Westwood One Revenues Down A Fifth in 1Q '09
May 11, 2009 at 2:52 PM (PT)
WESTWOOD ONE's net revenues fell 19.4% to $85.9 million in the first quarter of 2009, The decline from $106.6 million in Q1 2008 was blamed on "the current economic downturn and the general decline in advertising spending, which started to contract mid-year 2008. The decline accelerated during the fourth quarter of 2008 and has continued in 2009."
Breaking the numbers out, network radio revenues dropped 13.5% in Q1, while Metro Traffic took a 26.9% hit. WESTWOOD ONE lost $6.9 million in adjusted EBITDA in Q1, with a net loss of $15.2 million (17 cents per diluted common share), compared to a loss of $5.3 million (6 cents) in 2008.
"WESTWOOD ONE achieved several major goals in the first part of 2009 that have positioned it well to drive its strategic initiatives for the rest of the year," Pres./CFO ROD SHERWOOD said. "Most importantly, the company's financial structure has been solidified by the successful completion of the debt refinancing and equity recapitalization, which was the linchpin of the company's turnaround strategy."