WASHINGTON, May 9, 2019 /PRNewswire/ -- Urban One, Inc.
(NASDAQ: UONEK and UONE) today reported its results for the quarter
ended March 31, 2019. Net
revenue was approximately $98.4
million, a decrease of 1.2% from the same period in 2018.
Broadcast and digital operating income1 was
approximately $34.5 million, an
increase of 6.1% from the same period in 2018. The Company reported
operating income of approximately $16.1
million for the three months ended March 31, 2019, compared to approximately
$7.3 million for the same period in
2018. Net loss was approximately $6.7
million or $0.15 per share
(basic) compared to net loss of approximately $22.6 million or $0.48 per share (basic) for the same period in
2018. Adjusted EBITDA2 was approximately $29.0 million for the three months ended
March 31, 2019, compared to
approximately $28.5 million for the
same period in 2018.
Alfred C. Liggins, III, Urban
One's CEO and President stated, "While our Radio division finished
the quarter a little softer than expected, the Q2 pacings show a
strong rebound, with April up mid-teens and Q2 overall pacing up
high single-digits. TV One advertising revenues performed nicely,
with ratings remaining relatively stable, and subscriber churn was
largely offset by contractual rate increases. Our digital segment
was impacted by the timing of a tent-pole event, which caused some
revenue to spill over into Q2, however the reorganization of
expenses that occurred at the end of 2018 meant that the division
delivered a much improved EBITDA performance. Our investment in MGM
National Harbor continues to perform well, with first quarter net
gaming revenues up by 5.6% year over year. We remain focused on
deleveraging, and during the first quarter we reduced indebtedness
by $21.8 million."
RESULTS OF
OPERATIONS
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
March 31,
|
|
|
2019
|
|
2018
|
STATEMENT OF
OPERATIONS
|
(unaudited)
|
|
|
(in thousands, except
share data)
|
|
|
|
|
|
|
NET
REVENUE
|
$
98,449
|
|
$
99,621
|
|
OPERATING
EXPENSES
|
|
|
|
|
Programming and
technical, excluding stock-based compensation
|
30,930
|
|
32,147
|
|
Selling, general and
administrative, excluding stock-based compensation
|
33,028
|
|
34,977
|
|
Corporate selling,
general and administrative, excluding stock-based
compensation
|
9,589
|
|
8,962
|
|
Stock-based
compensation
|
511
|
|
1,376
|
|
Depreciation and
amortization
|
8,274
|
|
8,288
|
|
Impairment of
long-lived assets
|
-
|
|
6,556
|
|
Total operating
expenses
|
82,332
|
|
92,306
|
|
Operating income
|
16,117
|
|
7,315
|
|
INTEREST
INCOME
|
23
|
|
144
|
|
INTEREST
EXPENSE
|
22,151
|
|
19,281
|
|
GAIN ON RETIREMENT OF
DEBT
|
-
|
|
(239)
|
|
OTHER INCOME,
net
|
(1,721)
|
|
(1,901)
|
|
Loss before provision
for income taxes and noncontrolling
interest in income of subsidiaries
|
(4,290)
|
|
(9,682)
|
|
PROVISION FOR INCOME
TAXES
|
2,248
|
|
12,840
|
|
CONSOLIDATED NET
LOSS
|
(6,538)
|
|
(22,522)
|
|
NET INCOME
ATTRIBUTABLE TO NONCONTROLLING INTERESTS
|
125
|
|
33
|
|
CONSOLIDATED NET LOSS
ATTRIBUTABLE TO COMMON
STOCKHOLDERS
|
$
(6,663)
|
|
$
(22,555)
|
|
|
|
|
|
|
AMOUNTS ATTRIBUTABLE
TO COMMON STOCKHOLDERS
|
|
|
|
|
CONSOLIDATED NET LOSS
ATTRIBUTABLE TO COMMON
STOCKHOLDERS
|
$
(6,663)
|
|
$
(22,555)
|
|
|
|
|
|
|
Weighted average
shares outstanding - basic3
|
45,001,767
|
|
46,757,386
|
|
Weighted average
shares outstanding - diluted4
|
45,001,767
|
|
46,757,386
|
|
|
|
|
|
Three Months Ended
March 31,
|
|
2019
|
|
2018
|
PER SHARE DATA -
basic and diluted:
|
(unaudited)
|
|
(unaudited)
|
|
(in thousands, except
per share data)
|
|
|
|
|
