Iheartmedia, Inc. · NASDAQ:IHRT
Iheartmedia — Q1 2015 Earnings Presentation
25 slides from Iheartmedia's earnings presentation, Apr 30, 2015
Slide 1: 2015 First Quarter Results
2015 First Quarter Results April 30, 2015
Slide 2: Safe Harbor Statement
Safe Harbor Statement Forward Looking Language Certain statements in this presentation constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve known and unknown risks, uncertainties and other factors
Slide 3: iHeartMedia platform and reach overview
Social Traffic & Weather 75+ million Facebook likes 99.6% of commuter coverage & Twitter followers Mobile National & Local 575+ million app Personalities downloads & upgrades 98 syndicated properties Personality & Local National Spot & Station Sites Network Radio Approx. 87 million 5,900+ affiliate
Slide 4: Q1 2015 Key Financial Highlights
Q1 2015 Key Financial Highlights (Excluding Impact of FX) • Revenue: $1.4 billion (+4% year over year) • +4% at iHM • +7% at International outdoor • +3% at Americas outdoor • Expenses: $1.0 billion (+3% year over year) • OIBDAN: $280 million (+7.5% year over year) • +9% at iHM • +19% at Internationa
Slide 5: Key Non-Financial Highlights: iHeartMedia
Key Non-Financial Highlights: iHeartMedia Key Initiatives • Announced the launch of a programmatic and automated ad buying solution for our broadcast radio stations, enabling our sales groups to more deeply partner with advertisers • Added iHeartRadio in BMW and MINI vehicles, providing easy access
Slide 6: Key Non-Financial Highlights: Outdoor
Key Non-Financial Highlights: Outdoor Key Announcements • Named Bob Pittman CEO of Clear Channel Outdoor Holdings, Inc. in addition to his continued responsibility as Chairman • Named Scott Wells Chief Executive Officer of Americas Outdoor, overseeing U.S., Canada and Latin America • Named William E
Slide 7: iHeartMedia: Financial Results
iHeartMedia: Financial Results Three Months Ended March 31, 2015 2014 VAR Revenue $698 $670 4.1% Operating Expenses $475 $465 2.1% OIBDAN $223 $205 8.6% • Revenue: - Revenue +4% - Key Drivers: Traffic and weather and syndication businesses, as well as events - Top Advertiser Categories: Auto, Food &
Slide 8: Americas Outdoor: Financial Results
Americas Outdoor: Financial Results Three Months Ended March 31, Reported Excluding FX 2015 2014 VAR 2015 2014 VAR Revenue $296 $291 1.8% $300 $291 3.1% Operating Expenses $202 $200 1.1% $205 $200 2.6% OIBDAN $94 $91 3.4% $95 $91 4.0% • Revenue: - Revenue +3% - Key Drivers: Digital billboards, as we
Slide 9: International Outdoor: Financial Results
International Outdoor: Financial Results Three Months Ended March 31, Reported Excluding FX 2015 2014 VAR 2015 2014 VAR Revenue $319 $345 (7.4%) $369 $345 7.1% Operating Expenses $288 $315 (8.4%) $334 $315 6.0% OIBDAN $31 $30 3.5% $36 $30 19.2% • Revenue: - Revenue +7% - Key Drivers: Growth in Europ
Slide 10: Items Impacting Comparability at iHeartMedia, Inc.
Items Impacting Comparability at iHeartMedia, Inc. Segment Reporting Expenses CCOH: Latin America operations Strategic Revenue and Efficiency Initiatives included within Americas Outdoor ~$10 million of costs incurred in connection with improving our Other: iHM reorganized a portion of its businesse
Slide 11: Capital Expenditures
Capital Expenditures iHeartMedia, Inc. Key Drivers: Quarter Ended • Americas Outdoor: Digital March 31, 2015 2014 % $ billboards Outdoor • International Outdoor: Americas $17 $16 2% $0.3 billboard and street International $25 $21 20% $4.2 Total Outdoor $42 $37 12% $4.5 furniture advertising iHeartMe
Slide 12: Debt
Debt Maturity 3/31/15 12/31/14 $ Change iHeartCommunications, Inc. • Total Debt: $20.5 billion Term Loan B 2016 - $916 (916) Term Loan C 2016 - $15 (15) Term Loan D 2019 $5,000 $5,000 - • Cash interest Term Loan E 2019 $1,300 $1,300 - Receivables Based Facility 2017 $120 - 120 Priority Guarantee Not
Slide 13: Balance Sheet Information and Debt Ratios
Balance Sheet Information and Debt Ratios March 31, December 31, Change Recent Transactions 2015 2014 iHeartCommunications, Inc. • Issued $950 million of Cash & Equivalents $289 $457 10.625% Priority Guarantee Total Debt $20,486 $20,326 Notes due 2023, and used Secured Leverage Ratio 6.4x 6.3x the p
Slide 14: Appendix
Appendix @ iHeartMEDIA
