Townsquare Reports Increased Third-Quarter 2016 Results
November 8, 2016 at 4:12 AM (PT)
TOWNSQUARE MEDIA has released financial results for the third quarter ended SEPTEMBER 30th, 2016.
"In the third quarter, net revenue and Adjusted EBITDA increased 28% and 32% over the prior year, respectively, and net income decreased 4%. Excluding the impact of a one-time impairment charge, net income increased 12% over the prior year," commented Chairman/CEO STEVEN PRICE. "On a pro forma basis, our Local Marketing Solutions segment continued its positive momentum by delivering another quarter of solid growth, with net revenue increasing approximately 4% over the prior year period. These results were offset by a decline in our Entertainment segment due primarily to exceptionally poor weather at four of our largest fairs. Excluding those fairs, TOWNSQUARE's pro forma net revenue and Adjusted EBITDA increased approximately 2% and 3%, respectively."
Third Quarter Highlights
As compared to the third quarter of 2015 on an actual basis:
- Net revenue increased 27.9%
- Net income decreased 3.6%
- Adjusted EBITDA increased 32.4%
As compared to the third quarter of 2015 on a pro forma basis:
- Net revenue was approximately flat
- Local Marketing Solutions net revenue increased 3.8%
- Entertainment net revenue decreased 4.5%
- Net income decreased 31.7%
- Adjusted EBITDA decreased 2.1%
Net revenue for the quarter ended SEPTEMBER 30th, 2016 increased $36.2 million, or 27.9%, to $165.8 million, as compared to $129.6 million in the same period last year. The company noted, "this was driven primarily by the net revenue contribution of NORTH AMERICAN MIDWAY ENTERTAINMENT ("NAME"), which was acquired on SEPTEMBER 1st, 2015. LOCAL MARKETING SOLUTIONS net revenue increased $3.1 million, or 3.6%, to $89 million and Entertainment net revenue increased $33.1 million, or 76%, to $76.8 million.
Pro forma net revenue decreased $0.3 million, or 0.2%, to $165.8 million, as compared to $166 million in the same period last year. The company explains, "As used in this release, the term "pro forma" means pro forma for the acquisition of NAME and the divestiture of 43 of our towers on SEPTEMBER 1st, 2015. LOCAL MARKETING SOLUTIONS pro forma net revenue increased $3.3 million, or 3.8%, to $89.0 million and Entertainment pro forma net revenue decreased $3.6 million, or 4.5%, to $76.8 million. Excluding political revenue, pro forma net revenue decreased $1.3 million, or 0.8%, to $164.4 million and Local Marketing Solutions pro forma net revenue increased $2.3 million, or 2.7%, to $87.7 million."