Declares Quarterly Cash Dividend of $0.05 Per Share Payable on September 30, 2024 Discontinues Entravision Global Partners Business

Entravision Communications Corporation (NYSE: EVC), a media and advertising technology company, today announced financial results for the three- and six-month periods ended June 30, 2024.

"During the second quarter of 2024 we conducted a review of our digital strategy, operations and cost structure, and made the decision to sell Entravision Global Partners ('EGP'), our global digital commercial partnerships business. The sale was completed during the quarter, and the EGP business is reported as discontinued operations in our financial statements," said Michael Christenson, Chief Executive Officer.

Mr. Christenson continued, "Our net revenue from continuing operations increased 12% in the second quarter of 2024 compared to the same quarter in 2023. We remain focused on our 2024 priorities: maximize political revenue, provide highly-rated news and content to our audiences, strengthen our digital marketing solutions in combination with our television and audio offerings, and continue to grow Smadex, our programmatic ad purchasing platform.”

Unaudited Financial Highlights (In thousands, except share and per share data)

 

Three-Month Period

 

 

Six-Month Period

 

 

Ended June 30,

 

 

Ended June 30,

 

 

2024

 

 

2023

 

 

% Change

 

 

2024

 

 

2023

 

 

% Change

 

Net revenue

$

82,654

 

 

$

73,719

 

 

 

12

%

 

$

160,830

 

 

$

141,366

 

 

 

14

%

Cost of revenue - digital (1)

 

24,424

 

 

 

19,649

 

 

 

24

%

 

 

47,082

 

 

 

36,516

 

 

 

29

%

Operating expenses (2)

 

46,119

 

 

 

41,466

 

 

 

11

%

 

 

92,254

 

 

 

80,875

 

 

 

14

%

Corporate expenses (3)

 

10,811

 

 

 

12,042

 

 

 

(10

)%

 

 

23,059

 

 

 

22,544

 

 

 

2

%

Foreign currency (gain) loss

 

(24

)

 

 

792

 

 

*

 

 

 

241

 

 

 

1,006

 

 

 

(76

)%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income (loss) from continuing operations

$

3,732

 

 

$

(5,826

)

 

*

 

 

$

(3,778

)

 

$

(13,842

)

 

 

(73

)%

Net income (loss) from discontinued operations, net of tax

$

(35,412

)

 

$

3,837

 

 

*

 

 

$

(76,792

)

 

$

13,894

 

 

*

 

Net income (loss) attributable to common stockholders

$

(31,680

)

 

$

(1,989

)

 

 

1493

%

 

$

(80,570

)

 

$

52

 

 

*

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash flows from operating activities

$

17,696

 

 

$

10,396

 

 

 

70

%

 

$

51,071

 

 

$

47,091

 

 

 

8

%

Free cash flow (4)

$

15,702

 

 

$

2,288

 

 

 

586

%

 

$

46,334

 

 

$

32,233

 

 

 

44

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income (loss) per share from continuing operations, basic and diluted

$

0.04

 

 

$

(0.07

)

 

*

 

 

$

(0.04

)

 

$

(0.16

)

 

 

(75

)%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income (loss) per share from discontinued operations, basic and diluted

$

(0.39

)

 

$

0.04

 

 

*

 

 

$

(0.86

)

 

$

0.16

 

 

*

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income (loss) per share attributable to common stockholders, basic and diluted

$

(0.35

)

 

$

(0.02

)

 

 

1650

%

 

$

(0.90

)

 

$

0.00

 

 

*

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted average common shares outstanding, basic

 

89,820,737

 

 

 

87,787,772

 

 

 

 

 

 

89,669,397

 

 

 

87,706,282

 

 

 

 

Weighted average common shares outstanding, diluted

 

90,721,280

 

 

 

87,787,772

 

 

 

 

 

 

89,669,397

 

 

 

87,706,282

 

 

 

 

(1)

Consists primarily of the costs of online media acquired from third-party publishers. Media cost is classified as cost of revenue in the period in which the corresponding revenue is recognized.  

