WASHINGTON, May 12, 2021 /PRNewswire/ -- Urban One, Inc.
(NASDAQ: UONEK and UONE) today reported its results for the quarter
ended March 31, 2021. Net revenue was
approximately $91.4 million, a
decrease of 3.6% from the same period in 2020. Broadcast and
digital operating income1 was approximately $36.4 million, a decrease of 3.3% from the same
period in 2020. The Company reported operating income of
approximately $23.8 million for the
three months ended March 31, 2021,
compared to an operating loss of approximately $27.3 million for the three months ended
March 31, 2020. Net income was
$7,000 or $0.00 per share (basic) compared to a net loss of
approximately $23.2 million or
$0.51 per share (basic) for the same
period in 2020. Adjusted EBITDA2 was approximately
$28.8 million for the three months
ended March 31, 2021, compared to
approximately $32.3 million for the
same period in 2020.
Alfred C. Liggins, III, Urban
One's CEO and President stated, "Normalizing for approximately
$1.4 million of Richmond gaming chase costs, which were
one-time in nature, our Adjusted EBITDA was down approximately 6.3%
year over year, which was encouraging in the context of pre-COVID
radio comparatives for January and February and a lack of political
revenues. It is worth noting that compared to Q1 2019, which was a
pre-pandemic and off-cycle political quarter, our Adjusted EBITDA
was up by approximately 4.1% (and by 9.1% after normalizing for the
Richmond gaming project). Our core
radio advertising was down approximately 13.7% for the quarter,
with January -28.4%, February -19.9% and March +8.8%. Currently for
second quarter, core radio is pacing up over 70%, with April
finishing at +89%. Our digital business had another strong quarter,
with revenues up 64.6% and Adjusted EBITDA up by approximately
$3.2 million. Cable TV revenues were
down 2.6%, but Adjusted EBITDA of approximately $24.8 million was 14.5% higher than Q1 2019
(approximately $21.7 million), which
is a more realistic comparison than the COVID-impacted Q1 2020,
during which content production and marketing were effectively
shut-off. Under the circumstances, we delivered a solid first
quarter, and I anticipate further sequential improvements in
Q2."
RESULTS OF
OPERATIONS
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
March 31,
|
|
|
2021
|
|
2020
|
STATEMENT OF
OPERATIONS
|
(unaudited)
|
|
|
(in thousands, except
share data)
|
|
|
|
|
|
|
NET
REVENUE
|
$
91,440
|
|
$
94,875
|
|
OPERATING
EXPENSES
|
|
|
|
|
Programming and
technical, excluding stock-based compensation
|
25,090
|
|
27,862
|
|
Selling, general and
administrative, excluding stock-based compensation
|
29,956
|
|
29,377
|
|
Corporate selling,
general and administrative, excluding stock-based
compensation
|
10,120
|
|
8,332
|
|
Stock-based
compensation
|
253
|
|
393
|
|
Depreciation and
amortization
|
2,264
|
|
2,548
|
|
Impairment of
long-lived assets
|
-
|
|
53,650
|
|
Total operating
expenses
|
67,683
|
|
122,162
|
|
Operating income (loss)
|
23,757
|
|
(27,287)
|
|
INTEREST
INCOME
|
4
|
|
8
|
|
INTEREST
EXPENSE
|
18,045
|
|
19,138
|
|
LOSS ON RETIREMENT OF
DEBT
|
6,949
|
|
-
|
|
OTHER INCOME,
net
|
(1,684)
|
|
(1,504)
|
|
Income (loss) before benefit from income taxes and
noncontrolling interest in income of subsidiaries
|
451
|
|
(44,913)
|
|
BENEFIT FROM INCOME
TAXES
|
(10)
|
|
(21,855)
|
|
CONSOLIDATED NET
INCOME (LOSS)
|
461
|
|
(23,058)
|
|
NET INCOME
ATTRIBUTABLE TO NONCONTROLLING INTERESTS
|
454
|
|
129
|
|
CONSOLIDATED NET
INCOME (LOSS) ATTRIBUTABLE TO COMMON STOCKHOLDERS
|
$
7
|
|
$
(23,187)
|
|
|
|
|
|
|
AMOUNTS ATTRIBUTABLE
TO COMMON STOCKHOLDERS
|
|
|
|