Consolidated net loss attributable to common stockholders
(basic)
|
$
(0.15)
|
|
$
(0.48)
|
|
|
|
|
Consolidated net loss attributable to common stockholders
(diluted)
|
$
(0.15)
|
|
$
(0.48)
|
|
|
|
|
SELECTED OTHER
DATA
|
|
|
|
Broadcast and digital
operating income 1
|
$
34,491
|
|
$
32,497
|
Broadcast and digital
operating income margin (% of net revenue)
|
35.0%
|
|
32.6%
|
|
|
|
|
Broadcast and
digital operating income reconciliation:
|
|
|
|
|
|
|
|
Consolidated net loss attributable to common
stockholders
|
$
(6,663)
|
|
$
(22,555)
|
Add back non-broadcast and digital operating income items included
in consolidated net
loss:
|
|
|
|
Interest
income
|
(23)
|
|
(144)
|
Interest
expense
|
22,151
|
|
19,281
|
Provision for income
taxes
|
2,248
|
|
12,840
|
Corporate selling,
general and administrative expenses
|
9,589
|
|
8,962
|
Stock-based
compensation
|
511
|
|
1,376
|
Gain on retirement of
debt
|
-
|
|
(239)
|
Other income,
net
|
(1,721)
|
|
(1,901)
|
Depreciation and
amortization
|
8,274
|
|
8,288
|
Noncontrolling
interest in income of subsidiaries
|
125
|
|
33
|
Impairment of
long-lived assets
|
-
|
|
6,556
|
Broadcast and digital
operating income
|
$
34,491
|
|
$
32,497
|
|
|
|
|
Adjusted
EBITDA2
|
$
29,037
|
|
$
28,489
|
|
|
|
|
Adjusted EBITDA
reconciliation:
|
|
|
|
|
|
|
|
Consolidated net loss attributable to
common stockholders:
|
$
(6,663)
|
|
$
(22,555)
|
Interest
income
|
(23)
|
|
(144)
|
Interest
expense
|
22,151
|
|
19,281
|
Provision for income
taxes
|
2,248
|
|
12,840
|
Depreciation and
amortization
|
8,274
|
|
8,288
|
EBITDA
|
$
25,987
|
|
$
17,710
|
Stock-based
compensation
|
511
|
|
1,376
|
Gain on retirement of
debt
|
-
|
|
(239)
|
Other income,
net
|
(1,721)
|
|
(1,901)
|
Noncontrolling
interest in income of subsidiaries
|
125
|
|
33
|
Employment Agreement
Award, incentive plan award expenses and other
compensation
|
1,909
|
|
1,588
|
Contingent
consideration from acquisition
|
77
|
|
1,530
|
Severance-related
costs
|
420
|
|
198
|
Cost method
investment income from MGM National Harbor
|
1,729
|
|
1,638
|
Impairment of
long-lived assets
|
-
|
|
6,556
|
Adjusted
EBITDA
|
$
29,037
|
|
$
28,489
|
|
March 31,
2019
|
|
December 31,
2018
|
(unaudited)
|
|
|
|
|
(in
thousands)
|
SELECTED BALANCE
SHEET DATA:
|
|
|
Cash and cash
equivalents and restricted cash
|
$
6,445
|
|
$
15,890
|
|
Intangible assets,
net
|
909,840
|
|
916,824
|
|
Total
assets
|
1,265,217
|
|
1,237,409
|
|
Total debt (including
current portion, net of original issue discount and issuance
costs)
|
891,572
|
|
912,463
|
|
Total
liabilities
|
1,077,319
|
|
1,048,477
|
|
Total stockholders'
equity
|
177,497
|
|
178,700
|
|
Redeemable
noncontrolling interest
|
10,401
|
|
10,232
|
|
|
|
|
|
|
|
March 31,
2019
|
|
Applicable
Interest
Rate
|
|
(in
thousands)
|
|
|
SELECTED LEVERAGE
DATA:
|
|
|
2017 Credit Facility,
net of original issue discount and issuance costs of
approximately
$6.8 million (subject to variable rates) (a)
|
$
316,677
|
|
6.50%
|
|
7.375% senior secured
notes due April 2022, net of original issue discount and
issuance
costs of approximately $3.3 million (fixed rate)
|
346,896
|
|
7.375%
|
|
2018 Credit Facility,
net of original issue discount and issuance costs of
approximately
$4.7 million (fixed rate)
|
176,976
|
|
12.875%
|
|
MGM National Harbor
Loan, net of original issue discount and issuance costs of
approximately $2.7 million (fixed rate)
|
48,023
|
|
11.00%
|
|
Asset-backed credit
facility (subject to variable rates) (a)
|
3,000
|
|
6.00%
|
|
(a)
Subject to variable Libor or Prime plus a spread that is
incorporated into the applicable interest rate set forth
above.