(2)

Operating expenses include direct operating and selling, general and administrative expenses. Included in operating expenses are $1.5 million and $2.2 million of non-cash stock-based compensation for the three-month periods ended June 30, 2024 and 2023, respectively, and $2.9 million and $3.7 million of non-cash stock-based compensation for the six-month periods ended June 30, 2024 and 2023, respectively.  

(3)

Corporate expenses include $2.7 million and $3.2 million of non-cash stock-based compensation for the three-month periods ended June 30, 2024 and 2023, respectively, and $6.4 million and $5.4 million of non-cash stock-based compensation for the six-month periods ended June 30, 2024 and 2023, respectively.  

(4)

Free cash flow is defined as cash flows from operating activities less cash paid for capital expenditures.

Net revenue for the three- and six-month periods ended June 30, 2024 increased primarily due to an increase in advertising revenue from our digital business units in our digital segment, and political advertising revenue in our television and audio segments, partially offset by decreases in advertising revenue, spectrum usage rights revenue and retransmission consent revenue in our television segment, and a decrease in advertising revenue in our audio segment.

Cost of revenue for the three- and six-month periods ended June 30, 2024 increased primarily due to the increase in digital advertising revenue.

Operating expenses for the three-month period ended June 30, 2024 increased primarily due to increases in salaries and cloud infrastructure expenses associated with the increase in digital advertising revenue, and an increase in salaries, primarily associated with the expansion of our news programming in our television segment, partially offset by a decrease in rent expense and a decrease in expenses associated with the decrease in advertising revenue in our audio segment.

Operating expenses for the six-month period ended June 30, 2024 increased primarily due to increases in salaries and cloud infrastructure expenses associated with the increase in digital advertising revenue, and an increase in salaries, primarily associated with the expansion of our news programming in our television segment, partially offset by a decrease in rent expense and a decrease in expenses associated with the decrease in advertising revenue in our audio segment.

Corporate expenses for the three-month period ended June 30, 2024 decreased primarily due to a decrease in professional services expense, and a decrease in non-cash stock-based compensation, partially offset by an increase in severance expense.

Corporate expenses for the six-month period ended June 30, 2024 increased primarily due to an increase in severance expense, an increase in non-cash stock-based compensation, and an increase in salaries, partially offset by a decrease in professional services expense.

Sale of EGP

As a result of the communication from Meta on March 4, 2024, that it intended to wind down its Authorized Sales Partners ("ASP") program globally and end its relationship with all of its ASPs, including us, by July 1, 2024, we conducted a thorough review of our digital strategy, operations and cost structure, and during the second quarter of 2024 made the decision to dispose of the operations of EGP, our digital commercial partnerships business. The disposition of EGP will allow us to enhance our strategic focus on our media business and our advertising technology business. The results of the EGP business are reported as discontinued operations in our financial statements.

Quarterly Cash Dividend

The Company announced today that its Board of Directors approved a quarterly cash dividend to shareholders of $0.05 per share on the Company's Class A and Class U common stock, in an aggregate amount of $4.5 million. The quarterly dividend will be payable on September 30, 2024 to shareholders of record as of the close of business on September 16, 2024. The Company currently anticipates that future cash dividends will be paid on a quarterly basis; however, any decision to pay future cash dividends will be subject to approval by the Board.

Non-GAAP Financial Measures

This press release contains certain non-GAAP financial measures as defined by SEC Regulation G. These non-GAAP financial measures include Consolidated EBITDA and Free Cash Flow. The GAAP financial measure most directly comparable to each of these non-GAAP financial measures, and a table reconciling each of these non-GAAP financial measures to its most directly comparable GAAP financial measure is included beginning on page 8.

Consolidated EBITDA

We use the term “consolidated EBITDA” because that term is defined in our 2023 Credit Agreement. Under the terms of our 2023 Credit Agreement, consolidated EBITDA is a measure that governs several critical aspects of our 2023 Credit Facility, including, among other things, financial covenants with which we must comply and financial ratios which we must maintain in order to borrow funds needed for the operation of our business and with respect to the interest rates that we pay on our 2023 Credit Facility. For example, our 2023 Credit Agreement contains a total net leverage ratio financial covenant. The total net leverage ratio, or the ratio of consolidated total debt (net of up to $50.0 million of unrestricted cash) to trailing-twelve-month consolidated EBITDA, affects both our ability to borrow from our Revolving Credit Facility and our applicable margin for the interest rate calculation. Under our 2023 Credit Agreement, our maximum total leverage ratio may not exceed 3.25 to 1.00. In addition, our 2023 Credit Agreement contains an interest coverage ratio financial covenant (calculated as set forth in the 2023 Credit Agreement), with a minimum permitted ratio of 3.00 to 1.00.