|
CONSOLIDATED NET
INCOME (LOSS) ATTRIBUTABLE TO COMMON STOCKHOLDERS
|
$
7
|
|
$
(23,187)
|
|
|
|
|
|
|
Weighted average
shares outstanding - basic3
|
48,463,289
|
|
45,228,164
|
|
Weighted average
shares outstanding - diluted4
|
49,053,650
|
|
45,228,164
|
|
Three Months Ended
March 31,
|
|
2021
|
|
2020
|
PER SHARE DATA -
basic and diluted:
|
(unaudited)
|
|
(unaudited)
|
|
(in thousands, except
per share data)
|
|
|
|
|
Consolidated net income (loss) attributable to common stockholders
(basic)
|
$
0.00
|
|
$
(0.51)
|
|
|
|
|
Consolidated net income (loss) attributable to common stockholders
(diluted)
|
$
0.00
|
|
$
(0.51)
|
|
|
|
|
SELECTED OTHER
DATA
|
|
|
|
Broadcast and digital
operating income 1
|
$
36,394
|
|
$
37,636
|
Broadcast and digital
operating income margin (% of net revenue)
|
39.8%
|
|
39.7%
|
|
|
|
|
Broadcast and
digital operating income reconciliation:
|
|
|
|
|
|
|
|
Consolidated net income (loss) attributable to common
stockholders
|
$
7
|
|
$
(23,187)
|
Add back non-broadcast and digital operating income items included
in consolidated net income (loss):
|
|
|
|
Interest
income
|
(4)
|
|
(8)
|
Interest
expense
|
18,045
|
|
19,138
|
Benefit from income
taxes
|
(10)
|
|
(21,855)
|
Corporate selling,
general and administrative expenses
|
10,120
|
|
8,332
|
Stock-based
compensation
|
253
|
|
393
|
Loss on retirement of
debt
|
6,949
|
|
-
|
Other income,
net
|
(1,684)
|
|
(1,504)
|
Depreciation and
amortization
|
2,264
|
|
2,548
|
Noncontrolling
interest in income of subsidiaries
|
454
|
|
129
|
Impairment of
long-lived assets
|
-
|
|
53,650
|
Broadcast and digital
operating income
|
$
36,394
|
|
$
37,636
|
|
|
|
|
Adjusted
EBITDA2
|
$
28,845
|
|
$
32,260
|
|
|
|
|
Adjusted EBITDA
reconciliation:
|
|
|
|
|
|
|
|
Consolidated net income (loss) attributable to common
stockholders
|
$
7
|
|
$
(23,187)
|
Interest
income
|
(4)
|
|
(8)
|
Interest
expense
|
18,045
|
|
19,138
|
Benefit from income
taxes
|
(10)
|
|
(21,855)
|
Depreciation and
amortization
|
2,264
|
|
2,548
|
EBITDA
|
$
20,302
|
|
$
(23,364)
|
Stock-based
compensation
|
253
|
|
393
|
Loss on retirement of
debt
|
6,949
|
|
-
|
Other income,
net
|
(1,684)
|
|
(1,504)
|
Noncontrolling
interest in income of subsidiaries
|
454
|
|
129
|
Employment Agreement
Award, incentive plan award expenses and other
compensation
|
597
|
|
1,212
|
Contingent
consideration from acquisition
|
40
|
|
(72)
|
Severance-related
costs
|
263
|
|
326
|
Cost method
investment income from MGM National Harbor
|
1,671
|
|
1,490
|
Impairment of
long-lived assets
|
-
|
|
53,650
|
Adjusted
EBITDA
|
$
28,845
|
|
$
32,260
|
|
March 31,
2021
|
|
December 31,
2020
|
(unaudited)
|
|
|
|
|
(in
thousands)
|
SELECTED BALANCE
SHEET DATA:
|
|
|
Cash and cash
equivalents and restricted cash
|
$
57,287
|
|
$
73,858
|
|
Intangible assets,
net
|
763,180
|
|
764,858
|
|
Total
assets
|
1,168,751
|
|
1,195,487
|
|
Total debt (including
current portion, net of issuance costs)
|
809,857
|
|
842,286
|
|
Total
liabilities
|
957,185
|
|
995,888
|
|
Total stockholders'
equity
|
198,831
|
|
186,898
|
|
Redeemable
noncontrolling interest
|
12,735
|
|
12,701
|
|
|
|
|
|
|
|
March 31,
2021
|
|
Applicable
Interest
Rate
|
|
(in
thousands)
|
|
|
SELECTED LEVERAGE
DATA:
|
|
|
7.375% senior secured
notes due February 2028, net of issuance costs of approximately
$15.1 million (fixed rate)
|
$
809,857
|
|
7.375%
|
Cautionary Note Regarding Forward-Looking Statements
This press release includes forward-looking statements within
the meaning of Section 27A of the Securities Act of 1933 and
Section 21E of the Securities Exchange Act of 1934. Forward-looking
