Fourth Quarter Net Revenues Increased 8% and
Grew 13% Excluding Political
Full Year Revenues Increased 15% and Full
Year Adjusted EBITDA Increased 48%
Audacy, Inc. (NYSE: AUD) today reported financial results for
the quarter ended December 31, 2021.
David J. Field, President and Chief Executive Officer, stated:
“Audacy’s fourth quarter revenues grew 8% over the prior year, 13%
ex-political, led by double digit growth in both digital and spot
radio. Pandemic recovery continued as an increasing number of
disrupted advertisers resumed spending.
In 2021, we accelerated our organizational development through a
number of important strategic acquisitions, organic growth
initiatives, structural improvements, and content and senior talent
additions. This was also the year in which we rebranded the company
to reflect our evolution into a leading, multi-platform audio
content and entertainment company with scaled audience reach and
important leadership positions across the full spectrum of the
dynamic, growing audio market. Our 2021 acquisitions of Podcorn and
AmperWave, plus BetQL just prior to the start of the year, are
important additions to our capabilities that will fuel accelerated
growth and enhance how we serve our listeners and customers.
Audacy today is well positioned to capitalize on the exciting
growth opportunities within audio at the same time as we anticipate
the continuing recovery of radio ad spending. We are off to a very
good start to 2022 and our team is excited about the year
ahead.”
Fourth Quarter Summary
- Net revenues for the quarter were $344.7 million, up 8%
compared to $319.5 million in the fourth quarter of 2020. Excluding
the impact of political advertising, fourth quarter net revenues
increased 13% compared to the prior year
- Core spot revenues (local plus national excluding political)
were $218.4 million, up 10% compared to the fourth quarter of
2020
- Digital revenues were $68.1 million, up 16% compared to the
fourth quarter of 2020
- Total operating expenses for the quarter were $296.6 million,
compared to $524.3 million in the fourth quarter of 2020, which
included a non-cash impairment charge of $247.4 million
- Operating income for the quarter was $48.1 million, compared to
an operating loss of $204.8 million in the fourth quarter of
2020
- Adjusted EBITDA for the quarter was $66.2 million, compared to
$66.5 million in the fourth quarter of 2020
Recent Company Developments
- Acquired WideOrbit Streaming. We acquired WideOrbit’s
digital audio streaming and ad tech business for approximately $40
million and relaunched it as AmperWave. This acquisition gives us
control of our product roadmap to deliver enhanced consumer-facing
live and on demand streaming features to our 200 million monthly
listeners using the cloud-based distribution and monetization
platform. Since acquisition, relaunch and successful integration
into the product portfolio, Audacy has begun migrating its stations
to the AmperWave streaming platform. In addition to investments to
accelerate key platform differentiators, the business unit has also
expanded monetization offerings for current clients.
- Audacy Podcasts Topped Pundits' 2021 Lists. Audacy’s
Cadence13 and Pineapple Street Studios figured prominently on 2021
year-end/best of lists. Pineapple’s 9/12 was the most critically
acclaimed podcast in the United States in 2021, and it and Welcome
to Your Fantasy were both recognized as shows of the year by the
New York Times, Vogue, FT, Variety, The Atlantic, Mashable, Time,
Esquire, and The New Yorker. In addition, Cadence13’s We Can Do
Hard Things with Glennon Doyle was the #1 Top New Show on Apple
Podcasts: Best of 2021.
- Hard Rock International. We entered into a multi-faceted
partnership with Hard Rock International (HRI). As part of the
deal, Audacy and HRI will partner on live events at a new flagship
performance space in New York City, as well as music festivals and
Hard Rock Cafe events around the country and worldwide. Audacy
plans to host several events at Hard Rock venues in spring 2022,
including the launch of a new concert event, Leading Ladies Live,
to celebrate country music’s biggest female stars and rising
talent. Audacy and Hard Rock will also partner on existing
festivals, including Tortuga Music Festival, in conjunction with
Live Nation.
Earnings Conference Call and Company Information
Audacy will hold a conference call and simultaneous webcast
regarding the quarterly earnings release on Wednesday, February 23,
2022, at 10:00 AM Eastern Time. To participate in the conference
call, please dial 877-407-9208 or 201-493-6784 five minutes prior
to the start of the call and provide the following conference name:
Audacy, Inc. – Fourth Quarter 2021 Earnings Call. Participants may
also listen to a live webcast of the call by visiting
https://viavid.webcasts.com/starthere.jsp?ei=1521201&tp_key=7cb42d0c24.