Therefore, we believe that it is important to disclose consolidated EBITDA to our investors to understand our compliance with these, and certain other, terms of our 2023 Credit Agreement. While many in the financial community and we consider consolidated EBITDA to be important, it should be considered in addition to, but not as a substitute for or superior to, other measures of financial performance and liquidity prepared in accordance with accounting principles generally accepted in the United States of America, such as operating income (loss), net income (loss) and cash flows from operating activities. Consolidated EBITDA has certain limitations because it excludes and includes several important financial line items as noted above. Therefore, we consider both non-GAAP and GAAP measures when evaluating our business. Consolidated EBITDA is also used to make executive compensation decisions.

We calculate Consolidated EBITDA as net income (loss) plus gain (loss) on sale of assets, depreciation and amortization, non-cash impairment charge, non-cash stock-based compensation included in operating and corporate expenses, net interest expense, other operating gain (loss), gain (loss) on debt extinguishment, income tax (expense) benefit, equity in net income (loss) of nonconsolidated affiliate, non-cash losses, syndication programming amortization less syndication programming payments, revenue from the Federal Communications Commission, or FCC, spectrum incentive auction less related expenses, expenses associated with investments, change in fair value of contingent consideration, non-recurring cash severance and restructuring charge, EBITDA attributable to redeemable noncontrolling interest, acquisitions and dispositions and certain pro-forma cost savings.

Free Cash Flow

We use the term free cash flow as a measure of our liquidity and we believe that it is a useful indicator for potential investors of our ability to implement growth strategies and service our debt. Free cash flow is a non-GAAP measure and should be considered in addition to, but not as a substitute for, information contained in our condensed consolidated statement of cash flows as a measure of liquidity.

We calculate free cash flow as cash flow from operating activities less capital expenditures.

Balance Sheet and Related Metrics

Cash and marketable securities as of June 30, 2024 totaled $88.3 million. Total debt as defined in the Company’s credit agreement was $187.8 million. Net of $50 million of cash and marketable securities, total leverage as defined in the Company’s credit agreement was 3.0 times as of June 30, 2024. Net of total cash and marketable securities, total leverage was 2.2 times.

Consolidated EBITDA, as defined in our 2023 Credit Agreement was $10.5 million and $15.0 million for the three- and six-month periods ended June 30, 2024.

Unaudited Segment Results (In thousands)

 

Three-Month Period

 

 

Six-Month Period

 

 

Ended June 30,

 

 

Ended June 30,

 

 

2024

 

 

2023

 

 

% Change

 

 

2024

 

 

2023

 

 

% Change

 

Net Revenue

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Digital

$

41,068

 

 

$

30,234

 

 

 

36

%

 

$

79,290

 

 

$

55,357

 

 

 

43

%

Television

 

28,577

 

 

 

29,943

 

 

 

(5

)%

 

 

57,126

 

 

 

60,255

 

 

 

(5

)%

Audio

 

13,009

 

 

 

13,542

 

 

 

(4

)%

 

 

24,414

 

 

 

25,754

 

 

 

(5

)%

Total

$

82,654

 

 

$

73,719

 

 

 

12

%

 

$

160,830

 

 

$

141,366

 

 

 

14

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cost of Revenue - digital (1)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Digital

$

24,424

 

 

$

19,649

 

 

 

24

%

 

$

47,082

 

 

$

36,516

 

 

 

29

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating Expenses (1)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Digital

 

12,779

 

 

 

9,879

 

 

 

29

%

 

 

24,724

 

 

 

18,197

 

 

 

36

%

Television

 

22,635

 

 

 

19,868

 

 

 

14

%

 

 

45,603

 

 

 

39,967

 

 

 

14

%

Audio

 

10,705

 

 

 

11,719

 

 

 

(9

)%

 

 

21,927

 

 

 

22,711

 

 

 

(3

)%

Total

$

46,119

 

 

$

41,466

 

 

 

11

%

 

$

92,254

 

 

$

80,875

 

 

 

14

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Corporate Expenses (1)

$

10,811

 

 

$

12,042

 

 

 

(10

)%

 

$

23,059

 

 

$

22,544

 

 

 

2

%

(1)

Cost of revenue, operating expenses, and corporate expenses are defined on page 2.

