) | -3.80% | $(2,989,368) | $(5,043,300) | +40.73% | | Basic and Diluted Net Loss Per Share | $(0.07) | $(0.07) | 0.00% | $(0.10) | $(0.16) | +37.50% | Balance Sheet Summary (As of Period End) | Metric | June 30, 2025 | December 31, 2024 | Change | | :--------------------------------- | :------------- | :------------- | :------------- | | Total Unrestricted Cash and Investments | $48,934,766 | $41,659,941 | +17.46% | | Total Assets | $730,629,347 | $728,345,729 | +0.31% | | Total Liabilities | $175,352,678 | $165,626,276 | +5.88% | | Total Equity Attributable to Boston Omaha Stockholders | $530,966,694 | $532,819,509 | -0.35% | | Noncontrolling Interests | $24,309,975 | $29,899,944 | -18.69% | | Total Equity | $555,276,669 | $562,719,453 | -1.32% | Key Financial Details and Investment Insights In Q2 2025, 'Other (Expense) Income, Net' was primarily impacted by unrealized losses on Sky Harbour warrants and BOAM-related losses, partially offset by income from unconsolidated affiliates and realized gains on Sky Harbour stock; the company's investment in Sky Harbour is valued at $84.8 million under the equity method but would be $127.2 million at fair value, with H1 operating cash inflows slightly increasing and book value per share slightly decreasing - Key components of 'Other (Expense) Income, Net' in Q2 2025: * Unrealized loss on Sky Harbour warrants: $10.7 million * BOAM-related losses (primarily from fair value changes in 24th Street Funds assets): $2.6 million * Interest expense: $0.6 million * Income from unconsolidated affiliates (primarily from equity method investment in Sky Harbour): $6.1 million * Realized gain on sale of 509,206 shares of Sky Harbour Class A common stock: $2.9 million * Interest and dividend income: $0.2 million[5] Sky Harbour Investment Valuation (As of June 30, 2025) | Valuation Method | Amount | | :--------------- | :---------- | | Equity Method | $84.8 million | | Fair Value | $127.2 million | - Cash flow from operating activities: * H1 2025: $7.1 million * H1 2024: $6.9 million * Year-over-year increase: $0.2 million[7] Book Value Per Share | Date | Book Value Per Share | | :----------------- | :------------- | | June 30, 2025 | $16.88 | | December 31, 2024 | $16.99 | | Change | -0.65% | - As of June 30, 2025, and August 12, 2025, 30,872,876 shares of Class A common stock and 580,558 shares of Class B common stock were outstanding[8] Company Information and Disclosures About Boston Omaha Corporation Boston Omaha Corporation is a publicly traded holding company with four primary operating businesses encompassing outdoor advertising, broadband telecommunications services, surety insurance, and asset management - Boston Omaha Corporation's four primary businesses include: * Outdoor advertising * Broadband telecommunications services * Surety insurance * Asset management[9] Forward-Looking Statements This press release contains forward-looking statements protected by the safe harbor provisions of the Private Securities Litigation Reform Act of 1995; actual results may differ materially due to various risks and uncertainties, and the company undertakes no obligation to update these statements in the future - Forward-looking statements involve the company's future expectations, plans, and prospects, including financing strategies, operations, financial condition, market growth, and revenue[10] - Actual results may differ materially from forward-looking statements due to various risks and uncertainties, including but not limited to: estimates of market opportunity, industry competition, economic conditions, ability to integrate acquisitions, reinsurance counterparty risk, investment risks, historical losses and future profitability, and other risks described in SEC filings[10] - The company undertakes no obligation to update these forward-looking statements in the future and emphasizes that these statements should not be relied upon as representing views as of any subsequent date[10] Investor Resources and Contacts The company encourages investors to visit its investor relations website, which provides SEC filings, corporate governance information, and press releases, and also provides contact information for inquiries - The investor relations website (https://investor.bostonomaha.com) serves as a comprehensive resource for company SEC filings, corporate governance information, and press releases[11] - Contact information: Josh Weisenburger, 402-210-2633, contact@bostonomaha.com[12]