Loading, Please Wait...

CST: 12/11/2019 18:48:44   

CUMULUS MEDIA Reports Operating Results for the Second Quarter 2019

96 Days ago

ATLANTA, Aug. 08, 2019 (GLOBE NEWSWIRE) -- Cumulus Media Inc. (NASDAQ: CMLS) (the “Company,” “we,” “us,” or “our”) today announced operating results for the three and six months ended June 30, 2019.

Second Quarter Financial Highlights

• As compared to the second quarter of 2018 on an As Reported GAAP basis:

  • Net revenue decreased 2.0%
  • Net income was $42.9 million
  • Adjusted EBITDA(1) decreased 6.8%

• As compared to the second quarter of 2018 on a Same Station(2) basis, excluding the impact of political revenue:

  • Net revenue increased 1.8%
  • Digital revenue increased 69.1%
  • Adjusted EBITDA(1) increased 3.7%

• As compared to the second quarter of 2018 on a Same Station(2) basis, including the impact of political revenue:

  • Net revenue increased 0.7%
  • Adjusted EBITDA(1) decreased 0.9%

Mary G. Berner, President and Chief Executive Officer of CUMULUS MEDIA, said, “In the second quarter, we continued to make great progress against the goals we set when we emerged from bankruptcy a little over a year ago. We delivered a solid financial performance, with same station revenue and Adjusted EBITDA up 1.8% and 3.7%, respectively, on an ex-political basis, driven by continued growth in national and network revenue, as well as industry-leading digital growth. Additionally, we have now closed several strategic portfolio optimization transactions and announced one more. The $146.5 million of gross proceeds from the closed transactions along with cash from operations allowed us to prepay $165 million of debt since our last earnings announcement, reducing our total post-bankruptcy debt by approximately $250 million and net leverage to 4.8x. Given the results of the past year, I am more confident than ever that the company will continue to deliver significant value to our investors, employees, listeners, and advertisers.”

For the purposes of analyzing the results presented herein, the Company is presenting the combined results of operations for (1) the period June 4, 2018 to June 30, 2018 of the Successor Company with the period April 1, 2018 to June 3, 2018 of the Predecessor Company, and (2) the period June 4, 2018 to June 30, 2018 of the Successor Company with the period January 1, 2018 to June 3, 2018 of the Predecessor Company. Although this presentation is not in accordance with accounting principles generally accepted in the United States, the Company believes presenting such combined results allows for a more meaningful comparison of results for the three and six month periods ended June 30, 2019 to the three and six month periods ended June 30, 2018. For more information regarding the Predecessor and Successor Company results, please see the Company’s Form 10-K for the year ended December 31, 2018 filed with the Securities and Exchange Commission (the “SEC”).

Operating Summary (in thousands, except percentages and per share data):

  Successor Company     Non-GAAP Combined Predecessor and Successor    
As Reported Three Months Ended June 30, 2019     Three Months Ended June 30, 2018   % Change
Net revenue $ 279,673       $ 285,249     (2.0)%
Net income $ 42,861       $ 706,137     N/A
Adjusted EBITDA (1) $ 61,819       $ 66,356     (6.8)%
Basic income per share $ 2.13       N/A   N/A
Diluted income per share $ 2.11       N/A   N/A

 

Same Station (2) Successor Company     Non-GAAP Combined Predecessor and Successor    
  Three Months Ended June 30, 2019     Three Months Ended June 30, 2018   % Change
Net revenue $ 275,941       $ 274,105     0.7%
Adjusted EBITDA (1) $ 61,454       $ 61,994     (0.9)%

 

  Successor Company     Non-GAAP Combined Predecessor and Successor

   
As Reported Six Months Ended June 30, 2019     Six Months Ended June 30, 2018   % Change
Net revenue $ 547,169       $ 548,928     (0.3)%
Net income $ 43,312       $ 701,136     N/A
Adjusted EBITDA (1) $ 103,623       $ 106,627     (2.8)%
Basic income per share $ 2.16       N/A   N/A
Diluted income per share $ 2.14       N/A   N/A