Notice of Conference Call

Entravision will hold a conference call to discuss its second quarter 2024 results on Thursday, August 8, 2024 at 4:30 p.m. Eastern Time. To access the conference call, please dial (877) 407-9716 (U.S.) or (201) 493-6779 (Int’l) ten minutes prior to the start time. The call will also be available via live webcast on the investor relations portion of the Company's website located at www.entravision.com.

About Entravision Communications Corporation

Entravision is a media and advertising technology company. In the U.S., we maintain a diversified portfolio of television and radio stations and digital advertising services that target Hispanic audiences. Our advertising technology business consists of Smadex, our programmatic ad purchasing platform, and Adwake, our mobile growth solutions business. Entravision remains the largest affiliate group of the Univision and UniMás television networks. Shares of Entravision Class A Common Stock trade on the NYSE under ticker: EVC. Learn more about our offerings at entravision.com or connect with us on LinkedIn and Facebook.

Forward-Looking Statements

This press release contains certain forward-looking statements. These forward-looking statements, which are included in accordance with the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, may involve known and unknown risks, uncertainties and other factors that may cause the Company’s actual results and performance in future periods to be materially different from any future results or performance suggested by the forward-looking statements in this press release. Although the Company believes the expectations reflected in such forward-looking statements are based upon reasonable assumptions, it can give no assurance that actual results will not differ materially from these expectations, and the Company disclaims any duty to update any forward-looking statements made by the Company. From time to time, these risks, uncertainties and other factors are discussed in the Company’s filings with the Securities and Exchange Commission.

 

Entravision Communications Corporation

Consolidated Statements of Operations

(In thousands, except share and per share data)

(Unaudited)

 

 

 

Three-Month Period

 

Six-Month Period

 

 

Ended June 30,

 

Ended June 30,

 

 

2024

 

2023

 

2024

 

2023

Net revenue

 

$

82,654

 

 

$

73,719

 

 

$

160,830

 

 

$

141,366

 

 

 

 

 

 

 

 

 

 

Expenses:

 

 

 

 

 

 

 

 

Cost of revenue - digital

 

 

24,424

 

 

 

19,649

 

 

 

47,082

 

 

 

36,516

 

Direct operating expenses

 

 

31,756

 

 

 

28,856

 

 

 

63,557

 

 

 

55,458

 

Selling, general and administrative expenses

 

 

14,363

 

 

 

12,610

 

 

 

28,697

 

 

 

25,417

 

Corporate expenses

 

 

10,811

 

 

 

12,042

 

 

 

23,059

 

 

 

22,544

 

Depreciation and amortization

 

 

4,428

 

 

 

3,713

 

 

 

9,167

 

 

 

7,214

 

Change in fair value of contingent consideration

 

 

240

 

 

 

21

 

 

 

20

 

 

 

721

 

Foreign currency (gain) loss

 

 

(24

)

 

 

792

 

 

 

241

 

 

 

1,006

 

 

 

 

85,998

 

 

 

77,683

 

 

 

171,823

 

 

 

148,876

 

Operating income (loss)

 

 

(3,344

)

 

 

(3,964

)

 

 

(10,993

)

 

 

(7,510

)

Interest expense

 

 

(4,118

)

 

 

(4,195

)

 

 

(8,561

)

 

 

(8,118

)

Interest income

 

 

577

 

 

 

720

 

 

 

1,155

 

 

 

1,328

 

Dividend income

 

 

 

 

 

14

 

 

 

10

 

 

 

32

 

Realized gain (loss) on marketable securities

 

 

4

 

 

 

(29

)

 

 

(109

)

 

 

(61

)

Gain (loss) on debt extinguishment

 

 

(51

)

 

 

 

 

 

(91

)

 

 

(1,556

)

Income (loss) before income taxes

 

 

(6,932

)

 

 