Questions will only be taken from participants on the conference
call. A playback of the conference call will be available for one
week by dialing (844) 512-2921 or (412) 317-6671 and inputting the
following ID: 13725900. A webcast replay of the conference will be
available shortly after the call at the above link. Additional
information is available on the Company’s website at
www.audacyinc.com.
About Audacy
Audacy, Inc. (NYSE: AUD) is a leading multi-platform audio
content and entertainment company with the country’s best
collection of local music, news and sports brands, a premium
podcast creator, major event producer, and digital innovator.
Audacy engages 200 million consumers each month, bringing people
together around content that matters to them. Learn more at
www.audacyinc.com, Facebook (Audacy Corp) and Twitter
(@AudacyCorp).
Certain Definitions
All references to per share data, unless stated otherwise, are
presented as per diluted share. All references to shares
outstanding, unless stated otherwise, are presented to exclude
unvested restricted stock units. All references to net debt are
outstanding debt net of cash on hand.
Core Spot Revenues consist of local spot plus national spot
advertising revenues less political spot advertising revenues.
Station Expenses consist of station operating expenses excluding
non-cash compensation expense.
Corporate Expenses consist of corporate general and
administrative expenses excluding non-cash compensation
expense.
Adjusted EBITDA consists of net income (loss) available to
common shareholders, adjusted to exclude: income taxes (benefit);
income from discontinued operations, net of income taxes or
benefit; total other income or expense; net interest expense;
depreciation and amortization; time brokerage agreement fees
(income); non-cash compensation expense (which is otherwise
included in station operating expenses and corporate G&A
expenses); refinancing expenses; impairment loss, merger and
acquisition costs, restructuring and integration costs, preferred
stock dividends; COVID-19 related expenses, non-recurring
expenses/recoveries otherwise included in corporate or station
expenses, (gain) loss on early extinguishment of debt, and (gain)
loss on sale or disposition of assets.
Adjusted Free Cash Flow consists of net income (loss): (i) plus
depreciation and amortization; (gain) loss on sale or disposal of
assets; non-cash compensation expense (which is otherwise included
in station operating expenses and corporate general and
administrative expenses); impairment loss; merger and acquisition
costs; restructuring and integration costs, (gain) loss on early
extinguishment of debt; COVID-19 related expenses, other income and
non-recurring expenses/recoveries otherwise included in corporate
or station expenses; income from discontinued operations (excluding
income taxes or tax benefit); amortization of deferred financing
costs and debt premium included in interest expense; refinancing
expenses; income taxes (benefit); Adjusted Income Taxes Paid, and
Net Capital Expenditures.
Net Capital Expenditures consists of capital expenditures,
including amortizable intangibles, adjusted to subtract reimbursed
tenant improvement allowances.
Adjusted Income Taxes Paid consist of income tax paid, adjusted
to exclude taxes paid related to the gain/loss on sale or exchange
of radio station assets; and taxes paid related to the gain/loss on
the sale of redundant property.
Non-GAAP Financial Measures
It is important to note that Adjusted EBITDA, Adjusted Free Cash
Flow, Net Capital Expenditures and Adjusted Income Taxes Paid are
not measures of performance or liquidity calculated in accordance
with generally accepted accounting principles (“GAAP”). Management
believes that these measures are useful as a way to evaluate the
Company and the means for Management to evaluate our performance
and operations. Management believes that these measures are useful
to an investor in evaluating our performance because they are
widely used in the broadcast industry.
Certain adjusted non-GAAP financial measures are presented in
this release. The adjustments include, among other items as defined
above, gain/loss on sale of assets, derivative instruments, and
investments; non-cash compensation expense, other income,
impairment loss, merger and acquisition costs, other expenses
related to refinancing, and gain/loss on early extinguishment of
debt and non-recurring expenses recognized for restructuring
charges or similar costs, including transition and integration
costs. Management believes these adjusted non-GAAP measures provide
useful information to Management and investors by excluding certain
income, expenses and gains and losses that may not be indicative of
the Company’s core operating and financial results. Similarly,
Management believes these adjusted measures are a useful
performance measure because certain items included in the
calculation of net income (loss) may either mask or exaggerate
trends in the Company’s ongoing operating performance. Further, the
reconciliations corresponding to these adjusted measures, by
identifying the individual adjustments, provide a useful mechanism
for investors to consider these adjusted measures with some or all
of the identified adjustments.