|
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, 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.
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,
|
|
|
|
|
|
|
|
|
|
2019
|
|
2018
|
|
$
Change
|
|
|
%
Change
|
|
|
(Unaudited)
|
|
|
|
|
|
|
|
|
(in
thousands)
|
|
|
|
|
|
|
Net
Revenue:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Radio
Advertising
|
|
$
|
42,439
|
|
$
|
44,622
|
|
$
|
(2,183)
|
|
|
-4.9%
|
|
Political
Advertising
|
|
|
123
|
|
|
200
|
|
|
(77)
|
|
|
-38.5%
|
|
Digital
Advertising
|
|
|
7,437
|
|
|
8,146
|
|
|
(709)
|
|
|
-8.7%
|
|
Cable Television
Advertising
|
|
|
20,193
|
|
|
18,936
|
|
|
1,257
|
|
|
6.6%
|
|
Cable Television
Affiliate Fees
|
|
|
27,475
|
|
|
27,250
|
|
|
225
|
|
|
0.8%
|
|
Event Revenues &
Other
|
|
|
782
|
|
|
467
|
|
|
315
|
|
|
67.5%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Revenue (as
reported)
|
|
$
|
98,449
|
|
$
|
99,621
|
|
$
|
(1,172)
|
|
|
-1.2%
|
|
Net revenue decreased to approximately $98.4 million for the quarter ended March 31, 2019, from approximately $99.6 million for the same period in 2018. Net
revenues from our radio broadcasting segment decreased 7.0%
compared to the same period in 2018. We experienced net revenue
declines most significantly in our Baltimore, Charlotte, Cincinnati, Detroit, Houston, Indianapolis, Philadelphia and Richmond markets, with our Atlanta and Washington DC markets experiencing growth for
the quarter. We recognized approximately $47.8 million of revenue from our cable
television segment during the three months ended March 31, 2019, compared to approximately
$46.2 million for the same period in
2018, with an increase primarily in advertising sales. Net revenue
from our Reach Media segment increased 7.0% for the quarter ended
March 31, 2019, compared to the same
period in 2018 due to better inventory utilization. Finally, net
revenues for our digital segment decreased $709,000 for the three months ended March 31, 2019, compared to the same period in
2018, primarily due to a decrease in direct revenues and timing of
events.
Operating expenses, excluding depreciation and amortization,
stock-based compensation and impairment of long-lived assets,
decreased to approximately $73.5
million for the quarter ended March
31, 2019, down 3.3% from the approximately $76.1 million incurred for the comparable quarter
in 2018. The overall operating expense decrease was driven
primarily by lower programming and technical expenses as well as
lower selling, general and administrative expenses, which were
partially offset by an increase in corporate selling, general and
administrative expenses.
Depreciation and amortization expense decreased 0.2% for the
quarter ended March 31, 2019,
primarily due to the mix of assets approaching or near the end of
their useful lives.