(7,454

)

 

 

(18,589

)

 

 

(15,885

)

Income tax benefit (expense)

 

 

10,664

 

 

 

1,628

 

 

 

14,811

 

 

 

2,043

 

Net income (loss) from continuing operations

 

 

3,732

 

 

 

(5,826

)

 

 

(3,778

)

 

 

(13,842

)

Net income (loss) from discontinued operations, net of tax

 

 

(35,412

)

 

 

3,837

 

 

 

(76,792

)

 

 

13,894

 

Net income (loss) attributable to common stockholders

 

$

(31,680

)

 

$

(1,989

)

 

$

(80,570

)

 

$

52

 

 

 

 

 

 

 

 

 

 

Basic and diluted earnings per share:

 

 

 

 

 

 

 

 

Net income (loss) per share from continuing operations, basic and diluted

 

$

0.04

 

 

$

(0.07

)

 

$

(0.04

)

 

$

(0.16

)

 

 

 

 

 

 

 

 

 

Net income (loss) per share from discontinued operations, basic and diluted

 

$

(0.39

)

 

$

0.04

 

 

$

(0.86

)

 

$

0.16

 

 

 

 

 

 

 

 

 

 

Net income (loss) per share attributable to common stockholders, basic and diluted

 

$

(0.35

)

 

$

(0.02

)

 

$

(0.90

)

 

$

0.00

 

 

 

 

 

 

 

 

 

 

Cash dividends declared per common share, basic and diluted

 

$

0.05

 

 

$

0.05

 

 

$

0.10

 

 

$

0.10

 

 

 

 

 

 

 

 

 

 

Weighted average common shares outstanding, basic

 

 

89,820,737

 

 

 

87,787,772

 

 

 

89,669,397

 

 

 

87,706,282

 

Weighted average common shares outstanding, diluted

 

 

90,721,280

 

 

 

87,787,772

 

 

 

89,669,397

 

 

 

87,706,282

 

 

Entravision Communications Corporation

Consolidated Balance Sheets

(In thousands; unaudited)

 

 

 

June 30,

 

December 31,

 

 

2024

 

2023

ASSETS

 

 

 

 

Current assets

 

 

 

 

Cash and cash equivalents

 

$

85,136

 

 

$

67,398

 

Marketable securities

 

 

3,160

 

 

 

13,172

 

Restricted cash

 

 

779

 

 

 

770

 

Trade receivables, net of allowance for doubtful accounts

 

 

68,847

 

 

 

70,082

 

Assets held for sale

 

 

-

 

 

 

301

 

Prepaid expenses and other current assets

 

 

46,681

 

 

 

16,863

 

Current assets of discontinued operations

 

 

-

 

 

 

217,269

 

Total current assets

 

 

204,603

 

 

 

385,855

 

Property and equipment, net

 

 

63,418

 

 

 

66,932

 

Intangible assets subject to amortization, net

 

 

5,372

 

 

 

7,100

 

Intangible assets not subject to amortization

 

 

195,174

 

 

 

195,174

 

Goodwill

 

 

50,673

 

 

 

50,674

 

Deferred income taxes

 

 

87

 

 

 

265

 

Operating leases right of use asset

 

 

42,799

 

 

 

42,868

 

Other assets

 

 

7,480

 

 

 

21,223

 

Noncurrent assets of discontinued operations

 

 

-

 

 

 

95,855

 

Total assets

 

$

569,606

 

 

$

865,946

 

 

 

 

 

 

 

 

 

 

 

LIABILITIES AND STOCKHOLDERS' EQUITY

 

 

 

 

Current liabilities

 

 

 

 

Current maturities of long-term debt

 

$

-

 

 

$

8,750

 

Accounts payable and accrued expenses

 

 

59,547

 

 

 

47,776

 

Operating lease liabilities

 

 

7,736

 

 

 

6,748

 

Current liabilities of discontinued operations

 

 

-

 

 

 

208,779

 

Total current liabilities

 

 

67,283

 

 

 

272,053

 

Long-term debt, less current maturities, net of unamortized debt issuance costs

 

 

186,847

 

 

 

197,884

 

Long-term operating lease liabilities

 

 

44,127

 

 

 

45,178

 