 

Same Station (2) Successor Company     Non-GAAP Combined Predecessor and Successor    
  Six Months Ended June 30, 2019     Six Months Ended June 30, 2018   % Change
Net revenue $ 543,437       $ 537,784     1.1%
Adjusted EBITDA (1) $ 103,258       $ 102,265     1.0%

Balance Sheet Summary (in thousands):

 As Reported June 30, 2019   December 31, 2018   % Change
Cash and cash equivalents $ 20,500     $ 27,584     (25.7)%
Term loan $ 603,738     $ 1,243,299     (51.4)%
6.75% Senior notes $ 500,000     $     100.0%

 

  Successor Company     Non-GAAP Combined Predecessor and Successor

   
 As Reported Three Months Ended June 30, 2019     Three Months Ended June 30, 2018   % Change
Capital expenditures $ 5,589       $ 6,983     (20.0)%

 

  Successor Company     Non-GAAP Combined Predecessor and Successor

   
 As Reported Six Months Ended June 30, 2019     Six Months Ended June 30, 2018   % Change
Capital expenditures $ 10,715       $ 15,988     (33.0)%

  1. Adjusted EBITDA is not a financial measure calculated or presented in accordance with accounting principles generally accepted in the United States of America (“GAAP”). For additional information, see “Non-GAAP Financial Measure."
  2. Adjusted for certain station dispositions and swaps as if these dispositions and swaps had occurred as of the beginning of each of the three month periods ended June 30, 2019 and June 30, 2018 (or in the case of KLOS-FM, for the three month period ended June 30, 2019 as of the commencement of the LMA on April 16, 2019 and as of April 16, 2018 for the three month period ended June 30, 2018).

Results for Three Months Ended June 30, 2019

Net Revenue

The Company currently operates in two reportable segments: the Cumulus Radio Station Group and Westwood One. Cumulus Radio Station Group revenue is derived primarily from the sale of broadcasting time on our owned or operated stations to local, regional and national advertisers. Westwood One revenue is generated primarily through network advertising on our owned or operated stations and on its nearly 8,000 affiliate stations.

Corporate and Other includes overall executive, administrative, and support functions for all of the Company's operations, including accounting, finance, legal, human resources, information technology, and programming functions.

The following tables present our net revenue by segment (dollars in thousands):

    Three Months Ended June 30, 2019 (Successor Company)
 As Reported   Cumulus Radio Station Group   Westwood One   Corporate and Other   Consolidated
Net revenue   $ 193,162     $ 85,764     $ 747     $ 279,673  
% of total revenue   69.1 %   30.6 %   0.3 %   100.0 %
$ change from three months ended June 30, 2018   $ (10,288 )   $ 4,484     $ 228     $ (5,576 )
% change from three months ended June 30, 2018   (5.1 )%   5.5 %   43.9 %   (2.0 )%

 

    Three Months Ended June 30, 2018 (Non-GAAP Combined Predecessor and Successor Company)
 As Reported   Cumulus Radio Station Group   Westwood One   Corporate and Other   Consolidated
Net revenue   $ 203,450     $ 81,280     $ 519     $ 285,249  
% of total revenue   71.3 %   28.5 %   0.2 %   100.0 %

Net income (loss)

The following tables present our net income (loss) by segment (dollars in thousands):

    Three Months Ended June 30, 2019 (Successor Company)
 As Reported   Cumulus Radio Station Group   Westwood One   Corporate and Other   Consolidated
Net income (loss)   $ 92,974     $ 11,610     $ (61,723 )   $ 42,861  
$ change from three months ended June 30, 2018   $ 581,421     $ (247,805 )   $ (996,892 )   $ (663,276 )
% change from three months ended June 30, 2018   N/A   N/A   N/A   N/A

 

    Three Months Ended June 30, 2018 (Non-GAAP Combined Predecessor and Successor Company)
 As Reported   Cumulus Radio Station Group   Westwood One   Corporate and Other   Consolidated
Net (loss) income   $ (488,447 )   $ 259,415     $ 935,169     $ 706,137  

