Cumulus Media has announced its financial results for the first quarter of 2024, which shows a mixed performance.
The company says it will experience revenue between $199 and $201 million. That figure represents a drop in revenue between 2.3% and 3.3%, according to RadioInk. The company will also finish the quarter with a net loss ranging between $13.4 to $14.9 million. The significant reduction in net loss is largely attributable to a non-operating gain from the sale of Broadcast Music Inc. However, it’s worth noting that the first quarter of 2023 also saw a gain from a similar sale, albeit smaller in magnitude from the sale of WFAS in New York for just over $7 million.
Cumulus also announced updates to its current Exchange Offer for shareholders.
The Exchange Offer announced by Cumulus Media New Holdings indicates a strategic move to adjust the interest rate and extend the maturity of existing notes. By offering more favorable terms to note holders and aligning with current financial strategies, Cumulus aims to strengthen its financial position.
The proposal to convert old term loans into new senior secured term loans further demonstrates Cumulus’s efforts to optimize its financial structure and improve liquidity.
Cumulus will unveil its full first-quarter earnings on Friday, May 3rd.
