Audacy, Inc. (the “Company” or “Audacy”) is pleased to report a strong start to 2024, driving significant sequential acceleration across key financial metrics and performance indicators. The Company is providing this update to deliver additional visibility on its progress since receiving court approval of its consensual pre-packaged Plan of Reorganization on February 20, after just six weeks. The Company now awaits FCC approval to complete its restructuring and plans to file its 2023 10-K later this month.
“Audacy is off to a strong start in 2024, driving accelerated financial and operating performance, including solid early growth in revenues, key digital metrics, and audience and revenue shares,” said David Field, Chairman, President and Chief Executive Officer, Audacy. “We look forward to a bright future, capitalizing on our best-in-class balance sheet and our scaled leadership position in the dynamic audio market, distinguished by our exclusive premium content and top positions across the country’s largest markets.”
Strong Early 2024 Sequential Revenue Acceleration
Revenue growth of 1% in January, led by a 1% increase in Radio revenues and a 7% increase in Digital revenues.
Strong growth in January Radio and total revenue market share.
First quarter revenues are pacing up 1%, representing strong sequential core same-station revenue acceleration of approximately 6% over Q4.
Q2 revenues are pacing up mid-single digits.
Emerging with Robust Balance Sheet
As announced in its Plan of Reorganization, Audacy expects to emerge with $350 million of debt, down from $1.9B, which will give it the strongest balance sheet among its industry peers.
In February, the Company received $25.5 million from its sale of shares in Broadcast Music Inc. (BMI) and expects to receive an additional $13.7 million during the second quarter.
The Company completed real estate asset sales of approximately $10 million during the fourth quarter and $14 million during the first quarter.
Fourth Quarter Operating Results In Line with Expectations
Audacy Q4 revenues were $311.6 million, down 8.9% vs. the prior year, with same-station revenues ex-political down 4.8%.
Cash operating expenses declined 9.1% year over year.
Q4 Radio market revenue share increased 0.4% vs. the prior year, completing a year in which the Company gained Radio revenue share in all four quarters of 2023.
Strong Broadcast Ratings Growth
Audacy has gained Radio ratings share among Adults 25-54 for seven consecutive quarters through Q4, 2023.
In January, Audacy captured its highest A25-54 market shares since January 2019.
Significant Streaming and Podcasting Gains
Audacy continues to deliver consistent, strong increases in streaming audiences, with 14 consecutive months of double-digit unique listener growth through January.
Total Listening Hours posted double-digit growth in Q4.
Launched new custom streaming stations and exclusive content in Q4 with leading artists and influencers, including Lainey Wilson, Dolly Parton, Mick Jagger, and Dua Lipa.
Recognized as the #1 Sports Podcast Network, according to Triton’s U.S. Podcast Report 2023. With over 600 titles in its portfolio, Audacy boasts three times more sports podcasts than any competitor and is the industry’s largest provider of audio sports content.
The Company continues to grow its podcast business, renewing favorites like We Can Do Hard Things with Glennon Doyle, Fly on the Wall with Dana Carvey and David Spade, and many more while forging partnerships with Tenderfoot TV and Puck and a number of new title launches. In addition, Audacy Podcasts were featured prominently on top Best of 2023 lists from leading publishers and critics, including the New York Times, Vogue, the FT, The Atlantic, and Adweek.
Audacy’s Pineapple Street Studios continues to serve as a podcast producer of choice for partners, including Amazon (Wondery), Netflix, Spotify, The Metropolitan Museum of Art and Flamingo.
