iHeartMedia delivered second-quarter revenue of $934 million, edging up 0.5% year-over-year, as continued strength in digital audio helped offset softness in broadcast spot sales. Excluding political, revenue rose 1.5%. Adjusted EBITDA increased 3.9% to $156 million, coming in at the high end of guidance.
The Digital Audio Group remained the company’s fastest-growing segment, generating $324 million in revenue, a 13% gain from the prior year. Podcasts drove much of that growth, with revenue climbing 28% to $134 million, while other digital revenue rose 5% to $190 million. Segment Adjusted EBITDA rose 17% to $108 million, producing a 33.2% margin.
The Multiplatform Group, which includes broadcast radio and networks, posted a 5% revenue decline to $545 million, with lower spot sales partially offset by a 1% lift in network revenue. Segment Adjusted EBITDA fell 8% to $96 million, with a 17.7% margin.
Audio & Media Services revenue slipped 3% to $68 million, primarily as a result of lower political revenues at Katz Media, as 2024 was a presidential election year, partially offset by an increase in digital advertising.
“Our second quarter performance was solid and slightly ahead of our initial expectations, with our Q2 adjusted EBITDA of $156 million at the upper end of our previously provided guidance range and 4% above prior year and our consolidated revenue for the quarter was above our guidance range, up 0.5% above prior year,” Chairman/CEO Bob Pittman said in a release. “We continue to make progress on our ad tech platform, specifically building the capabilities to allow our broadcast radio inventory to be bought and sold like digital advertising, and to be a part of the key integrated buying systems. And today, we announced that Lisa Coffey is joining the company in the newly-created role of Chief Business Officer to drive those efforts. Lisa has a long history in ad tech, and digital and mobile advertising, including leading the team that introduced Amazon Advertising to the U.S. Agency Marketplace.”
President/COO/CFO Rich Bressler highlighted ongoing cost efficiencies, noting that iHeart is “on track to deliver $150 million in net savings in 2025” through its modernization initiatives. “We remain focused on managing our expenses and capitalizing on growth opportunities in digital audio,” Bressler remarked.
Looking ahead, iHeart expects third-quarter consolidated revenue to decline in the low single digits year-over-year, but to grow by that same range excluding political. Adjusted EBITDA is projected between $180 million and $220 million.
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