Second quarter earnings season for radio doesn’t begin until early August but preliminary results disclosed by the industry’s largest company offer promising signs.
The preliminary unaudited estimates were disclosed in a regulatory filing as iHeartMedia prepares to meet with investors this week ahead of its listing on the NASDAQ stock exchange this Thursday. iHeart received the greenlight for its Class A stock to be listed on the NASDAQ Global Select Market in late June under the ticker “IHRT.”
Q2 2019 revenues at iHeartMedia rose 2.4% to $913 million from $892 million one year earlier. Earnings before interest, taxes, depreciation and amortization (EBITDA, a measure of cash flow) increased 3.1% to $263 million from $255 million in Q2 2018. Subtracting political revenue from the equation – last year was a mid-term Congressional election year – iHeart revenues grew 3.8% to $908 million from $875 million in the prior year period.
Monday’s 8-K filing also includes the company’s 2019 full-year guidance. It calls for revenue growth in the low single digits and adjusted earnings margins in the 26%-29% range.
The company notes that the results are impacted by “fresh start accounting adjustments” applied upon the company’s emergence from Chapter 11 bankruptcy on May 1 and may affect the comparability of the estimates.