Townsquare Media (TSQ) Tops Q1 EPS by 5c, Revenues Beat

Townsquare Media (NYSE: TSQ) reported Q1 EPS of $0.17, $0.05 better than the analyst estimate of $0.12. Revenue for the quarter came in at $88.8 million versus the consensus estimate of $87.51 million.

First Quarter Highlights*

• As compared to the first quarter of 2020:
  • Net revenue decreased 5.0%, and 4.1% excluding political revenue
  • Net revenue decreased 1.6% excluding political and Live Events net revenue
  • Net loss decreased $53.5 million to a net loss of $6.1 million
  • Adjusted EBITDA increased 29.7% to $20.1 million
  • Townsquare Interactive net subscription revenue increased 14.9% to $19.0 million
  • Townsquare Interactive Adjusted Operating Income increased 30.4% to $5.9 million
  • Advertising net revenue decreased 6.4% and 5.3% excluding political revenue
  • Live Events net revenue decreased 99.7%
• Diluted income per share was $(0.35), and Adjusted Net Income per diluted share was $0.17
• Generated Cash Flow from Operations of $19.4 million
• Issued $550.0 million of 6.875% senior secured notes due 2026
• Completed the repurchase of 100% of Oaktree Capital's equity interest in the Company for $6.40 per security, representing a 19% discount to the pre-announcement share price (39% as of the March 9, 2021 closing date)
• Townsquare Interactive added approximately 850 net subscribers, the 12th consecutive quarter of 850 or more net subscriber additions

"We are extremely proud to report that Townsquare's first quarter 2021 results approached, and in some cases exceeded, levels achieved in the pre-COVID first quarter of 2019, which surpassed our expectations and previously stated guidance. In the first quarter of 2021, net revenue declined -5% year over year, and -1.6% excluding political and Live Events net revenue. When excluding Live Events net revenue, first quarter net revenue increased +0.3% as compared to the first quarter of 2019. Total digital revenue growth accelerated to +13% year over year (+32% vs. Q1 2019), contributing nearly 49% of Townsquare's total first quarter net revenue. Our digital revenue growth was fueled by Townsquare Interactive (TSI), our digital marketing solutions subscription business, Townsquare Ignite, our digital programming advertising platform, and Townsquare Amped, digital advertising on our owned and operated brands, which increased revenue year over year by +15%, +12%, and +11%, respectively. Impressively, TSI, Ignite, and Amped's first quarter net revenue exceeded Q1 2019 revenue levels by +34%, +45%, and +15%, respectively. Over the next three years, we expect to grow our digital net revenue from $167 million (on a trailing twelve-month basis as of March 31, 2021) to $250 million," commented Bill Wilson, Chief Executive Officer of Townsquare Media, Inc. "The strong growth of our digital revenue, together with our strong expense management, led to Adjusted EBITDA increasing nearly +30% over the prior year. I am especially proud to share that first quarter Adjusted EBITDA of $20.1 million is +$1.3 million, or +7%, higher than Q1 2019's pro forma Adjusted EBITDA, and +$2.1 million, or +12%, higher when excluding profit from Live Events."

For earnings history and earnings-related data on Townsquare Media (TSQ) click here.

You May Also Be Interested In

• Tesla plans 'flying' Roadster stunt at SpaceX Texas site as early as August
• SVB & T Corporation (SVBT) Tops Q2 EPS by 275c
• Pro Diversity Network (IPDN) Reports Q2 Loss of $0.15