iHeartMedia Reports Q3 Revenues Up 1.2%
November 9, 2016 at 4:03 AM (PT)
iHEARTMEDIA has reported financial results for the third quarter ended SEPTEMBER 30, 2016.
The company noted, "iHEARTMEDIA revenues increased $10.2 million, or 1.2%, during the third quarter 2016 as compared to the third quarter 2015. Growth in broadcast radio and digital advertising was driven primarily by higher political revenues as a result of the Presidential election year, growth in our network businesses, including our syndication business driven by growth in our news/talk format, our traffic and weather business, as well as higher revenues from our events, including the iHEARTRADIO MUSIC FESTIVAL. The increase in revenues was partially offset by lower local broadcast radio advertising revenues."
“We continue to grow our audiences across our broadcast radio, outdoor, digital, social, mobile and events platforms, while advancing our transformation as a digital-facing, data-rich company built on the power of broadcast radio and out-of-home,” said Chairman/CEO BOB PITTMAN. “This quarter, we were excited to announce the reimagining of live radio with our two new subscription services, iHEARTRADIO PLUS and iHEARTRADIO ALL ACCESS, set to debut in JANUARY 2017. In addition, at both iHEARTMEDIA and outdoor, we continue to invest in programmatic buying platforms and research analytics tools to leverage our assets for the benefit of our marketing and advertising partners, and at Americas outdoor and International outdoor, we continue to realign our resources to expand our digital out-of-home networks.”
Pres./COO/CFO RICH BRESSLER said, “This quarter, we delivered revenue and operating income growth at both iHeartMedia and International outdoor. Americas outdoor's revenue and operating income declined as the result of the sales of nine non-strategic markets; excluding the impact of the sales, revenues increased. Overall, our investments are enhancing our businesses -- allowing us to keep developing and delivering innovative new products to our consumers, all while staying focused on tight operating and financial discipline.”
- Consolidated revenue decreased 0.6%. Consolidated revenue increased 1.9%, after adjusting for a $5.9 million impact from movements in foreign exchange rates and the $32.8 million impact of the non-strategic outdoor markets sold in 2016.
- iHEARTMEDIA revenues increased $10.2 million, or 1.2%. Revenues increased $3.7 million, or 0.4%, excluding political revenue.
- AMERICAS OUTDOOR revenues decreased $24.3 million, or 7.0%. Revenues increased $3.5 million, or 1.1%, after adjusting for a $0.1 million impact from movements in foreign exchange rates and a $27.9 million impact from the non-strategic markets sold in the first quarter of 2016.
- International outdoor revenues increased $1.2 million, or 0.3%. Revenues increased $12.1 million, or 3.5%, after adjusting for a $6.0 million impact from movements in foreign exchange rates and a $4.9 million impact from the sale of our business in TURKEY in the second quarter of 2016.
- Operating income increased $32.3 million, or 12.1%.
- OIBDAN increased 4.1% and increased 7.0%, excluding the impact from movements in foreign exchange rates and the impact of the non-strategic outdoor markets sold in 2016.