statements represent management's current expectations and are
based upon information available to Urban One at the time of this
release. These forward-looking statements involve known and unknown
risks, uncertainties and other factors, some of which are beyond
Urban One's control, that may cause the actual results to differ
materially from any future results, performance or achievements
expressed or implied by such forward-looking statements.
Important factors that could cause actual results to differ
materially are described in Urban One's reports on Forms 10-K,
10-Q, 10-Q/A, 8-K and other filings with the Securities and
Exchange Commission (the "SEC"). Urban One does not undertake any
duty to update any forward-looking statements.
The COVID-19 pandemic continues to have an impact on certain of
our revenue and alternative revenue sources. Most notably, a number
of advertisers across significant advertising categories reduced
advertising spend due to the outbreak. This was particularly true
within our radio segment which derives substantial revenue from
local advertisers, including in areas such as Texas, Ohio
and Georgia. The economies in
these areas were hit particularly hard due to social distancing and
other government interventions. Further, the COVID-19 outbreak
caused the postponement of our 2020 Tom Joyner Foundation Fantastic
Voyage cruise and impaired ticket sales of other tent pole special
events, some of which we had to cancel. We do not carry business
interruption insurance to compensate us for losses and such losses
may continue to occur as a result of the ongoing nature of the
COVID-19 pandemic. Continued or new outbreaks or surges in new
cases due to variants in the markets in which we operate could have
material impacts on our liquidity, operations including potential
impairment of assets, and our financial results. Likewise,
our income from our investment in MGM National Harbor Casino has
been negatively affected by closures and limitations on occupancy
imposed by state and local governmental authorities.
Net revenue consists of gross revenue, net of local and national
agency and outside sales representative commissions. Agency and
outside sales representative commissions are calculated based on a
stated percentage applied to gross billing.
|
|
Three Months Ended
March 31,
|
|
|
|
|
|
|
|
|
|
2021
|
|
2020
|
|
$
Change
|
|
|
%
Change
|
|
|
(Unaudited)
|
|
|
|
|
|
|
|
|
(in
thousands)
|
|
|
|
|
|
|
Net
Revenue:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Radio
Advertising
|
|
$
|
33,340
|
|
$
|
38,417
|
|
$
|
(5,077)
|
|
|
-13.2%
|
|
Political
Advertising
|
|
|
780
|
|
|
2,404
|
|
|
(1,624)
|
|
|
-67.6%
|
|
Digital
Advertising
|
|
|
10,353
|
|
|
6,289
|
|
|
4,064
|
|
|
64.6%
|
|
Cable Television
Advertising
|
|
|
20,702
|
|
|
21,033
|
|
|
(331)
|
|
|
-1.6%
|
|
Cable Television
Affiliate Fees
|
|
|
25,486
|
|
|
26,207
|
|
|
(721)
|
|
|
-2.8%
|
|
Event Revenues &
Other
|
|
|
779
|
|
|
525
|
|
|
254
|
|
|
48.4%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Revenue (as
reported)
|
|
$
|
91,440
|
|
$
|
94,875
|
|
$
|
(3,435)
|
|
|
-3.6%
|
|
Net revenue decreased to approximately $91.4 million for the quarter ended March 31, 2021, from approximately $94.9 million for the same period in 2020. Net
revenues from our radio broadcasting segment decreased 20.4%
compared to the same period in 2020. The decrease in net revenue in
our radio broadcasting segment was due primarily to the economic
impacts of the COVID-19 pandemic which began in March 2020, thus impacting only a part of the
three month period ended March 31,
2020, but impacting the entire comparable period in 2021.
