Cumulus Media (CMLS) Reports Q3 Loss, Beats Revenue Estimates

Core Insights - Cumulus Media reported a quarterly loss of $1.17 per share, which was worse than the Zacks Consensus Estimate of a loss of $0.83, and compared to a loss of $0.61 per share a year ago, indicating a significant earnings surprise of -40.96% [1] - The company generated revenues of $180.26 million for the quarter ended September 2025, slightly surpassing the Zacks Consensus Estimate by 0.28%, but down from $203.6 million in the same quarter last year [2] - Cumulus shares have declined approximately 78.1% year-to-date, contrasting with the S&P 500's gain of 17.2% [3] Financial Performance - Over the last four quarters, Cumulus has exceeded consensus EPS estimates twice and topped revenue estimates two times as well [2] - The current consensus EPS estimate for the upcoming quarter is -$0.69 on revenues of $194.7 million, and for the current fiscal year, it is -$4.14 on revenues of $747.83 million [7] Industry Outlook - The Broadcast Radio and Television industry, to which Cumulus belongs, is currently ranked in the bottom 41% of over 250 Zacks industries, suggesting a challenging environment for performance [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which could impact Cumulus's stock performance [5] Future Expectations - The sustainability of Cumulus's stock price movement will largely depend on management's commentary during the earnings call and the subsequent revisions of earnings estimates [3][4] - The estimate revisions trend for Cumulus was mixed prior to the earnings release, resulting in a Zacks Rank 3 (Hold) for the stock, indicating expected performance in line with the market [6]