Other long-term liabilities

 

 

4,370

 

 

 

4,624

 

Deferred income taxes

 

 

46,571

 

 

 

46,849

 

Noncurrent liabilities of discontinued operations

 

 

-

 

 

 

33,072

 

Total liabilities

 

 

349,198

 

 

 

599,660

 

 

 

 

 

 

Redeemable noncontrolling interest - discontinued operations

 

 

-

 

 

 

43,758

 

Stockholders' equity

 

 

 

 

Class A common stock

 

 

8

 

 

 

8

 

Class U common stock

 

 

1

 

 

 

1

 

Additional paid-in capital

 

 

821,590

 

 

 

743,246

 

Accumulated deficit

 

 

(600,382

)

 

 

(519,812

)

Accumulated other comprehensive income (loss)

 

 

(809

)

 

 

(915

)

Total stockholders' equity

 

 

220,408

 

 

 

222,528

 

Total liabilities, redeemable noncontrolling interest and equity

 

$

569,606

 

 

$

865,946

 

 

Entravision Communications Corporation

Consolidated Statements of Cash Flows

(In thousands; unaudited)

 

 

 

Three-Month Period

 

Six-Month Period

 

 

Ended June 30,

 

Ended June 30,

 

 

2024

 

2023

 

2024

 

2023

Cash flows from operating activities:

 

 

 

 

 

 

 

 

Net income (loss)

 

$

(31,680

)

 

$

(1,989

)

 

$

(80,570

)

 

$

52

 

Adjustments to reconcile net income (loss) to net cash provided by operating activities:

 

 

 

 

 

 

 

 

Depreciation and amortization

 

 

5,992

 

 

 

6,509

 

 

 

13,125

 

 

 

12,980

 

Impairment charge

 

 

 

 

 

 

 

 

49,438

 

 

 

 

Deferred income taxes

 

 

4,438

 

 

 

76

 

 

 

214

 

 

 

(129

)

Non-cash interest

 

 

68

 

 

 

46

 

 

 

160

 

 

 

179

 

Amortization of syndication contracts

 

 

114

 

 

 

120

 

 

 

227

 

 

 

240

 

Payments on syndication contracts

 

 

(114

)

 

 

(121

)

 

 

(229

)

 

 

(241

)

Non-cash stock-based compensation

 

 

3,287

 

 

 

5,968

 

 

 

8,734

 

 

 

10,021

 

(Gain) loss on marketable securities

 

 

(4

)

 

 

29

 

 

 

109

 

 

 

61

 

(Gain) loss on disposal of property and equipment

 

 

86

 

 

 

(50

)

 

 

183

 

 

 

18

 

Loss (gain) on the sale of businesses

 

 

45,014

 

 

 

 

 

 

45,014

 

 

 

 

(Gain) loss on debt extinguishment

 

 

51

 

 

 

 

 

 

91

 

 

 

1,556

 

Change in fair value of contingent consideration

 

 

(11,128

)

 

 

1,123

 

 

 

(12,548

)

 

 

(2,942

)

Net income (loss) attributable to redeemable noncontrolling interest - discontinued operations

 

 

 

 

 

(12

)

 

 

(2,779

)

 

 

(12

)

Net income (loss) attributable to noncontrolling interest - discontinued operations

 

 

 

 

 

 

 

 

 

 

 

(342

)

Changes in assets and liabilities:

 

 

 

 

 

 

 

 

(Increase) decrease in accounts receivable

 

 

(19,887

)

 

 

(15,677

)

 

 

9,586

 

 

 

17,480

 

(Increase) decrease in prepaid expenses and other current assets, operating leases right of use asset and other assets

 

 

(12,440

)

 

 

(4,245

)

 

 

(19,590

)

 

 

(3,297

)

Increase (decrease) in accounts payable, accrued expenses and other liabilities

 

 

33,899

 

 

 

18,619

 

 

 

39,906

 

 

 

11,467

 

Net cash provided by operating activities

 

 

17,696

 

 

 

10,396

 

 

 

51,071

 

 

 

47,091

 

Cash flows from investing activities:

 

 

 

 

 

 

 

 

Proceeds from sale of businesses, net of cash divested

 

 

(42,967

)

 

 

 

 

 