Slide 15: iHeartMedia, Inc. Reconciliation of OIBDAN to Operating Income (Loss)
iHeartMedia, Inc. Reconciliation of OIBDAN to Operating Income (Loss) Non-cash Depreciation Other operating Operating compensation and income (loss), Other (In thousands) income (loss) expenses amortization net Adjustments OIBDAN Three Months Ended March 31, 2015 iHeartMedia $ 161,881 - $ 60,742 - $
Slide 16: Clear Channel Outdoor Holdings, Inc. Reconciliation of OIBDAN to Operating Income (Loss)
Clear Channel Outdoor Holdings, Inc. Reconciliation of OIBDAN to Operating Income (Loss) Non-cash Depreciation Other operating Operating compensation and income (loss), (In thousands) income (loss) expenses amortization net OIBDAN Three Months Ended March 31, 2015 Americas Outdoor $ 43,652 - $ 50,34
Slide 17: iHeartMedia, Inc. Reconciliation of OIBDAN to Net Income (Loss)
iHeartMedia, Inc. Reconciliation of OIBDAN to Net Income (Loss) (In thousands) Three Months Ended March 31, 2015 2014 OIBDAN $ 275,990 $ 260,555 Non-cash compensation expense 2,524 3,036 Depreciation and amortization 170,453 174,871 Amortization of Deferred System Implentation Costs 897 - Other oper
Slide 18: Clear Channel Outdoor Holdings, Inc. Reconciliation of OIBDAN to Net Income (Loss)
Clear Channel Outdoor Holdings, Inc. Reconciliation of OIBDAN to Net Income (Loss) (In thousands) Three Months Ended March 31, 2015 2014 OIBDAN $ 98,114 $ 92,102 Non-cash compensation expense 1,925 2,010 Depreciation and amortization 94,094 98,742 Other operating income (expense), net (5,444) 2,654
Slide 19: iHeartMedia, Inc. Reconciliation excluding Effects of Foreign Exchange Rates
iHeartMedia, Inc. Reconciliation excluding Effects of Foreign Exchange Rates Three Months Ended March 31, Variance 2015 2014 % $ Revenue: Consolidated Revenue $ 1,344,564 $ 1,342,548 0.2% $ 2,016 Excluding: Foreign exchange Impact 53,752 - Revenue excluding effects of foreign exchange $ 1,398,316 $
Slide 20: Clear Channel Outdoor Holdings, Inc. Reconciliation excluding Effects of Foreign Exchange Rates
Clear Channel Outdoor Holdings, Inc. Reconciliation excluding Effects of Foreign Exchange Rates Three Months Ended March 31, Variance 2015 2014 % $ Revenue: Consolidated Revenue $ 615,043 $ 635,251 -3.2% $(20,208) Excluding: Foreign exchange Impact 53,752 - Revenue excluding effects of foreign excha
Slide 21: iHeartMedia, Inc. Reconciliation of Revenues excluding Effects of Political Revenue
iHeartMedia, Inc. Reconciliation of Revenues excluding Effects of Political Revenue to Revenues Three Months Ended March 31, Variance 2015 2014 % Consolidated revenue $ 1,344,564 $ 1,342,548 0.2% Excluding: Political revenue (3,820) (6,597) Consolidated revenue excluding effects of political revenue
Slide 22: Reconciliation of Corporate Expenses excluding Non-Cash Compensation Expenses
Reconciliation of Corporate Expenses excluding Non-Cash Compensation Expenses IHEARTMEDIA, INC. (In thousands) Three Months Ended March 31, 2015 2014 Corporate Expense $ 77,288 $ 72,705 Less: Non-cash compensation expense (2,524) (3,036) Less: Amortization of deferred system implementation costs (75
Slide 23: Reconciliation of Consolidated EBITDA to Operating Income and Net Cash (iHeartMedia)
Reconciliation of Consolidated EBITDA to Operating Income and Net Cash provided by Operating Activities IHEARTMEDIA, INC. (In millions) Four Quarters Ended March 31, 2015 Consolidated EBITDA (as defined by iHeartMedia, Inc.'s senior secured credit facilities) $ 1,947 Less adjustments to consolidated
Slide 24: Reconciliation of Consolidated EBITDA to Operating Income and Net Cash (Clear Channel Outdoor)
Reconciliation of Consolidated EBITDA to Operating Income and Net Cash provided by Operating Activities Clear Channel Outdoor Holdings, Inc. (In millions) Four Quarters Ended March 31, 2015 Consolidated EBITDA (as defined by the CCWH Senior Notes indentures) $ 767 Less adjustments to consolidated EB
Slide 25: About iHeartMedia, Inc. and Clear Channel Outdoor Holdings, Inc.
About iHeartMedia, Inc. About Clear Channel Outdoor Holdings, Inc. iHeartMedia, Inc. (OTCBB: IHRT), the parent company of Clear Channel Outdoor Holdings, Inc. (NYSE: CCO) is iHeartMedia Capital I, LLC and iHeartCommunications, one of the world’s largest outdoor advertising companies Inc., is one of