Adjusted EBITDA

The following tables present our Adjusted EBITDA by segment (dollars in thousands):

    Three Months Ended June 30, 2019 (Successor Company)
 As Reported   Cumulus Radio Station Group   Westwood One   Corporate and Other   Consolidated
Adjusted EBITDA   $ 52,222     $ 17,866     $ (8,269 )   $ 61,819  
$ change from three months ended June 30, 2018   $ (8,462 )   $ 3,622     $ 303     $ (4,537 )
% change from three months ended June 30, 2018   (13.9 )%   25.4 %   3.5 %   (6.8 )%

 

    Three Months Ended June 30, 2018 (Non-GAAP Combined Predecessor and Successor Company)
 As Reported   Cumulus Radio Station Group   Westwood One   Corporate and Other   Consolidated
Adjusted EBITDA   $ 60,684     $ 14,244     $ (8,572 )   $ 66,356  

 

Results for Six Months Ended June 30, 2019

Net Revenue

The following tables present our net revenue by segment (dollars in thousands):

    Six Months Ended June 30, 2019 (Successor Company)
 As Reported   Cumulus Radio Station Group   Westwood One   Corporate and Other   Consolidated
Net revenue   $ 359,703     $ 186,123     $ 1,343     $ 547,169  
% of total revenue   65.7 %   34.0 %   0.3 %   100.0 %
$ change from six months ended June 30, 2018   $ (11,971 )   $ 10,052     $ 160     $ (1,759 )
% change from six months ended June 30, 2018   (3.2 )%   5.7 %   13.5 %   (0.3 )%

 

    Six Months Ended June 30, 2018 (Non-GAAP Combined Predecessor and Successor Company)
 As Reported   Cumulus Radio Station Group   Westwood One   Corporate and Other   Consolidated
Net revenue   $ 371,674     $ 176,071     $ 1,183     $ 548,928  
% of total revenue   67.7 %   32.1 %   0.2 %   100.0 %

Net income (loss)

The following tables present our net income (loss) by segment (dollars in thousands):

    Six Months Ended June 30, 2019 (Successor Company)
 As Reported   Cumulus Radio Station Group   Westwood One   Corporate and Other   Consolidated
Net income (loss)   $ 118,817     $ 21,173     $ (96,678 )   $ 43,312  
$ change from six months ended June 30, 2018   $ 578,456     $ (244,064 )   $ (992,216 )   $ (657,824 )
% change from six months ended June 30, 2018   N/A   N/A   N/A   N/A

 

    Six Months Ended June 30, 2018 (Non-GAAP Combined Predecessor and Successor Company)
 As Reported   Cumulus Radio Station Group   Westwood One   Corporate and Other   Consolidated
Net (loss) income   $ (459,639 )   $ 265,237     $ 895,538     $ 701,136  

Adjusted EBITDA

The following tables present our Adjusted EBITDA by segment (dollars in thousands):

    Six Months Ended June 30, 2019 (Successor Company)
 As Reported   Cumulus Radio Station Group   Westwood One   Corporate and Other   Consolidated
Adjusted EBITDA   $ 86,613     $ 33,816     $ (16,806 )   $ 103,623  
$ change from six months ended June 30, 2018   $ (10,256 )   $ 6,916     $ 336     $ (3,004 )
% change from six months ended June 30, 2018   (10.6 )%   25.7 %   2.0 %   (2.8 )%

 

    Six Months Ended June 30, 2018 (Non-GAAP Combined Predecessor and Successor Company)
 As Reported   Cumulus Radio Station Group   Westwood One   Corporate and Other   Consolidated
Adjusted EBITDA   $ 96,869     $ 26,900     $ (17,142 )   $ 106,627  

Earnings Conference Call Details
The Company will host a conference call today at 8:30 AM EDT to discuss its second quarter 2019 operating results. A link to the webcast of the conference call will be available on the investor section of the Company’s website (www.cumulusmedia.com/investors). The conference call dial-in number for domestic callers is 877-830-7699 for call access. If prompted, the conference ID number is 9378766. Please call five to ten minutes in advance to ensure that you are connected prior to the call.

