November 2, 2017 Contact: Peter D. Thompson, EVP and CFO
FOR IMMEDIATE RELEASE (301) 429-4638
URBAN ONE, INC. REPORTS THIRD QUARTER RESULTS
Washington, DC: - Urban One, Inc. (NASDAQ: UONEK and UONE) today reported its results for the quarter ended September 30, 2017. Net revenue was approximately $112.1 million, an increase of 1.1% from the same period in 2016. Broadcast and digital operating income1 was approximately $40.7 million, a decrease of 5.3% from the same period in 2016. The Company reported operating income of approximately $3.5 million for the three months ended September 30, 2017, compared to $24.5 million for the same period in 2016. Net loss was approximately $7.9 million or $0.17 per share (basic) compared to net loss of $423,000 or $0.01 per share (basic) for the same period in 2016.
Alfred C. Liggins, III, Urban One's CEO and President stated, "Our radio segment core revenues have stabilized, and for the third quarter we outperformed our markets by 130 basis points according to Miller Kaplan data. Of our four largest clusters, Atlanta, Baltimore and Houston all outperformed their respective markets. For the fourth quarter, radio division core revenues are pacing up approximately 1.0%, which excludes the impact of political advertising revenues. The radio bottom line was adversely impacted by higher royalty expenses, which was the result of a favorable true-up in the prior year plus the additional expense associated with Global Music Rights. Our digital revenues were boosted by the integration of BHM, which produced positive Adjusted EBITDA of approximately $0.5 million in the quarter. Cable TV advertising revenues continued to be impacted by soft ratings, although there was a significant sequential improvement from Q2, as total day and prime household ratings were up 3.0% and 7.8%, respectively, while total day and prime Persons 25-54 demographic ratings were up 11.4% and 20.4%, respectively, against the second quarter. Our MGM investment produced approximately $1.5 million of Adjusted EBITDA, and is performing in line with expectations. During the quarter we repurchased $20.0 million of our 2020 Notes, which re-affirms our commitment to de-leveraging the Company over time."