Cumulus Media Q4 Revenues Up, But Net Income Falls
March 2, 2015 at 2:59 PM (PT)
CUMULUS MEDIA fourth-quarter net revenue rose 19.5% to $329,247,000, attributed to the addition of WESTWOOD ONE and LMAs in CHICAGO and SAN JOSE and digital revenue increases at RDIO and SWEETJACK, but just 0.3% pro forma (assuming the WESTWOOD ONE addition and TOWNSQUARE/FRESNO sale were both in effect as of JANUARY 2013 rather than in fourth quarter 2013) as broadcast advertising rose 12.2% in actual numbers but fell 6.8% pro forma.
Adjusted EBITDA rose with the WESTWOOD ONE addition by 7.7% to $90,419,000, but fell 6.2% on a pro forma basis. Net income fell from $150,933,000 to $3,361,000 (66 to 2 cents/share).
Content costs jumped 55.4% to $116,727,000 on an actual basis and 7.6% to $108,495,000 on a pro forma basis, attributed to the WESTWOOD ONE addition, the launch of NASH FM at WNSH-F/NEW YORK, and the CHICAGO and SAN JOSE LMAs.
The numbers missed WALL STREET expectations.
Looking at 2014 revenue, CUMULUS Broadcast ad revenue – which comprised over 90% of the company’s revenue intake, rose 18.4%, while Digital revenue increased 135%, with Political revenue increasing almost 340%. That was offset by a 63.7% rose in Content costs for the entire year.