Following completion of the call, a recording of the call can be accessed via a link at www.cumulusmedia.com/investors.

Forward-Looking Statements
Certain statements in this release may constitute “forward-looking” statements within the meaning of the Private Securities Litigation Reform Act of 1995 and other federal securities laws. Such statements are statements other than historical fact and relate to our intent, belief or current expectations primarily with respect to our future operating, financial, and strategic performance. Any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties. Actual results may differ from those contained in or implied by the forward-looking statements as a result of various factors including, but not limited to, risks and uncertainties related to our recently completed financial restructuring and other risk factors described from time to time in our filings with the Securities and Exchange Commission. Many of these risks and uncertainties are beyond our control, and the unexpected occurrence or failure to occur of any such events or matters could significantly alter our actual results of operations or financial condition. CUMULUS MEDIA assumes no responsibility to update any forward-looking statement as a result of new information, future events, or otherwise.

About CUMULUS MEDIA
CUMULUS MEDIA (NASDAQ: CMLS) is a leading audio-first media and entertainment company delivering premium content to over a quarter billion people every month - wherever and whenever they want it. CUMULUS MEDIA engages listeners with high-quality local programming through 428 owned-and-operated stations across 87 markets; delivers nationally-syndicated sports, news, talk, and entertainment programming from iconic brands including the NFL, the NCAA, the Masters, the Olympics, the GRAMMYs, the American Country Music Awards, and many other world-class partners across nearly 8,000 affiliated stations through Westwood One, the largest audio network in America; and inspires listeners through its rapidly growing network of original podcasts that are smart, entertaining and thought-provoking. CUMULUS MEDIA provides advertisers with local impact and national reach through on-air, digital, mobile, and voice-activated media solutions, as well as access to integrated digital marketing services, powerful influencers, and live event experiences. CUMULUS MEDIA is the only audio media company to provide marketers with local and national advertising performance guarantees. For more information visit www.cumulusmedia.com.

Non-GAAP Financial Measure
From time to time we utilize certain financial measures that are not prepared or calculated in accordance with GAAP to assess our financial performance and profitability. Consolidated adjusted earnings before interest, taxes, depreciation, and amortization ("Adjusted EBITDA") and segment Adjusted EBITDA are the financial metrics by which management and the chief operating decision maker allocate resources of the Company and analyze the performance of the Company as a whole and each of our reportable segments. Management also uses this measure to determine the contribution of our core operations to the funding of our corporate resources utilized to manage our operations and the funding of our non-operating expenses including debt service and acquisitions. In addition, consolidated Adjusted EBITDA is a key metric for purposes of calculating and determining our compliance with certain covenants in our credit agreement.

In determining Adjusted EBITDA, the Company excludes from net income items not related to core operations and those that are non-cash including: interest, taxes, depreciation, amortization, stock-based compensation expense, gain or loss on the exchange, sale, or disposal of any assets or stations, early extinguishment of debt, local marketing agreement fees, expenses relating to acquisitions, divestitures, restructuring costs, reorganization items and non-cash impairments of assets, if any.

Management believes that Adjusted EBITDA, although not a measure that is calculated in accordance with GAAP, is commonly employed by the investment community as a measure for determining the market value of a media company and comparing the operational and financial performance among media companies. Management has also observed that Adjusted EBITDA is routinely utilized to evaluate and negotiate the potential purchase price for media companies. Given the relevance to our overall value, management believes that investors consider the metric to be extremely useful.

Adjusted EBITDA should not be considered in isolation or as a substitute for net income (loss), operating income, cash flows from operating activities or any other measure for determining the Company’s operating performance or liquidity that is calculated in accordance with GAAP. In addition, Adjusted EBITDA may be defined or calculated differently by other companies, and comparability may be limited.

