Cumulus Media(US:CMLS)2022-05-03 16:00Financial Performance - Net revenue for Q1 2022 was $232.0 million, a 15.0% increase from $201.7 million in Q1 2021[92] - Adjusted EBITDA for Q1 2022 was $31.2 million, up 249.5% from $8.9 million in Q1 2021[92] - Net loss for Q1 2022 decreased to $0.9 million from $21.9 million in Q1 2021, representing a 95.9% improvement[92] Expenses - Content costs for Q1 2022 were $91.3 million, a slight increase of 1.3% from $90.1 million in Q1 2021[92] - Selling, general and administrative expenses rose to $95.3 million, a 5.8% increase from $90.1 million in Q1 2021[92] - Interest expense decreased to $15.9 million in Q1 2022 from $17.5 million in Q1 2021, a reduction of 9.6%[92] - Corporate expenses increased by 10.5% to $18.2 million, primarily due to operational realignment[92] Advertising Revenue - The company experienced a significant recovery in advertising revenue due to the easing of COVID-19 restrictions[94] - Local marketing agreement fees dropped significantly by 99.0% to $5, down from $496 in Q1 2021[92] Cash Flow and Liquidity - As of March 31, 2022, the company had $181.1 million in cash and cash equivalents, with cash generated from operating activities of $24.3 million for the three months ended March 31, 2022, compared to $25.9 million for the same period in 2021[112] - Net cash provided by operating activities decreased slightly to $24.3 million for the three months ended March 31, 2022, primarily due to changes in working capital[122] - Net cash used in investing activities was $(4.0 million) for the three months ended March 31, 2022, compared to $(2.9 million) for the same period in 2021, mainly due to capital expenditures[123] - Net cash used in financing activities was $(16.2 million) for the three months ended March 31, 2022, primarily related to a $12.5 million Excess Cash Flow payment and repayments of financing obligations[125] - The company anticipates that cash on hand, future cash from operations, and borrowings will be sufficient to fund operations and debt service obligations[116] Capital and Investment - The company has evaluated opportunities to obtain additional capital through divestitures and the issuance of equity or debt securities[117] Risks and Uncertainties - The company continues to monitor the impact of COVID-19 on its operations and financial condition, with uncertainties remaining[86] - Future reductions in revenue or profitability are possible and could materially affect the company's business and financial condition[115] - The company’s cash flows from operations are subject to risks such as fluctuations in advertising media preferences and changes in demand due to demographic shifts[113] - A 100 basis point increase in the variable interest rate would have increased interest expense by approximately $0.8 million for the three months ended March 31, 2022[111] - The company did not have any off-balance sheet arrangements as of March 31, 2022[127]