iHeartMedia, Inc. · NASDAQ:IHRT
iHeartMedia — Q1 2020 Earnings Presentation
16 slides from iHeartMedia's earnings presentation, May 7, 2020
Slide 1: First Quarter 2020
First Quarter 2020 May 7, 2020
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: Executive Summary
Executive Summary ▪ Strong financial performance in January and February was followed by a sharp decline in revenue in March resulting from the effects of the COVID-19 pandemic ▪ Given the uncertain business outlook, IHRT withdrew its full-year guidance in March and in April announced that it had ta
Slide 4: IHRT is Positioned to be Resilient Through a Downturn
IHRT is Positioned to be Resilient Through a Downturn ▪ In April, IHRT announced that it has taken action in response to the currently weak economic environment resulting from COVID-19 ▪ In addition to the in-year expected savings of approximately $50 million related to the modernization initiatives
Slide 5: Strong Listening Trends Across All Platforms
Strong Listening Trends Across All Platforms ▪ The COVID-19 pandemic has further proven radio’s critical importance in providing companionship ▪ While some listening has shifted due to changing work environments, overall the consumer is turning to radio for connection and companionship during these
Slide 6: IHRT Has Stayed Close and Connected to Consumers
IHRT Has Stayed Close and Connected to Consumers ▪ In a normalized environment, IHRT is able to effectively monetize its unparalleled reach, trust and engagement across multiple platforms with advertisers ▪ In this period of dislocation, our goal is to remain close to the consumer to insure that we
Slide 7: Q1 '20 Financial Results
Q1 '20 Financial Results: $US Dollars in millions Successor Company Predecessor Company Three Months Ended Three Months Ended March 31, March 31, 2020 2019 Variance Revenue $ 780.6 $ 795.8 (1.9)% Direct operating expenses 301.6 282.9 6.6% SG&A expenses 344.1 324.9 5.9% Corporate expenses 39.9 39.1 2
Slide 8: iHeartMedia Revenue Streams
iHeartMedia Revenue Streams: Predecessor $US Dollars in millions Successor Company Company Three Months Ended Three Months Ended March 31, March 31, 2020 2019 Variance Revenue Broadcast Radio 461.7 487.2 (5.2)% Digital 92.8 75.9 22.2% Networks 134.6 138.2 (2.6)% Sponsorship and Events 29.3 39.7 (26.
Slide 9: Political Revenue Impact by Segment
Political Revenue Impact by Segment: Predecessor $US Dollars in millions Successor Company Company Three Months Ended Three Months Ended March 31, March 31, 2020 2019 Variance Revenue Political Revenue Impact: Audio Segment $ 18.2 $ 2.6 $ 15.6 Audio & Media Svs Segment 7.6 0.5 7.1 Total $ 25.8 $ 3.1
Slide 10: Capital Expenditures
Capital Expenditures $USD in millions Key Drivers: iHeartMedia, Inc. • IT infrastructure and back office Three Months Ended March 31, automation 2020 2019 Variance • Leasehold improvements Audio $ 18.6 $ 20.1 $ (1.5) Audio & Media Services 0.7 0.7 — 2020 Full-Year CapEx Guidance Corp 2.4 2.2 0.2 • $
Slide 11: Debt
Debt Successor Company $USD in millions Maturity 3/31/2020 12/31/2019 Cash and cash equivalents $ 646.8 $ 400.3 Term Loan Facility due 2026(1) 2026 $ 2,096.0 $ 2,251.3 Asset-based Revolving Credit Facility(2) 2023 350.0 — 6.375% Senior Secured Notes 2026 800.0 800.0 5.25% Senior Secured Notes 2027 7
Slide 12: Appendix
Appendix @ iHeartMEDIA
Slide 13: Q1 2020 Reconciliation of Net Loss to EBITDA and Adjusted EBITDA
Q1 2020 Reconciliation of Net Loss to EBITDA and Adjusted EBITDA $US Dollars in millions Successor Company Predecessor Company Three Months Ended Three Months Ended March 31, March 31, 2020 2019 Net loss $ (1,688,736) $ (135,601) Loss from discontinued operations, net of tax — 169,554 Income tax ben
Slide 14: Q1 2020 Reconciliation of Free Cash Flow to Operating Cash
Q1 2020 Reconciliation of Free Cash Flow from Continuing Operations to Cash Provided by Operating Activities from Continuing Operations (In thousands) Successor Company Predecessor Company Three Months Ended Three Months Ended March 31, March 31, 2020 2019 Cash provided by operating activities from
Slide 15: Q1 2020 Reconciliation of Revenues excluding Political Revenue
Q1 2020 Reconciliation of Revenues excluding Effects of Political Revenue to Revenues (In thousands) Successor Company Predecessor Company Three Months Ended Three Months Ended March 31, March 31, 2020 2019 Consolidated revenue $ 780,634 $ 795,797 Excluding: Political revenue (25,805) (3,081) Consol
Slide 16: About iHeartMedia, Inc.
About iHeartMedia, Inc. iHeartMedia, Inc. (NASDAQ: IHRT) is the number one audio company in America based on consumer reach. The company's leadership position in audio extends across multiple platforms, including more than 850 live broadcast stations; its iHeartRadio service available across more th