For further information, please contact:
Cumulus Media Inc.
Investor Relations
IR@cumulus.com
404-260-6600

Supplemental Financial Data and Reconciliations

CUMULUS MEDIA INC.
Unaudited Condensed Consolidated Statements of Operations
(Dollars in thousands)

  Successor Company    Non-GAAP Combined Predecessor and Successor   Successor Company    Non-GAAP Combined Predecessor and Successor
  Three Months Ended June 30, 2019   Three Months Ended June 30, 2018   Six Months Ended June 30, 2019   Six Months Ended June 30, 2018
Net revenue $ 279,673     $ 285,249     $ 547,169     $ 548,928  
Operating expenses:              
Content costs 93,844     89,989     197,596     192,855  
Selling, general and administrative expenses 115,817     120,629     229,320     232,712  
Depreciation and amortization 13,545     14,444     28,135     26,425  
Local marketing agreement fees 438     1,060     1,481     2,167  
Corporate expenses 8,545     8,415     17,077     17,015  
Stock-based compensation expense 1,106     717     2,314     883  
Restructuring costs 13,024     7,675     15,801     9,396  
(Gain) loss on sale of assets or stations (47,750 )   147     (47,724 )   158  
Total operating expenses 198,569     243,076     444,000     481,611  
Operating income 81,104     42,173     103,169     67,317  
Non-operating (expense) income:              
Reorganization items, net     496,368         466,201  
Interest expense (21,191 )   (6,308 )   (43,347 )   (6,436 )
Interest income 8     25     12     54  
Gain on early extinguishment of debt         381      
Other expense, net (34 )   (256 )   (62 )   (253 )
Total non-operating (expense) income, net (21,217 )   489,829     (43,016 )   459,566  
Income before income tax (expense) benefit 59,887     532,002     60,153     526,883  
Income tax (expense) benefit (17,026 )   174,135     (16,841 )   174,253  
Net income $ 42,861     $ 706,137     $ 43,312     $ 701,136  

 

  Successor Company     Predecessor Company
  Period from June 4, 2018 through June 30, 2018     Period from April 1, 2018 through June 30, 2018
Net revenue $ 95,004       $ 190,245  
Operating expenses:        
Content costs 28,970       61,019  
Selling, general and administrative expenses 37,434       83,195  
Depreciation and amortization 4,379       10,065  
Local marketing agreement fees 358       702  
Corporate expenses 2,532       5,883  
Stock-based compensation expense 652       65  
Restructuring costs 6,941       734  
Loss on sale of assets or stations       147  
Total operating expenses 81,266       161,810  
Operating income 13,738       28,435  
Non-operating (expense) income:        
Reorganization items, net       496,368  
Interest expense (6,176 )     (132 )
Interest income 4       21  
Other income (expense), net 20       (276 )
Total non-operating (expense) income, net (6,152 )     495,981  
Income before income tax (expense) benefit 7,586       524,416  
Income tax (expense) benefit (2,606 )     176,741  
Net income $ 4,980       $ 701,157  

 

  Successor Company     Predecessor Company
  Period from June 4, 2018 through June 30, 2018     Period from January 1, 2018 through June 30, 2018
Net revenue $ 95,004       $ 453,924  
Operating expenses:        
Content costs 28,970       163,885  
Selling, general and administrative expenses 37,434       195,278  
Depreciation and amortization 4,379       22,046  
Local marketing agreement fees 358       1,809  
Corporate expenses 2,532       14,483  
Stock-based compensation expense 652       231  
Acquisition-related restructuring costs 6,941       2,455  
Loss on sale of assets or stations       158  
Total operating expenses 81,266       400,345  
Operating income 13,738       53,579  
Non-operating (expense) income:        
Reorganization items, net       466,201  
Interest expense (6,176 )     (260 )
Interest income 4       50  
Other income (expense), net 20       (273 )
Total non-operating (expense) income, net (6,152 )     465,718  
Income before income tax (expense) benefit 7,586       519,297  
Income tax (expense) benefit (2,606 )     176,859  
Net income $ 4,980       $ 696,156  

The following tables reconcile net income (loss), the most directly comparable financial measure calculated and presented in accordance with GAAP, to segment and consolidated Adjusted EBITDA for the periods presented herein (dollars in thousands):