(42,967

)

 

 

 

Proceeds from sale of assets

 

 

 

 

 

50

 

 

 

 

 

 

50

 

Purchases of property and equipment

 

 

(1,994

)

 

 

(8,108

)

 

 

(4,737

)

 

 

(14,858

)

Purchase of a business, net of cash acquired

 

 

 

 

 

(6,930

)

 

 

 

 

 

(6,930

)

Purchases of marketable securities

 

 

 

 

 

(775

)

 

 

 

 

 

(10,172

)

Proceeds from sale of marketable securities

 

 

1,177

 

 

 

12,389

 

 

 

10,019

 

 

 

28,093

 

Proceeds from loan receivable

 

 

10,748

 

 

 

 

 

 

10,748

 

 

 

 

Purchases of investments

 

 

 

 

 

(80

)

 

 

 

 

 

(200

)

Issuance of loan receivable

 

 

 

 

 

(8,086

)

 

 

 

 

 

(8,086

)

Net cash provided by (used in) investing activities

 

 

(33,036

)

 

 

(11,540

)

 

 

(26,937

)

 

 

(12,103

)

Cash flows from financing activities:

 

 

 

 

 

 

 

 

Proceeds from stock option exercises

 

 

 

 

 

241

 

 

 

 

 

 

554

 

Tax payments related to shares withheld for share-based compensation plans

 

 

 

 

 

(15

)

 

 

(27

)

 

 

(95

)

Payments on debt

 

 

(10,000

)

 

 

(1,497

)

 

 

(20,275

)

 

 

(213,245

)

Dividends paid

 

 

(4,496

)

 

 

(4,396

)

 

 

(8,972

)

 

 

(8,782

)

Distributions to noncontrolling interest

 

 

 

 

 

(2,834

)

 

 

(1,078

)

 

 

(3,380

)

Payment of contingent consideration

 

 

(13,400

)

 

 

(31,710

)

 

 

(14,300

)

 

 

(31,710

)

Principal payments under finance lease obligation

 

 

(33

)

 

 

(38

)

 

 

(74

)

 

 

(76

)

Proceeds from borrowings on debt

 

 

 

 

 

14

 

 

 

 

 

 

212,419

 

Payments for debt issuance costs

 

 

 

 

 

(492

)

 

 

 

 

 

(1,777

)

Net cash provided by (used in) financing activities

 

 

(27,929

)

 

 

(40,727

)

 

 

(44,726

)

 

 

(46,092

)

Effect of exchange rates on cash, cash equivalents and restricted cash

 

 

 

 

 

 

 

 

(2

)

 

 

1

 

Net increase (decrease) in cash, cash equivalents and restricted cash

 

 

(43,269

)

 

 

(41,871

)

 

 

(20,594

)

 

 

(11,103

)

Cash, cash equivalents and restricted cash:

 

 

 

 

 

 

 

 

Beginning

 

 

129,184

 

 

 

142,212

 

 

 

106,509

 

 

 

111,444

 

Ending

 

$

85,915

 

 

$

100,341

 

 

$

85,915

 

 

$

100,341

 

 

Entravision Communications Corporation

Reconciliation of Consolidated EBITDA to Net income (loss) attributable to common stockholders

(In thousands; unaudited)

 

The most directly comparable GAAP financial measure is net income (loss) attributable to common stockholders. A reconciliation of this non-GAAP measure to net income (loss) attributable to common stockholders for each of the periods presented is as follows:

 

 

 

Three-Month Period

 

Six-Month Period

 

 

Ended June 30,

 

Ended June 30,

 

 

2024

 

2023

 

2024

 

2023

Net income (loss) attributable to common stockholders

 

$

(31,680

)

 

$

(1,989

)

 

$

(80,570

)

 

$

52

 

Net income (loss) attributable to redeemable noncontrolling interest - discontinued operations

 

 

 

 

 

(12

)

 

 

(2,779

)

 

 

(12

)

Net income (loss) attributable to noncontrolling interest - discontinued operations

 

 

 

 

 

 

 

 

 

 

 

(342

)

Interest expense

 

 

4,118

 

 

 

4,195

 

 

 

8,561

 

 

 

8,118

 

Interest expense - discontinued operations

 

