Financial Data and Key Metrics Changes - In Q1 2025, the company generated adjusted EBITDA of $105 million, flat compared to the prior year, and consolidated revenue increased by 1% year-over-year, exceeding guidance of a low single-digit decline [5][11][13] - The consolidated direct operating expenses rose by 4.4%, primarily due to higher variable content costs associated with digital growth [12] - The company reported a GAAP operating loss of $25.4 million, an improvement from a loss of $34.7 million in the prior year [13][17] Business Line Data and Key Metrics Changes - The Digital Audio Group's revenue was $277 million, up 16% year-over-year, with adjusted EBITDA of $87 million, a 27.8% increase [6][14] - Podcast revenue within the Digital Audio Group grew by 28% year-over-year, significantly above guidance [6][15] - The Multi-Platform Group's revenue was $473 million, down 4.2% year-over-year, with adjusted EBITDA of $70 million, down 9.3% [7][16] - The Audio and Media Services Group's revenue decreased by 14.2% year-over-year to $59 million, with adjusted EBITDA down 33.3% [9][17] Market Data and Key Metrics Changes - iHeartMedia's share of advertising revenue in measured markets grew to 40%, indicating a strong position among national advertisers [8][9] - The company noted that the largest gains in advertising revenue came from professional services, tech and telco, beauty and fitness, and education, while declines were seen in restaurants, auto, gambling, and political categories [11][12] Company Strategy and Development Direction - The company is focused on leveraging new technologies, including programmatic and AI, to enhance operational efficiency and drive growth [4][5] - A modernization program is expected to generate $150 million in net savings in 2025, primarily through technology and AI [9][13] - The company aims to reignite growth in its broadcast radio business while maintaining leadership in podcasting [9][10] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism regarding the advertising marketplace, noting stable ad spend despite economic uncertainties [4][11] - The company anticipates Q2 2025 adjusted EBITDA in the range of $140 million to $160 million, with revenue expected to decline low single digits compared to the prior year [18] - Future guidance remains contingent on macroeconomic conditions improving in the latter half of the year [19] Other Important Information - The company reported a net debt of approximately $4.6 billion and total liquidity of $569 million, with a cash balance of $168 million [17] - Free cash flow for Q1 was negative $80.7 million, consistent with the prior year, but positive free cash flow is expected in the remaining quarters of 2025 [17] Q&A Session Summary Question: Insights on the advertising market and visibility - Management noted that larger advertisers are maintaining their spending, while small and medium-sized businesses are more affected by economic news [22][23] Question: Market share in terrestrial radio - Management highlighted that broadcast radio has more listeners than a decade ago, and the focus is on monetization through digital platforms [27][28] Question: Podcasting growth drivers - The company emphasized its strong podcast portfolio and audience, which continues to grow, contributing to revenue acceleration [35][38] Question: Cost savings and future opportunities - The $27 million in cost savings for Q1 was actual impact, with expectations of continued savings throughout the year [50][51] Question: Nielsen's updated ratings methodology - Management expressed optimism about Nielsen's efforts to capture more accurate listening data, which is crucial for advertising effectiveness [53][54] Question: Programmatic advertising adoption - Management indicated that while programmatic advertising is progressing, it has not yet materially impacted Premier Networks' performance [58][59]

Financial Data and Key Metrics Changes - The company generated adjusted EBITDA of $246 million in Q4 2024, an increase of 18.2% compared to the prior year [6][20] - Consolidated revenues for the quarter were up 4.8% year over year, but down 1.8% when excluding political impacts [7][19] - The company reported a GAAP operating income of $104.5 million, compared to $79.8 million in the prior year quarter [20] - Free cash flow was negative $24 million due to debt transaction expenses and modernization costs, but would have been $111 million when adjusted [25] Business Line Data and Key Metrics Changes - The Digital Audio Group generated revenues of $339 million, up 6.7% year over year, with adjusted EBITDA of $119 million, up 2.1% [7][21] - Podcast revenues within the Digital Audio Group grew 6% year over year, totaling $140 million [21] - The Multiplatform Group's revenues were flat at $684 million, with adjusted EBITDA of $150 million, up 5.9% [13][23] - The Audio and Media Services Group saw revenues of $98 million, up 44.7% year over year, with adjusted EBITDA of $49 million, up 136% [15][23] Market Data and Key Metrics Changes - The company noted a slowdown in non-political advertising revenue just before the presidential election, which did not rebound as expected [19] - The Los Angeles market was disrupted by wildfires, impacting revenue, but is expected to normalize [46] Company Strategy and Development Direction - The company is focused on modernizing its operations, flattening the organization, and eliminating redundancies to accelerate earnings growth [5][6] - A comprehensive exchange transaction was completed to extend debt maturities and reduce overall debt levels, enhancing financial flexibility [5][24] - The company aims to integrate broadcast radio inventory into programmatic platforms to unlock new revenue opportunities [16][17] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism for the year ahead despite economic uncertainties such as tariffs, inflation, and consumer confidence declines [26][48] - The company expects Q1 2025 adjusted EBITDA to be in the range of $100 million to $110 million, with revenues expected to decline low single digits compared to the prior year [27][28] - Management remains confident in the strength of their assets and the potential for recovery in advertising spending [49][50] Other Important Information - The company launched a redesigned iHeartRadio app, receiving positive feedback from listeners [12] - The company is the number one podcast publisher in the U.S. and is expanding its leadership position globally [10][11] Q&A Session Summary Question: How is the company thinking about monetizing broadcast listening going forward? - Management emphasized the importance of programmatic advertising and automated buying to fit broadcast radio inventory into modern buying systems [31][34] Question: Can you address the video podcasting opportunity? - Management noted that while there is interest in video podcasting, the majority of podcast users prefer audio, and the focus remains on consumer preferences [39][40] Question: What were the drivers of January's advertising growth? - Management indicated that January's growth was a result of a delayed response from advertisers following the election, but noted that Q1 is typically the lowest revenue quarter [58][60] Question: What are the expected drivers of growth in the podcasting business this year? - Management highlighted expanding product offerings, audience growth, and increased demand as key drivers for podcasting revenue growth [66] Question: Why was political advertising revenue lower than expected? - Management explained that political campaigns are becoming more data-driven, and the company is working to adapt to these changes for future cycles [67][68]