iHeartMedia, Inc. Reports Results for 2020 First Quarter

About this update from Iheartmedia, Inc.

[{"type":"text","content":" SAN ANTONIO, Texas--(BUSINESS WIRE)--\niHeartMedia, Inc. (Nasdaq: IHRT) today reported financial results for the quarter ended March 31, 2020.\n\n\nFinancial Highlights\n\n\n\nStrong financial performance in January and February was followed by a sharp decline in revenue in March resulting from the effects of the coronavirus (\"COVID-19\") pandemic.\n\n\nContinued audience and revenue growth in podcasting and digital\n\n\nStrong liquidity position and resilient capital structure:\n\n\nCash balance of $646.8 million as of March 31, 2020\n\n\nOver 90% of long-term debt maturing in 2026 or later\n\n\nFavorable debt terms: no maintenance covenants for Term Loan Facility or Senior Secured Notes\n\n\nAnalyzed three COVID-19 scenarios: (i) recovery beginning in Q3; (ii) recovering beginning in Q4 and (iii) prolonged recession in 2021; under all scenarios we project that we will have sufficient liquidity\n\n\n\n\nTotal direct operating expense savings in 2020 are expected to be approximately $250 million\n\n\nModernization initiatives continue: anticipating $100 million in run-rate savings by 2021 with approximately $50 million run-rate achieved in 2020\n\n\nNew cost-saving actions: anticipating an additional $200 million in operating expense savings achieved in 2020\n\n\n\n\nNew capital expenditure actions: reducing capital expenditures by expected $80 million in 2020\n\n\nCARES Act free cash flow benefit: estimating approximately $100 million reduction in tax-related cash payments in 2020\n\n\n\nFirst Quarter\n\n\n\nRevenue of $780.6 million, down 1.9% year-over-year driven by effects of the COVID-19 pandemic; excluding political revenue1, revenue decreased 4.8%\n\n\nDigital revenue increased 22.2% year-over-year led by an 80% increase in podcasting revenue\n\n\n\n\nGAAP Operating loss of $1,730.8 million, driven primarily by non-cash impairment charges\n\n\nImpairment charges reduce intangible asset and goodwill book values established in May 2019 upon required application of fresh start accounting where the macroenvironment was significantly different than today\n\n\nImpairment charges reflect assumptions regarding potential future adverse effects caused by the COVID-19 pandemic\n\n\n\n\nAdjusted EBITDA1 of $140.3 million, down 10.6% year-over-year\n\n\nCash flows provided by operating activities from continuing operations of $91.5...

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