 

103

 

 

 

111

 

 

 

219

 

 

 

216

 

Interest income

 

 

(577

)

 

 

(720

)

 

 

(1,155

)

 

 

(1,328

)

Interest income - discontinued operations

 

 

(179

)

 

 

(317

)

 

 

(731

)

 

 

(569

)

Dividend income

 

 

 

 

 

(14

)

 

 

(10

)

 

 

(32

)

Realized gain (loss) on marketable securities

 

 

(4

)

 

 

29

 

 

 

109

 

 

 

61

 

(Gain) loss on debt extinguishment

 

 

51

 

 

 

 

 

 

91

 

 

 

1,556

 

Income tax expense

 

 

(10,664

)

 

 

(1,628

)

 

 

(14,811

)

 

 

(2,043

)

Income tax expense - discontinued operations

 

 

3,010

 

 

 

889

 

 

 

(645

)

 

 

1,535

 

Amortization of syndication contracts

 

 

114

 

 

 

120

 

 

 

227

 

 

 

240

 

Payments on syndication contracts

 

 

(114

)

 

 

(121

)

 

 

(229

)

 

 

(241

)

Non-cash stock-based compensation

 

 

3,287

 

 

 

5,968

 

 

 

8,734

 

 

 

10,021

 

Depreciation and amortization

 

 

4,428

 

 

 

3,713

 

 

 

9,167

 

 

 

7,214

 

Depreciation and amortization - discontinued operations

 

 

1,564

 

 

 

2,796

 

 

 

3,958

 

 

 

5,766

 

Change in fair value of contingent consideration

 

 

240

 

 

 

21

 

 

 

20

 

 

 

721

 

Change in fair value of contingent consideration - discontinued operations

 

 

(11,368

)

 

 

1,102

 

 

 

(12,568

)

 

 

(3,663

)

Impairment charge - discontinued operations

 

 

 

 

 

 

 

 

49,438

 

 

 

 

Non-recurring cash severance and restructuring charge

 

 

3,127

 

 

 

487

 

 

 

3,127

 

 

 

612

 

Other operating (gain) loss - discontinued operations

 

 

45,014

 

 

 

 

 

 

45,014

 

 

 

 

EBITDA attributable to redeemable noncontrolling interest - discontinued operations

 

 

 

 

 

(417

)

 

 

(167

)

 

 

(417

)

EBITDA attributable to noncontrolling interest - discontinued operations

 

 

 

 

 

 

 

 

 

 

 

(230

)

Consolidated EBITDA (1)

 

$

10,470

 

 

$

14,213

 

 

$

15,000

 

 

$

27,235

 

(1)

Consolidated EBITDA is defined on page 2.  

Entravision Communications Corporation

Reconciliation of Free Cash Flow to Cash Flows From Operating Activities

(In thousands; unaudited)

 

The most directly comparable GAAP financial measure is cash flows from operating activities. A reconciliation of this non-GAAP measure to cash flows from operating activities for each of the periods presented is as follows:

 

 

 

Three-Month Period

 

Six-Month Period

 

 

Ended June 30,

 

Ended June 30,

 

 

2024

 

2023

 

2024

 

2023

Cash flows from operating activities

 

$

17,696

 

 

$

10,396

 

 

$

51,071

 

 

$

47,091

 

Cash paid for capital expenditures (2)

 

 

(1,994

)

 

 

(8,108

)

 

 

(4,737

)

 

 

(14,858

)

Free cash flow (1)

 

$

15,702

 

 

$

2,288

 

 

$

46,334

 

 

$

32,233

 

(1)

Free cash flow is defined on page 2.  

(2)

Capital expenditures are not part of the consolidated statement of operations.

 

Mark Boelke Chief Financial Officer Entravision 310-447-3870 ir@entravision.com

Roy Nir VP, Financial Reporting and Investor Relations Entravision 310-447-3870 ir@entravision.com

Entravision Communications (NYSE:EVC)
Historical Stock Chart
Von Nov 2024 bis Dez 2024 Click Here for more Entravision Communications Charts.
Entravision Communications (NYSE:EVC)
Historical Stock Chart
Von Dez 2023 bis Dez 2024 Click Here for more Entravision Communications Charts.