Management uses these non-GAAP financial measures on an ongoing
basis to help track and assess the Company's financial performance.
You, however, should not consider non-GAAP measures in isolation or
as substitutes for net income (loss), operating income, or any
other measure for determining our operating performance that is
calculated in accordance with generally accepted accounting
principles. These non-GAAP measures are not necessarily comparable
to similarly titled measures employed by other companies. The
accompanying financial tables provide reconciliations to the
nearest GAAP measure of all non-GAAP measures provided in this
release.
Note Regarding Forward-Looking Statements
The information in this news release is being widely
disseminated in accordance with the Securities and Exchange
Commission's Regulation FD. This news announcement contains certain
forward-looking statements that are based upon current expectations
and certain unaudited information that is presented for
illustrative purposes only and involves certain risks and
uncertainties within the meaning of the U.S. Private Securities
Litigation Reform Act of 1995. Additional information and key risks
are described in the Company’s filings on Forms S-4, 8-K, 10-Q and
10-K with the Securities and Exchange Commission. Readers should
note that these statements might be impacted by several factors
including changes in the economic and regulatory climate and the
business of radio broadcasting, in general. The unaudited pro forma
information and same station operating data reflect adjustments and
are presented for comparative purposes only and do not purport to
be indicative of what has occurred or indicative of future
operating results or financial position. Accordingly, the Company’s
actual performance may differ materially from those stated or
implied herein. The Company assumes no obligation to publicly
update or revise any unaudited pro forma or forward-looking
statements.
AUDACY,
INC.
FINANCIAL
DATA
(amounts in
thousands, except per share data)
(unaudited)
Three Months Ended
Twelve Months Ended
December 31,
December 31,
2021
2020
2021
2020
STATEMENTS OF
OPERATIONS
Net Revenues
$
344,732
$
319,495
$
1,219,404
$
1,060,898
Station Expenses
256,922
238,805
972,792
905,448
Station Expenses - Non-Cash
Compensation
1,127
796
4,181
2,348
Corporate Expenses
19,914
20,230
84,658
57,653
Corporate Expenses - Non-Cash
Compensation
2,027
2,291
8,753
6,907
Depreciation And Amortization
13,548
12,567
52,238
50,231
Other expenses
426
492
992
553
Impairment Loss
843
247,411
2,214
264,432
Restructuring Charges
1,452
1,671
5,671
11,981
Integration Costs
-
-
-
491
Refinancing Expenses
372
-
845
Total Operating Expenses
296,631
524,263
1,132,344
1,300,044
Operating Income (Loss)
48,101
(204,768)
87,060
(239,146)
Net Interest Expense
25,027
20,987
91,511
87,096
Net (Gain) Loss on Early Extinguishment of
Debt
-
-
8,168
-
Net (Gain) Loss on Sale or Disposal of
Assets
(4,632)
89
(8,363)
(139)
Other (Income) Expense
-
-
(446)
-
Income (Loss) Before Income Taxes
27,706
(225,844)
(3,810)
(326,103)
Income Taxes (Benefit)
6,296
(63,447)
(238)
(83,879)
Net Income (Loss)
$
21,410
$
(162,397)
$
(3,572)
$
(242,224)
Net Income (Loss) Per Share - Basic
$
0.16
$
(1.21)
$
(0.03)
$
(1.80)
Net Income (Loss) Per Share - Diluted
$
0.16
$
(1.21)
$
(0.03)
$
(1.80)
Dividends Declared And Paid Per Common
Share
$
0.00
$
0.00
$
0.00
$
0.02
Weighted Common Shares Outstanding -
Basic