Based on reports prepared by the independent accounting firm
Miller, Kaplan, Arase & Co., LLP ("Miller Kaplan"), the markets we operate in
(excluding Richmond and
Raleigh, both of which no longer
participate in Miller Kaplan)
decreased 13.4% in total revenues With the exception of our
Charlotte market, we experienced
net revenue declines in all of our radio markets, primarily due to
lower advertising sales. The increase in Charlotte was driven by the previously
announced asset swap with Entercom and operation of the additional
stations in that market under the LMA providing for the operation
of the stations prior to closing under that asset exchange
agreement. Net revenue excluding political, from our radio
broadcasting segment decreased 17.7% compared to the same period in
2020. We recognized approximately $46.2
million of revenue from our cable television segment during
the three months ended March 31,
2021, compared to approximately $47.5
million for the same period in 2020. Net revenue from our
Reach Media segment increased 16.9% for the quarter ended
March 31, 2021, compared to the same
period in 2020. Finally, net revenues for our digital segment
increased approximately $4.1 million
for the three months ended March 31,
2021, compared to the same period in 2020, primarily due to
an increase in direct revenues.
Operating expenses, excluding depreciation and amortization,
stock-based compensation and impairment of long-lived assets,
decreased to approximately $65.2
million for the quarter ended March
31, 2021, down 0.6% from the approximately $65.6 million incurred for the comparable quarter
in 2020. The overall operating expense decrease was driven by lower
programming and technical expenses, which was partially offset by
higher selling, general and administrative expenses and corporate
selling, general and administrative expenses.
During the quarter ended March 31,
2021, we saved approximately $1.0
million in employee compensation expenses and $654,000 in reduced travel and office expenses
due to our cost savings initiatives. We also saved approximately
$1.1 million in lower program content
amortization expense at our cable television segment. These savings
were offset by an increase of approximately $1.3 million in marketing spend. Finally, the
increase in corporate selling, general and administrative expenses
for the three months ended March 31,
2021, compared to the same period in 2020 is
primarily due to an increase in expenses of approximately
$1.4 million related to corporate
development activities related to potential gaming and other
similar business activities.
Depreciation and amortization expense decreased to approximately
$2.3 million for the quarter ended
March 31, 2021, compared to
approximately $2.5 million for the
quarter ended March 31, 2020.
Interest expense decreased to approximately $18.0 million for the quarter ended March 31, 2021, compared to approximately
$19.1 million for the quarter ended
March 31, 2020. The Company made cash
interest payments of approximately $13.9
million on its outstanding debt for the quarter ended
March 31, 2021, compared to cash
interest payments of approximately $13.9
million on its outstanding debt for the quarter ended
March 31, 2020. As of March 31, 2020, the Company had approximately
$27.5 million in borrowings
outstanding on its ABL Facility. There was no balance outstanding
on March 31, 2021. As previously
announced, on January 25, 2021, the
Company closed on a new senior secured notes (the "2028 Notes").
The proceeds from the 2028 Notes were used to prepay in full
(1) the 2017 Credit Facility, (2) the 2018 Credit
Facility, (3) the MGM National Harbor Loan; (4) the
remaining amounts of our 7.375% Notes, and (5) our 8.75% Notes
that were issued in the November 2020 Exchange
Offer. There was a net loss on retirement of debt of
approximately $6.9 million for the
quarter ended March 31, 2021
associated with these transactions.
The impairment of long-lived assets for the three months ended
March 31, 2020, was related to a
non-cash impairment charge of approximately $5.9 million recorded to reduce the carrying
value of our Atlanta and
Indianapolis market goodwill
balances and a charge of approximately $47.7
million associated with our Atlanta, Cincinnati, Dallas, Houston, Indianapolis, Philadelphia, Raleigh, Richmond and St.
