iHeartMedia Sees Radio Revenues Rise, Net Loss Narrowing In Second Quarter
July 30, 2015 at 4:20 AM (PT)
iHEARTMEDIA, INC. second-quarter consolidated revenues rose 2% to $1.7 billion (down 2% to $1.6 billion when unfavorable foreign exchange rates are included).
iHEARTMEDIA (broadcasting/digital operation) revenues were up 4% to $840.7 million, driven by higher local and national radio broadcast revenues and traffic, weather, event and syndication (including News-Talk) revenues, while AMERICAS Outdoor dropped 1% to $341.3 million and International Outdoor fell 13% to $381.5 million (up 2% excluding the exchange rate issue).
Consolidated net loss fell from $172 million to $47 million, which reflects a $99 million gain on the sale of radio towers and a $48 million loss on extinguishment of debt incurred in the second quarter of 2014, partially offset by higher lease expense and higher income tax expense.
Chairman/CEO BOB PITTMAN said, “We continue to differentiate ourselves in the marketplace with our unmatched portfolio of products, media platforms, content and personalities -- all built on the power of broadcast radio and out of home -- which give us the most powerful marketing vehicles available today. We are building on the power of sound and social, the power of outdoor and the emerging power of digital to create even stronger marketing solutions for our partners, while providing the most live content and events to the industry’s most engaged audiences, wherever they are and on whatever device they want to use. We continue to find creative ways to use iHEARTMEDIA’s cross-platform assets to redefine the future of consumer media and entertainment.”
Pres./COO/CFO RICH BRESSLER added, “We’re pleased with the revenue and OIBDAN growth we achieved this quarter. We continue to invest in our capabilities across both iHEARTMEDIA and outdoor to realize the full value of our multi-platform assets. With no significant debt maturities until 2018, we can continue focusing on growing the top and bottom lines across our business segments."
The company also announced that it closed on a second wave of tower sales on JULY 16th for about $5.9 million and entered into 15-year lease deals with three options for 5 year renewals to continue to use eight of the towers.