Interest expense increased to approximately $22.2 million for the quarter ended March 31, 2019, compared to approximately
$19.3 million for the same period in
2018. During the quarter ended March 31,
2019, upon adoption of ASC 842, the Company recorded
interest expense of approximately $1.3
million on its operating leases. The Company made cash
interest payments of approximately $13.2
million on its outstanding debt for the quarter ended
March 31, 2019, compared to cash
interest payments of approximately $18.4
million on its outstanding debt for the quarter ended
March 31, 2018. On December 20, 2018, the Company closed on a new
$192.0 million unsecured credit
facility (the "2018 Credit Facility") and a new $50.0 million loan secured by its interest in the
MGM National Harbor Casino (the "MGM National Harbor Loan"). On
January 17, 2019, the Company
announced that it had given the required notice under the indenture
governing its 2020 Notes to redeem for cash all the outstanding
aggregate principal amount of its Notes to the extent outstanding
on February 15, 2019 (the "Redemption
Date"). The redemption price for the Notes was 100.0% of the
principal amount of the Notes, plus accrued and unpaid interest to
the Redemption Date. In addition, on February 15, 2019, upon redemption of the
remaining 2020 Notes, the Comcast Note was paid in full and
retired. As of March 31, 2019, the
Company had approximately $3.0
million in borrowings outstanding on its ABL Facility.
The gain on retirement of debt of $239,000 for the quarter ended March 31, 2018, was due to the redemption of
approximately $11 million of our 2020
Notes at a discount.
The impairment of long-lived assets for the three months ended
March 31, 2018, was related to a
non-cash impairment charge of approximately $2.7 million recorded to reduce the carrying
value of our Charlotte goodwill
balance and a charge of approximately $3.8
million associated with our Detroit market radio broadcasting
licenses.
During the three months ended March 31,
2019, the provision for income taxes decreased to
approximately $2.2 million compared
to a provision for income taxes of approximately $12.8 million for the three months ended
March 31, 2018. The decrease in the
provision for income taxes was primarily due to discrete tax
provision adjustments to state net operating losses estimated at
December 31, 2018, for which the
Company expects to recognize in future periods. For the three
months ended March 31, 2019, the
income tax provision consisted of deferred tax expense of
approximately $2.2 million. For the
three months ended March 31, 2018,
the income tax provision consisted of deferred tax expense of
approximately $12.8 million and
current provision benefit of $17,000.
The tax provision resulted in an effective tax rate of (52.4)% and
(132.6)% for the three months ended March
31, 2019 and 2018, respectively. The Company paid
$91,000 and $748,000 in taxes for the quarters ended
March 31, 2019 and 2018,
respectively.
Other income, net, was approximately $1.7
million and $1.9 million for
the quarters ended March 31, 2019 and
2018, respectively. For the three months ended March 31, 2019 and 2018, the Company recognized
approximately $1.7 million and
$1.6 million, respectively, of cost
method investment income from its 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, 2019, compared to the same period in
2018.
Other pertinent financial information includes capital
expenditures of $707,000 and
$914,000 for the quarters ended
March 31, 2019 and 2018,
respectively.
During the three months ended March 31,
2019, the Company repurchased 22,380 shares of Class A
common stock in the amount of $50,000
and repurchased 369,000 shares of Class D common stock in the
amount of $755,000. During the three
months ended March 31, 2018, the
Company did not repurchase any Class A common stock and repurchased
1,000,455 shares of Class D common stock in the amount of
approximately $1.9 million.
The Company, in connection with its 2009 stock 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, 2019, the Company executed a Stock Vest
Tax Repurchase of 852,000 shares of Class D Common Stock in the
amount of approximately $1.6 million.
During the three months ended March 31,
2018, the Company executed a Stock Vest Tax Repurchase of
567,791 shares of Class D Common Stock in the amount of
approximately $1.0 million.