Louis radio market broadcasting licenses.
During the three months ended March 31,
2021, the benefit from income taxes decreased to
$10,000 compared to approximately
$21.9 million for the three months
ended March 31, 2020. The decrease in
the benefit from income taxes was primarily due to the application
of the estimated annual effective tax rate for the year to date and
pre-tax income of $451,000 during the
quarter, and discrete tax provision adjustments for excess tax
benefits related to restricted stock units. For the three months
ended March 31, 2020, the benefit
from income taxes was approximately $21.9
million. The increase in the benefit from income taxes was
primarily due to the application of the actual effective tax rate
for the year to date and pre-tax loss of approximately $44.9 million during the quarter, and discrete
tax provision adjustments to previously unrecognized deferred tax
assets that the Company believes it can now benefit from in future
periods. The Company received a refund of taxes of $32,000 for the quarter ended March 31, 2021 and did not pay taxes for the
quarter ended March 31, 2020.
Other income, net, was approximately $1.7
million and $1.5 million for
the three months ended March 31, 2021
and 2020, respectively. We recognized other income in the amount of
approximately $1.7 million and
$1.5 million for the three months
ended March 31, 2021 and 2020,
respectively, related to our MGM investment.
The increase in noncontrolling interests in income of
subsidiaries was due primarily to higher net income recognized by
Reach Media during the three months ended March 31, 2021 compared to the three months ended
March 31, 2020.
Other pertinent financial information includes capital
expenditures of $804,000 and
approximately $1.4 million for the
quarters ended March 31, 2021 and
2020, respectively.
During the three months ended March 31,
2021 and 2020, the Company did not repurchase any shares of
Class A or Class D common stock.
The Company, in connection with its prior 2009 stock option and
restricted stock plan and its current 2019 Equity and Performance
Incentive Plan (the "2019 Plan"), is authorized to purchase shares
of Class D common stock to satisfy employee tax obligations in
connection with the vesting of share grants under the plan. During
the three months ended March 31,
2021, the Company executed a Stock Vest Tax Repurchase of
495,296 shares of Class D Common Stock in the amount of
$872,000. During the three
months ended March 31, 2020, the
Company executed a Stock Vest Tax Repurchase of 547,801 shares of
Class D Common Stock in the amount of approximately $1.0 million.
Other Matters
On January 19, 2021, the Company completed its 2020 ATM
Program, and during the quarter ended March
31, 2021, sold 1,465,826 Class A shares and received gross
proceeds of approximately $9.5 and
net proceeds of approximately $9.3
million for the program. On January 27, 2021, the
Company entered into a new 2021 Open Market Sale
AgreementSM (the "2021 Sale Agreement") with Jefferies
under which the Company may offer and sell, from time to time at
its sole discretion, shares of its Class A common stock, par
value $0.001 per share (the
"Class A Shares"), through Jefferies as its sales agent. The
Company has filed a prospectus supplement pursuant to the 2021 Sale
Agreement for the offer and sale of its Class A Shares having
an aggregate offering price of up to $25
million (the "2021 ATM Program"). As of March 31, 2021,
the Company has issued and sold an aggregate of 420,439
Class A Shares pursuant to the 2021 Sale Agreement and
received gross proceeds of approximately $3.0 million and net proceeds of approximately
$2.8 million, after deducting
commissions to Jefferies and other offering expenses. While the
Company still has Class A Shares available for issuance under
the 2021 ATM Program, the Company may also enter into new
additional ATM programs and issue additional common stock from time
to time under those programs.
