Entercom Communications Corp. Reports First Quarter Results
May 9, 2014
Entercom Communications Corp. has reported its financial results for the quarter ended March 31, 2014.
First Quarter Highlights: - Net Revenues were flat at $78.2 million - Station Expenses were flat at $57.8 million - Station Operating Income was flat at $20.4 million - Adjusted EBITDA declined slightly to $15.1 million - Adjusted Net Income per share more than doubled to $0.05 - Free Cash Flow increased 19% to $4.7 million
David J. Field, President and Chief Executive Officer, stated: “I am pleased to report that Free Cash Flow increased 19% for the quarter. First quarter Revenues were up excluding the effect of our non-renewal of Boston Celtics radio broadcasts, despite the unusually challenging winter weather that impacted many of our markets. We are increasingly enthusiastic about the radio industry’s future growth outlook based on a number of recent developments, most notably the release of the Nielsen Catalina study which showed radio generating outstanding ROI results across ten major national brands, significantly outperforming other competitive media.”
During the quarter, the Company launched SmartReach Digital, a new division that will help local businesses navigate the growing universe of digital marketing options. It will focus on designing and implementing fully integrated local digital marketing strategies to help simplify the complex and constantly changing digital marketing landscape for local businesses. SmartReach Digital will offer a number of products and services that enable local businesses to attract, activate and engage targeted leads. SmartReach Digital has rolled out in six of Entercom’s markets as of April 1. Additional markets will be added over the next twelve months.
The Company reduced its outstanding debt by $18.1 million (net of cash) during the quarter. As of March 31, 2014, the Company had $5.9 million in cash and $492.7 million of senior debt and senior notes.