Supplemental Financial Information:
For comparative purposes, the following more detailed, unaudited
statements of operations for the three months ended March 31, 2019 and 2018 are included.
|
|
|
|
|
Three Months Ended
March 31, 2019
|
|
|
|
|
|
(in thousands,
unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Radio
|
|
Reach
|
|
|
|
Cable
|
|
Corporate/
|
|
|
|
|
|
Consolidated
|
Broadcasting
|
Media
|
|
Digital
|
Television
|
Eliminations
|
|
|
|
|
|
|
STATEMENT OF
OPERATIONS:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NET
REVENUE
|
$
|
98,449
|
$
|
36,749
|
$
|
6,973
|
$
|
7,437
|
$
|
47,823
|
$
|
(533)
|
|
OPERATING
EXPENSES:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Programming and
technical
|
|
30,930
|
|
9,696
|
|
4,064
|
|
2,897
|
|
14,749
|
|
(476)
|
|
Selling, general and
administrative
|
|
33,028
|
|
17,096
|
|
1,539
|
|
4,631
|
|
9,813
|
|
(51)
|
|
Corporate selling,
general and administrative
|
|
9,589
|
|
-
|
|
735
|
|
1
|
|
1,408
|
|
7,445
|
|
Stock-based
compensation
|
|
511
|
|
95
|
|
14
|
|
16
|
|
6
|
|
380
|
|
Depreciation and
amortization
|
|
8,274
|
|
869
|
|
59
|
|
461
|
|
6,575
|
|
310
|
|
Total operating
expenses
|
|
82,332
|
|
27,756
|
|
6,411
|
|
8,006
|
|
32,551
|
|
7,608
|
|
Operating income (loss)
|
|
16,117
|
|
8,993
|
|
562
|
|
(569)
|
|
15,272
|
|
(8,141)
|
|
INTEREST
INCOME
|
|
23
|
|
-
|
|
-
|
|
-
|
|
-
|
|
23
|
|
INTEREST
EXPENSE
|
|
22,151
|
|
1,194
|
|
77
|
|
71
|
|
2,117
|
|
18,692
|
|
OTHER INCOME,
net
|
|
(1,721)
|
|
2
|
|
-
|
|
-
|
|
-
|
|
(1,723)
|
|
(Loss) income before
provision for (benefit from) income taxes and
noncontrolling interest in income of subsidiaries
|
|
(4,290)
|
|
7,797
|
|
485
|
|
(640)
|
|
13,155
|
|
(25,087)
|
|
PROVISION FOR
(BENEFIT FROM) INCOME TAXES
|
|
2,248
|
|
1,993
|
|
113
|
|
2
|
|
3,298
|
|
(3,158)
|
|
CONSOLIDATED NET
(LOSS) INCOME
|
|
(6,538)
|
|
5,804
|
|
372
|
|
(642)
|
|
9,857
|
|
(21,929)
|
|
NET INCOME
ATTRIBUTABLE TO NONCONTROLLING INTERESTS
|
|
125
|
|
-
|
|
-
|
|
-
|
|
-
|
|
125
|
|
NET (LOSS) INCOME
ATTRIBUTABLE TO COMMON STOCKHOLDERS
|
$
|
(6,663)
|
$
|
5,804
|
$
|
372
|
$
|
(642)
|
$
|
9,857
|
$
|
(22,054)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted
EBITDA2
|
$
|
29,037
|
$
|
10,124
|
$
|
653
|
$
|
170
|
$
|
21,868
|
$
|
(3,778)
|
|
|
|
|
|
Three Months Ended
March 31, 2018
|
|
|
|
|
|
(in thousands,
unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Radio
|
|
Reach
|
|
|
|
Cable
|
|
Corporate/
|
|
|
|
|
|
Consolidated
|
Broadcasting
|
Media
|
|
Digital
|
Television
|
Eliminations
|
|
|
|
|
|
|
STATEMENT OF
OPERATIONS:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NET
REVENUE
|
$
|
99,621
|
$
|
39,513
|
$
|
6,520
|
$
|
8,146
|
$
|
46,186
|
$
|
(744)
|
|
OPERATING
EXPENSES:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Programming and
technical
|
|
32,147
|
|
9,643
|
|
4,286
|
|
3,479
|
|
14,811
|
|
(72)
|
|
Selling, general and
administrative
|
|
34,977
|
|
17,420
|
|
1,440
|
|
6,906
|
|
9,883
|
|
(672)
|
|
Corporate selling,
general and administrative