Supplemental Financial Information:
For comparative
purposes, the following more detailed, unaudited statements of
operations for the three months ended March
31, 2021 and 2020 are included.
|
|
|
|
Three Months Ended
March 31, 2021
|
|
|
|
|
(in thousands,
unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Radio
|
|
Reach
|
|
|
|
Cable
|
|
Corporate/
|
|
|
|
|
Consolidated
|
Broadcasting
|
Media
|
|
Digital
|
Television
|
Eliminations
|
|
|
|
|
|
STATEMENT OF
OPERATIONS:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NET
REVENUE
|
$
|
91,440
|
$
|
27,788
|
$
|
7,816
|
$
|
10,355
|
$
|
46,241
|
$
|
(760)
|
|
OPERATING
EXPENSES:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Programming and
technical
|
|
25,090
|
|
8,492
|
|
3,409
|
|
2,813
|
|
10,735
|
|
(359)
|
|
Selling, general and
administrative
|
|
29,956
|
|
14,813
|
|
1,125
|
|
5,239
|
|
9,169
|
|
(390)
|
|
Corporate selling,
general and administrative
|
|
10,120
|
|
-
|
|
640
|
|
1
|
|
1,562
|
|
7,917
|
|
Stock-based
compensation
|
|
253
|
|
24
|
|
-
|
|
-
|
|
55
|
|
174
|
|
Depreciation and
amortization
|
|
2,264
|
|
729
|
|
58
|
|
324
|
|
929
|
|
224
|
|
Impairment of
long-lived assets
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
Total operating
expenses
|
|
67,683
|
|
24,058
|
|
5,232
|
|
8,377
|
|
22,450
|
|
7,566
|
|
Operating income (loss)
|
|
23,757
|
|
3,730
|
|
2,584
|
|
1,978
|
|
23,791
|
|
(8,326)
|
|
INTEREST
INCOME
|
|
4
|
|
-
|
|
-
|
|
-
|
|
-
|
|
4
|
|
INTEREST
EXPENSE
|
|
18,045
|
|
44
|
|
-
|
|
79
|
|
1,919
|
|
16,003
|
|
LOSS ON RETIREMENT OF
DEBT
|
|
6,949
|
|
-
|
|
-
|
|
-
|
|
-
|
|
6,949
|
|
OTHER (INCOME)
EXPENSE, net
|
|
(1,684)
|
|
-
|
|
-
|
|
-
|
|
-
|
|
(1,684)
|
|
Income (loss) before
(benefit from) provision for income taxes and noncontrolling
interest in income of subsidiaries
|
|
451
|
|
3,686
|
|
2,584
|
|
1,899
|
|
21,872
|
|
(29,590)
|
|
(BENEFIT FROM)
PROVISION FOR INCOME TAXES
|
|
(10)
|
|
788
|
|
638
|
|
-
|
|
5,395
|
|
(6,831)
|
|
CONSOLIDATED NET
INCOME (LOSS)
|
|
461
|
|
2,898
|
|
1,946
|
|
1,899
|
|
16,477
|
|
(22,759)
|
|
NET INCOME
ATTRIBUTABLE TO NONCONTROLLING INTERESTS
|
|
454
|
|
-
|
|
-
|
|
-
|
|
-
|
|
454
|
|
NET INCOME (LOSS)
ATTRIBUTABLE TO COMMON STOCKHOLDERS
|
$
|
7
|
$
|
2,898
|
$
|
1,946
|
$
|
1,899
|
$
|
16,477
|
$
|
(23,213)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted
EBITDA2
|
$
|
28,845
|
$
|
4,573
|
$
|
2,678
|
$
|
2,389
|
$
|
24,811
|
$
|
(5,606)
|
|
|
|
|
Three Months Ended
March 31, 2020
|
|
|
|
|
(in thousands,
unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Radio
|
|
Reach
|
|
|
|
Cable
|
|
Corporate/
|
|
|
|
|
Consolidated
|
Broadcasting
|
Media
|
|
Digital
|
Television
|
Eliminations
|
|
|
|
|
|
STATEMENT OF
OPERATIONS:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NET
REVENUE
|
$
|
94,875
|
$
|
34,916
|
$
|
6,689
|
$
|
6,289
|
$
|
47,497
|
$
|
(516)
|
|
OPERATING
EXPENSES:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Programming and
technical
|
|
27,862
|
|
9,880
|
|
3,417
|
|
3,120
|
|
11,827
|
|
(382)
|
|
Selling, general and
administrative
|
|
29,377
|
|
16,432
|
|
1,751
|
|
4,069
|
|
7,251
|
|
(126)
|
|
Corporate selling,
general and administrative
|
|
8,332
|
|
-
|
|
718
|
|
-
|
|
1,322
|
|
6,292
|
|
Stock-based
compensation
|
|
393
|
|
79
|
|
9
|
|
6
|
|
-
|
|
299
|
|
Depreciation and
amortization
|
|
2,548
|
|
741
|
|
59
|
|
488
|
|
943
|
|
317
|
|
Impairment of
long-lived assets
|
|
53,650
|
|
53,650
|
|
-
|
|
-
|
|
-
|
|
-
|
|
Total operating
expenses
|
|
122,162
|
|
80,782
|
|