    Three Months Ended June 30, 2019 (Successor Company)
As Reported   Cumulus Radio Station Group   Westwood One   Corporate and Other   Consolidated
GAAP net income (loss)   $ 92,974     $ 11,610     $ (61,723 )   $ 42,861  
Income tax expense           17,026     17,026  
Non-operating expense, including net interest expense   79     122     21,016     21,217  
Local marketing agreement fees   438             438  
Depreciation and amortization   6,414     5,968     1,163     13,545  
Stock-based compensation expense           1,106     1,106  
(Gain) loss on sale of assets or stations   (47,780 )       30     (47,750 )
Restructuring costs   97     166     12,761     13,024  
Franchise and state taxes           352     352  
Adjusted EBITDA   $ 52,222     $ 17,866     $ (8,269 )   $ 61,819  

 

Same Station   Three Months Ended June 30, 2019 (Successor Company)
Net income   $ 42,496  
Income tax expense   17,026  
Non-operating expense, including net interest expense   21,217  
Local marketing agreement fees   438  
Depreciation and amortization   13,545  
Stock-based compensation expense   1,106  
Gain on sale of assets or stations   (47,750 )
Restructuring costs   13,024  
Franchise and state taxes   352  
Adjusted EBITDA   $ 61,454  

 

    Period from June 4, 2018 through June 30, 2018 (Successor Company)
As Reported   Cumulus Radio Station Group   Westwood One   Corporate and Other   Consolidated
GAAP net income (loss)   $ 18,327     $ 5,796     $ (19,143 )   $ 4,980  
Income tax expense           2,606     2,606  
Non-operating (income) expense, including net interest expense   (4 )   47     6,109     6,152  
Local marketing agreement fees   358             358  
Depreciation and amortization   2,179     1,949     251     4,379  
Stock-based compensation expense           652     652  
Restructuring costs       (102 )   7,043     6,941  
Franchise and state taxes           47     47  
Adjusted EBITDA   $ 20,860     $ 7,690     $ (2,435 )   $ 26,115  

 

    Period from April 1, 2018 through June 3, 2018 (Predecessor Company)
As Reported   Cumulus Radio Station Group   Westwood One   Corporate and Other   Consolidated
GAAP net (loss) income   $ (506,774 )   $ 253,619     $ 954,312     $ 701,157  
Income tax benefit           (176,741 )   (176,741 )
Non-operating (income) expense, including net interest expense   (1 )   77     311     387  
Local marketing agreement fees   702             702  
Depreciation and amortization   4,111     4,488     1,466     10,065  
Stock-based compensation expense           65     65  
Loss on sale of assets or stations   3         144     147  
Reorganization items, net   541,903     (251,669 )   (786,602 )   (496,368 )
Restructuring costs   (120 )   39     815     734  
Franchise and state taxes           93     93  
Adjusted EBITDA   $ 39,824     $ 6,554     $ (6,137 )   $ 40,241  

 

    Three Months Ended June 30, 2018 (Non-GAAP Combined Predecessor and Successor)
As Reported   Cumulus Radio Station Group   Westwood One   Corporate and Other   Consolidated
GAAP net (loss) income   $ (488,447 )   $ 259,415     $ 935,169     $ 706,137  
Income tax benefit           (174,135 )   (174,135 )
Non-operating (income) expense, including net interest expense   (5 )   124     6,420     6,539  
Local marketing agreement fees   1,060             1,060  
Depreciation and amortization   6,290     6,437     1,717     14,444  
Stock-based compensation expense           717     717  
Loss on sale of assets or stations   3         144     147  
Reorganization items, net   541,903     (251,669 )   (786,602 )   (496,368 )
Restructuring costs   (120 )   (63 )   7,858     7,675  
Franchise and state taxes           140     140  
Adjusted EBITDA   $ 60,684     $ 14,244     $ (8,572 )   $ 66,356  

 

