TOWNSQUARE ANNOUNCES STRONG FIRST QUARTER NET REVENUE
GROWTH OF 6.5% AND ADJUSTED EBITDA INCREASE 8.3%
Digital Revenue Over 33% of Total Net Revenue for the First Time Ever
Greenwich, CT - May 7, 2019 - Townsquare Media, Inc. (NYSE: TSQ) (“Townsquare,” the “Company,” “we,” “us,” or “our”) announced today financial results for the first quarter ended March 31, 2019.
“Townsquare is off to a great start in 2019 with strong operational and financial performance, demonstrated by our first quarter Adjusted EBITDA growth of 8.3%,” commented Bill Wilson, Chief Executive Officer of Townsquare. “We have continued the strong momentum we experienced throughout 2018, as our team once again delivered double-digit revenue growth in our Townsquare Ignite and Townsquare Interactive divisions, leading to total net revenue growth of 6.5% in the first quarter of 2019. As a result of our continued growth and strength in digital, we are pleased to announce that for the first time in our history, digital revenue contributed over one-third of the Company’s total net revenue. Given our diversified revenue base, today and moving forward we believe Townsquare is best described as a premier local media and digital marketing solutions company.”
“To that point, beginning in the first quarter of 2019 I am very pleased to share that we have provided segmentation of our financial results. In particular this will allow you to see the strong profit that is generated by Townsquare Interactive, our digital marketing solutions business which currently serves approximately 16,200 monthly subscribers. In the first quarter of 2019, Townsquare Interactive had net revenue growth of 31.6% and Adjusted Operating Income growth of 34.8%, operating at a 31% margin. As noted previously, we believe that Townsquare Interactive, as well as our Townsquare Ignite division, will each generate $100 million in annual net revenue within the next three to five years.”
The Company announced today that its board of directors approved a quarterly cash dividend of $0.075 per share. The dividend will be payable on August 15, 2019 to shareholders of record as of the close of business on June 28, 2019.
On April 30, 2019, the Company entered into an amendment under its existing credit agreement to, among other things, extend the maturity date of the existing revolving credit facility by two years to April 1, 2022, coterminous with the Term Loan maturity date (with a springing maturity six months inside of the maturity date of the Term Loan) and to amend certain asset sale provisions.
First Quarter Highlights*
As compared to the first quarter of 2018 on a GAAP basis:
•Net revenue increased 6.5%, and 7.0% excluding political revenue
•Advertising net revenue increased 3.9%, and 4.5% excluding political revenue
•Townsquare Interactive net revenue increased 31.6%
•Live Events net revenue decreased 8.6%
•Net loss decreased 82.0%, and net income from continuing operations decreased 31.5%
•Adjusted EBITDA increased 8.3%
As compared to the first quarter of 2018 on a pro forma basis:
•Net revenue increased 4.7%, and 5.1% excluding political revenue
•Net loss decreased 81.8%
•Adjusted EBITDA increased 6.7%
Diluted net income per share from continuing operations was $0.09
Townsquare Interactive added 850 net subscribers, ending the quarter with approximately 16,200 subscribers
* See below for discussion of non-GAAP measures and reconciliations to GAAP measures.
The following information was filed by Townsquare Media, Inc. (TSQ) on Tuesday, May 7, 2019 as an 8K 2.02 statement, which is an earnings press release pertaining to results of operations and financial condition. It may be helpful to assess the quality of management by comparing the information in the press release to the information in the accompanying 10-Q Quarterly Report statement of earnings and operation as management may choose to highlight particular information in the press release.