5,954
|
|
7,683
|
|
21,343
|
|
6,400
|
|
Operating (loss) income
|
|
(27,287)
|
|
(45,866)
|
|
735
|
|
(1,394)
|
|
26,154
|
|
(6,916)
|
|
INTEREST
INCOME
|
|
8
|
|
-
|
|
-
|
|
-
|
|
-
|
|
8
|
|
INTEREST
EXPENSE
|
|
19,138
|
|
3
|
|
-
|
|
79
|
|
1,919
|
|
17,137
|
|
OTHER INCOME,
net
|
|
(1,504)
|
|
-
|
|
-
|
|
-
|
|
-
|
|
(1,504)
|
|
(Loss) income before
(benefit from) provision for income taxes and noncontrolling
interest in income of subsidiaries
|
|
(44,913)
|
|
(45,869)
|
|
735
|
|
(1,473)
|
|
24,235
|
|
(22,541)
|
|
(BENEFIT FROM)
PROVISION FOR INCOME TAXES
|
|
(21,855)
|
|
(9,849)
|
|
183
|
|
-
|
|
6,055
|
|
(18,244)
|
|
CONSOLIDATED NET
(LOSS) INCOME
|
|
(23,058)
|
|
(36,020)
|
|
552
|
|
(1,473)
|
|
18,180
|
|
(4,297)
|
|
NET INCOME
ATTRIBUTABLE TO NONCONTROLLING INTERESTS
|
|
129
|
|
-
|
|
-
|
|
-
|
|
-
|
|
129
|
|
NET (LOSS) INCOME
ATTRIBUTABLE TO COMMON STOCKHOLDERS
|
$
|
(23,187)
|
$
|
(36,020)
|
$
|
552
|
$
|
(1,473)
|
$
|
18,180
|
$
|
(4,426)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted
EBITDA2
|
$
|
32,260
|
$
|
8,751
|
$
|
803
|
$
|
(810)
|
$
|
27,103
|
$
|
(3,587)
|
Urban One, Inc. will hold a conference call to discuss its
results for the first fiscal quarter of 2021. The conference call
is scheduled for Wednesday, May 12,
2021 at 10:00 a.m. EDT. To
participate on this call, U.S. callers may dial toll-free
1-844-291-6362; international callers may dial direct (+1)
234-720-6995. The Access Code is 9323973.
A replay of the conference call will be available from
1:00 p.m. EDT May 12, 2021 until 12:00
a.m. EDT May 15, 2021. Callers
may access the replay by calling 1-866-207-1041; international
callers may dial direct (+1) 402-970-0847. The replay Access Code
is 1059321.
Access to live audio and a replay of the conference call will
also be available on Urban One's corporate website at
www.urban1.com. The replay will be made available on the website
for seven days after the call.
Urban One, Inc. (urban1.com), together with its
subsidiaries, is the largest diversified media company that
primarily targets Black Americans and urban consumers in
the United States. The Company
owns TV One, LLC (tvone.tv), a television network serving
more than 59 million households, offering a broad range of original
programming, classic series and movies designed to entertain,
inform and inspire a diverse audience of adult Black viewers. As of
March 31, 2021, we owned and/or
operated 63 independently formatted, revenue producing broadcast
stations (including 54 FM or AM stations, 7 HD stations, and the 2
low power television stations we operate) branded under the
tradename "Radio One" in 13 urban markets in the United States. Through its controlling
interest in Reach Media, Inc. (blackamericaweb.com), the
Company also operates syndicated programming including the
Rickey Smiley Morning Show, the
Russ Parr Morning Show and the DL
Hughley Show. In addition to its radio and television broadcast
assets, Urban One owns iOne Digital
(ionedigital.com), our wholly owned digital platform
serving the African-American community through social content,
news, information, and entertainment websites, including its
Cassius, Bossip, HipHopWired and MadameNoire digital platforms and
brands. We also have invested in a minority ownership interest in
MGM National Harbor, a gaming resort located in Prince George's County, Maryland. Through our
national multi-media operations, we provide advertisers with a
unique and powerful delivery mechanism to the African-American and
urban audiences.