Same Station   Three Months Ended June 30, 2018 (Non-GAAP Combined Predecessor and Successor)
Net income   $ 701,775  
Income tax benefit   (174,135 )
Non-operating expense, including net interest expense   6,539  
Local marketing agreement fees   1,060  
Depreciation and amortization   14,444  
Stock-based compensation expense   717  
Loss on sale of assets or stations   147  
Reorganization items, net   (496,368 )
Restructuring costs   7,675  
Franchise and state taxes   140  
Adjusted EBITDA   $ 61,994  

 

    Six Months Ended June 30, 2019 (Successor Company)
As Reported   Cumulus Radio Station Group   Westwood One   Corporate and Other   Consolidated
GAAP net income (loss)   $ 118,817     $ 21,173     $ (96,678 )   $ 43,312  
Income tax expense           16,841     16,841  
Non-operating expense, including net interest expense   265     264     42,868     43,397  
Local marketing agreement fees   1,481             1,481  
Depreciation and amortization   13,719     12,163     2,253     28,135  
Stock-based compensation expense           2,314     2,314  
(Gain) loss on sale of assets or stations   (47,766 )       42     (47,724 )
Restructuring costs   97     216     15,488     15,801  
Franchise and state taxes           447     447  
Gain on early extinguishment of debt           (381 )   (381 )
Adjusted EBITDA   $ 86,613     $ 33,816     $ (16,806 )   $ 103,623  

 

Same Station   Six Months Ended June 30, 2019 (Successor Company)
Net income   $ 42,947  
Income tax expense   16,841  
Non-operating expense, including net interest expense   43,397  
Local marketing agreement fees   1,481  
Depreciation and amortization   28,135  
Stock-based compensation expense   2,314  
Gain on sale of assets or stations   (47,724 )
Restructuring costs   15,801  
Franchise and state taxes   447  
Gain on early extinguishment of debt   (381 )
Adjusted EBITDA   $ 103,258  

 

    Period from June 4, 2018 through June 30, 2018 (Successor Company)
As Reported   Cumulus Radio Station Group   Westwood One   Corporate and Other   Consolidated
GAAP net income (loss)   $ 18,327     $ 5,796     $ (19,143 )   $ 4,980  
Income tax expense           2,606     2,606  
Non-operating (income) expense, including net interest expense   (4 )   47     6,109     6,152  
Local marketing agreement fees   358             358  
Depreciation and amortization   2,179     1,949     251     4,379  
Stock-based compensation expense           652     652  
Restructuring costs       (102 )   7,043     6,941  
Franchise and state taxes           47     47  
Adjusted EBITDA   $ 20,860     $ 7,690     $ (2,435 )   $ 26,115  

 

    Period from January 1, 2018 through June 4, 2018 (Predecessor Company)
As Reported   Cumulus Radio Station Group   Westwood One   Corporate and Other   Consolidated
GAAP net (loss) income   $ (477,966 )   $ 259,441     $ 914,681     $ 696,156  
Income tax benefit           (176,859 )   (176,859 )
Non-operating (income) expense, including net interest expense   (2 )   204     281     483  
Local marketing agreement fees   1,809             1,809  
Depreciation and amortization   10,251     9,965     1,830     22,046  
Stock-based compensation expense           231     231  
Loss on sale of assets or stations   14         144     158  
Reorganization items, net   541,903     (251,487 )   (756,617 )   (466,201 )
Restructuring costs       1,087     1,368     2,455  
Franchise and state taxes           234     234  
Adjusted EBITDA   $ 76,009     $ 19,210     $ (14,707 )   $ 80,512  

 

    Six Months Ended June 30, 2018 (Non-GAAP Combined Predecessor and Successor)
As Reported   Cumulus Radio Station Group   Westwood One   Corporate and Other   Consolidated
GAAP net (loss) income   $ (459,639 )   $ 265,237     $ 895,538     $ 701,136  
Income tax benefit           (174,253 )   (174,253 )
Non-operating (income) expense, including net interest expense   (6 )   251     6,390     6,635  
Local marketing agreement fees   2,167             2,167  
Depreciation and amortization   12,430     11,914     2,081     26,425  
Stock-based compensation expense           883     883  
Loss on sale of assets or stations   14         144     158  
Reorganization items, net   541,903     (251,487 )   (756,617 )   (466,201 )
Restructuring costs       985     8,411     9,396  
Franchise and state taxes           281     281  
Adjusted EBITDA   $ 96,869     $ 26,900     $ (17,142 )   $ 106,627  