|
|
8,962
|
|
-
|
|
757
|
|
1
|
|
1,969
|
|
6,235
|
|
Stock-based
compensation
|
|
1,376
|
|
178
|
|
18
|
|
59
|
|
3
|
|
1,118
|
|
Depreciation and
amortization
|
|
8,288
|
|
870
|
|
63
|
|
476
|
|
6,557
|
|
322
|
|
Impairment of
long-lived assets
|
|
6,556
|
|
6,556
|
|
-
|
|
-
|
|
-
|
|
-
|
|
Total operating
expenses
|
|
92,306
|
|
34,667
|
|
6,564
|
|
10,921
|
|
33,223
|
|
6,931
|
|
Operating income (loss)
|
|
7,315
|
|
4,846
|
|
(44)
|
|
(2,775)
|
|
12,963
|
|
(7,675)
|
|
INTEREST
INCOME
|
|
144
|
|
-
|
|
-
|
|
-
|
|
-
|
|
144
|
|
INTEREST
EXPENSE
|
|
19,281
|
|
338
|
|
-
|
|
-
|
|
1,919
|
|
17,024
|
|
GAIN ON RETIREMENT OF
DEBT
|
|
(239)
|
|
-
|
|
-
|
|
-
|
|
-
|
|
(239)
|
|
OTHER INCOME,
net
|
|
(1,901)
|
|
(219)
|
|
-
|
|
-
|
|
-
|
|
(1,682)
|
|
(Loss) income before
provision for (benefit from) income taxes and
noncontrolling interest in income of subsidiaries
|
|
(9,682)
|
|
4,727
|
|
(44)
|
|
(2,775)
|
|
11,044
|
|
(22,634)
|
|
PROVISION FOR
(BENEFIT FROM) INCOME TAXES
|
|
12,840
|
|
1,116
|
|
50
|
|
(509)
|
|
2,705
|
|
9,478
|
|
CONSOLIDATED NET
(LOSS) INCOME
|
|
(22,522)
|
|
3,611
|
|
(94)
|
|
(2,266)
|
|
8,339
|
|
(32,112)
|
|
NET INCOME
ATTRIBUTABLE TO NONCONTROLLING INTERESTS
|
|
33
|
|
-
|
|
-
|
|
-
|
|
-
|
|
33
|
|
NET (LOSS) INCOME
ATTRIBUTABLE TO COMMON STOCKHOLDERS
|
$
|
(22,555)
|
$
|
3,611
|
$
|
(94)
|
$
|
(2,266)
|
$
|
8,339
|
$
|
(32,145)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted
EBITDA2
|
$
|
28,489
|
$
|
12,605
|
$
|
37
|
$
|
(696)
|
$
|
19,920
|
$
|
(3,377)
|
Urban One, Inc. will hold a conference call to discuss its
results for the first fiscal quarter of 2019. The conference call
is scheduled for Thursday, May 09,
2019 at 10:00 a.m. EDT. To
participate on this call, U.S. callers may dial toll-free
1-800-230-1092; international callers may dial direct (+1)
612-288-0340.
A replay of the conference call will be available from
12:00 p.m. EDT May 09, 2019 until 11:59
a.m. EDT May 11, 2019. Callers
may access the replay by calling 1-800-475-6701; international
callers may dial direct (+1) 320-365-3844. The replay Access Code
is 466683.
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
one of the nation's largest radio broadcasting companies, Urban
One currently owns and/or operates 60 broadcast stations
(including all HD stations, translator stations and the low power
television station we operate) branded under the tradename "Radio
One" in 15 urban markets in the United
States. Through its controlling interest in Reach Media,
Inc. (blackamericaweb.com), the Company also operates
syndicated programming including the Tom Joyner Morning
Show, 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 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,
2019 and 2018, Urban One had 45,001,767 and 46,757,386
shares of common stock outstanding on a weighted average basis
(basic), respectively.
4
For the three months ended March 31,
2019 and 2018, Urban One had 45,001,767 and 46,757,386
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.