Notes:
1
"Broadcast and digital operating income" consists of net (loss)
income before depreciation and amortization, corporate selling,
general and administrative expenses, stock-based compensation,
income taxes, noncontrolling interest in income (loss) of
subsidiaries, interest expense, impairment of long-lived assets,
other (income) expense, loss (gain) on retirement of debt, gain on
sale-leaseback and interest income. Broadcast and digital operating
income is not a measure of financial performance under generally
accepted accounting principles. Nevertheless, broadcast and digital
operating income is a significant measure used by our management to
evaluate the operating performance of our core operating segments
because broadcast and digital operating income provides helpful
information about our results of operations apart from expenses
associated with our fixed assets and long-lived intangible assets,
income taxes, investments, debt financings and retirements,
overhead, stock-based compensation, impairment charges, and asset
sales. Our measure of broadcast and digital operating income is
similar to industry use of station operating income; however, it
reflects our more diverse business and therefore is not completely
analogous to "station operating income" or other similarly titled
measures used by other companies. Broadcast and digital operating
income does not purport to represent operating income or cash flow
from operating activities, as those terms are defined under
generally accepted accounting principles, and should not be
considered as an alternative to those measurements as an indicator
of our performance. A reconciliation of net income (loss) to
broadcast and digital operating income has been provided in this
release.
2
"Adjusted EBITDA" consists of net income (loss) plus (1)
depreciation, amortization, income taxes, interest expense,
noncontrolling interest in (loss) income of subsidiaries,
impairment of long-lived assets, stock-based compensation, (gain)
loss on retirement of debt, gain on sale-leaseback, Employment
Agreement and incentive plan award expenses and other compensation,
contingent consideration from acquisition, severance-related costs,
cost investment income, less (2) other income and interest income.
Net income before interest income, interest expense, income taxes,
depreciation and amortization is commonly referred to in our
business as "EBITDA." Adjusted EBITDA and EBITDA are not measures
of financial performance under generally accepted accounting
principles. However, we believe Adjusted EBITDA is often a useful
measure of a company's operating performance and is a significant
measure used by our management to evaluate the operating
performance of our business because Adjusted EBITDA excludes
charges for depreciation, amortization and interest expense that
have resulted from our acquisitions and debt financing, our taxes,
impairment charges, and gain on retirements of debt. Accordingly,
we believe that Adjusted EBITDA provides useful information about
the operating performance of our business, apart from the expenses
associated with our fixed assets and long-lived intangible assets
or capital structure. EBITDA is frequently used as one of the
measures for comparing businesses in the broadcasting industry,
although our measure of Adjusted EBITDA may not be comparable to
similarly titled measures of other companies, including, but not
limited to the fact that our definition includes the results of all
four segments (radio broadcasting, Reach Media, digital and cable
television). Adjusted EBITDA and EBITDA do not purport to represent
operating income or cash flow from operating activities, as those
terms are defined under generally accepted accounting principles,
and should not be considered as alternatives to those measurements
as an indicator of our performance. A reconciliation of net income
(loss) to EBITDA and Adjusted EBITDA has been provided in this
release.
3
For the three months ended March 31,
2021 and 2020, Urban One had 48,463,289 and 45,228,164
shares of common stock outstanding on a weighted average basis
(basic), respectively.
4
For the three months ended March 31,
2021 and 2020, Urban One had 49,053,650 and 45,228,164
shares of common stock outstanding on a weighted average basis
(fully diluted for outstanding stock awards),
respectively.
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SOURCE Urban One, Inc.