 

Same Station   Six Months Ended June 30, 2018 (Non-GAAP Combined Predecessor and Successor)
Net income   $ 696,774  
Income tax benefit   (174,253 )
Non-operating expense, including net interest expense   6,635  
Local marketing agreement fees   2,167  
Depreciation and amortization   26,425  
Stock-based compensation expense   883  
Loss on sale of assets or stations   158  
Reorganization items, net   (466,201 )
Restructuring costs   9,396  
Franchise and state taxes   281  
Adjusted EBITDA   $ 102,265  

The following tables reconcile as reported net revenue and as reported Adjusted EBITDA to same station net revenue and same station Adjusted EBITDA for the periods presented herein (dollars in thousands):

    Three Months Ended June 30, 2019 (Successor Company)   Three Months Ended June 30, 2018 (Non-GAAP Combined Predecessor and Successor)
As reported net revenue   $ 279,673     $ 285,249  
Station dispositions and swaps   (3,732 )   (11,144 )
Same station net revenue   $ 275,941     $ 274,105  

 

    Six Months Ended June 30, 2019 (Successor Company)   Six Months Ended June 30, 2018 (Non-GAAP Combined Predecessor and Successor)
As reported net revenue   $ 547,169     $ 548,928  
Station dispositions and swaps   (3,732 )   (11,144 )
Same station net revenue   $ 543,437     $ 537,784  

 

    Three Months Ended June 30, 2019 (Successor Company)   Three Months Ended June 30, 2018 (Non-GAAP Combined Predecessor and Successor)
As reported Adjusted EBITDA   $ 61,819     $ 66,356  
Station dispositions and swaps   (365 )   (4,362 )
Same station Adjusted EBITDA   $ 61,454     $ 61,994  

 

    Six Months Ended June 30, 2019 (Successor Company)   Six Months Ended June 30, 2018 (Non-GAAP Combined Predecessor and Successor)
As reported Adjusted EBITDA   $ 103,623     $ 106,627  
Station dispositions and swaps   (365 )   (4,362 )
Same station Adjusted EBITDA   $ 103,258     $ 102,265  

The following tables disclose net revenue for each of the Predecessor Company and Successor Company periods presented herein.  When combined, these periods present the Company's non-GAAP combined Predecessor and Successor net revenue for the three and six months ended June 30, 2018 (dollars in thousands):

    Period from June 4, 2018 through June 30, 2018 (Successor Company)
    Cumulus Radio Station Group   Westwood One   Corporate and Other   Consolidated
Net revenue   $ 68,357     $ 26,356     $ 291     $ 95,004  

 

    Period from April 1, 2018 through June 3, 2018 (Predecessor Company)
    Cumulus Radio Station Group   Westwood One   Corporate and Other   Consolidated
Net revenue   $ 135,093     $ 54,924     $ 228     $ 190,245  

 

    Period from January 1, 2018 through June 3, 2018 (Predecessor Company)
    Cumulus Radio Station Group   Westwood One   Corporate and Other   Consolidated
Net revenue   $ 303,317     $ 149,715     $ 892     $ 453,924  

The following table discloses capital expenditures for each of the Predecessor Company and Successor Company periods presented below.  When combined, these periods present the Company's non-GAAP combined Predecessor and Successor capital expenditures for the three and six months ended June 30, 2018 (dollars in thousands):

  Successor Company     Predecessor Company  
  Period from June 4, 2018 through June 30, 2018     Period from April 1, 2018 through June 3, 2018   Period from January 1, 2018 through June 3, 2018  
Capital expenditures $ 1,969       $ 5,014     $ 14,019    

Is your business listed correctly on America’s largest city directory network of 1,000 portals?