136,110
134,611
135,981
134,571
Weighted Common Shares Outstanding -
Diluted
138,006
134,611
135,981
134,571
SUPPLEMENTAL
BREAKDOWN OF REVENUE BY TYPE
Spot (local and national)
222,127
216,852
799,687
705,743
Digital (including podcasting)
68,079
58,800
237,824
189,988
Network
22,463
23,457
84,089
80,346
Sponsorships and Events
20,297
9,607
52,319
42,478
Other
11,766
10,779
45,485
42,343
$
344,732
$
319,495
$
1,219,404
$
1,060,898
Political
$
3,700
$
18,891
$
9,652
$
32,285
Three Months Ended
Twelve Months Ended
December 31,
December 31,
2021
2020
2021
2020
SUPPLEMENTAL
BREAKDOWN OF REVENUE BY FORMAT
Music
179,239
171,939
634,941
567,807
Sports
71,158
60,867
251,021
192,939
News/Talk
52,814
54,388
195,169
191,352
Non-format specific
41,521
32,301
138,273
108,800
$
344,732
319,495
$
1,219,404
1,060,898
SUPPLEMENTAL
DISCLOSURES OF CASH FLOW INFORMATION
Net Capital Expenditures
$
37,340
$
8,932
$
76,607
$
29,992
Adjusted Income Taxes Paid (Refunded)
$
4
$
(1,233)
$
(300)
$
2,724
Cash Dividends On Common Stock Declared
And Paid
$
-
$
-
$
-
$
2,692
SELECTED BALANCE
SHEET DATA
December 31,
December 31,
2021
2020
Cash and Cash Equivalents
$
59,439
$
30,964
Senior Debt - Term B-2 Loan (Includes
Current Portion)
$
632,415
$
754,006
Senior Debt - Revolver (Includes Current
Portion)
$
97,727
$
114,727
Senior Secured Notes - 2027
$
470,000
$
425,000
Senior Secured Notes - 2029
$
540,000
$
-
Senior Notes
$
-
$
400,000
Total Shareholders' Equity
$
652,205
$
644,738
OTHER FINANCIAL DATA
Three Months Ended
Twelve Months Ended
December 31,
December 31,
2021
2020
2021
2020
Reconciliation Of
GAAP Net Income (Loss) To Adjusted EBITDA and To Adjusted Free Cash
Flow
Net Income (Loss)
$
21,410
$
(162,397)
$
(3,572)
$
(242,224)
Income Taxes (Benefit)
6,296
(63,447)
(238)
(83,879)
Net Interest Expense
25,027
20,987
91,511
87,096
Corporate Expenses - Non-Cash
Compensation
2,027
2,291
8,753
6,907
Station Expenses - Non-Cash
Compensation
1,127
796
4,181
2,348
Depreciation And Amortization
13,548
12,567
52,238
50,231
Other expenses
426
492
992
553
Restructuring Charges
1,452
1,671
5,671
11,981
Integration Costs
-
-
-
491
COVID-19 Related Expenses (Income)
(2,164)
5,413
(2,796)
17,011
Non-Recurring Expenses (Recoveries)
Otherwise Included in Corporate Expenses
64
589
5,392
(2,718)
Impairment Loss
843
247,411
2,214
264,432
Contingent Consideration Accretion and
Remeasurements
433
-
1,117
-
Refinancing Expenses
372
-
845
-
Net (Gain) Loss On Early Extinguishment Of
Debt
-
-
8,168
-
Other (Income) Expense
-
-
(446)
-
Net (Gain) Loss On Sale Or Disposal of
Assets
(4,632)
89
(8,363)
(139)
Adjusted EBITDA
66,229
66,462
165,667
112,090
Net Interest Expense
(25,027)
(20,987)
(91,511)
(87,096)
Deferred Financing Costs Included In
Interest Expense
2,033
1,039
5,613
3,981
Amortization Debt Premium Included In
Interest Expense
(251)
(848)
(1,582)
(3,395)
Net Capital Expenditures
(37,340)
(8,932)
(76,607)
(29,992)
Adjusted Income Taxes (Paid) Refunded
(4)
1,233
300
(2,724)
Adjusted Free Cash Flow
$
5,640
$
37,967
$
1,880
$
(7,136)
View source
version on businesswire.com: https://www.businesswire.com/news/home/20220222006136/en/
Investor Contacts: Joseph Jaffoni, Jennifer Neuman, Norberto
Aja JCIR (212) 835-2500 AUD@jcir.com
Audacy Contact: Ashok Sinha SVP and Head of
Communications (610) 822-0832 Ashok.Sinha@audacy.com
Audacy (NYSE:AUD)
Historical Stock Chart
Von Mär 2024 bis Apr 2024
Audacy (NYSE:AUD)
Historical Stock Chart
Von Apr 2023 bis Apr 2024