Townsquare Media, Inc. · NYSE:TSQ
Townsquare Media — Q1 2020 Earnings Presentation
18 slides from Townsquare Media's earnings presentation, Jun 15, 2020
Slide 1: Investor Presentation June 2020
Investor Presentation June 2020
Slide 2: Forward-Looking Statements and Non-GAAP Financial Measures
FORWARD-LOOKING STATEMENTS AND NON-GAAP FINANCIAL MEASURES This presentation contains, and our other communications may contain, forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended.
Slide 3: Introduction to Townsquare (NYSE: TSQ)
INTRODUCTION TO TOWNSQUARE (NYSE: TSQ) We are the leading multi-platform branded media, digital marketing, and live events company focused primarily on small to mid-sized markets in America Owns and operates market-leading branded media platforms: Diversified multi-channel growth strategy broadcast
Slide 4: Comprehensive Marketing & Advertising Solutions for Local Businesses
COMPREHENSIVE MARKETING & ADVERTISING SOLUTIONS FOR LOCAL BUSINESSES ORGANIC & INORGANIC INITIATIVES Ample value creation opportunities DATASQRD TOWNSQUARE ANALYTICS New solutions leveraging core TOWNSQUARE IGNITE relationships TOWNSQUARE INTERACTIVE LIVE EVENTS: ON-SITE ACTIVATION O&O DIGITAL SOLUT
Slide 5: Small and Mid-Sized Market Strategy
SMALL AND MID-SIZED MARKET STRATEGY Townsquare operates in 67 small and mid-sized markets across the US, with virtually no presence in the top 50 markets Average Townsquare market population ~300K (50K – 1M) Advertisers Seek Middle America Consumers
Slide 6: June 15, 2020 Earnings Call Highlights
JUNE 15, 2020 EARNINGS CALL HIGHLIGHTS ✓2020 started off on a strong note, with pro forma net revenue increasing +6% and +7% in January and February, respectively, but beginning in March, business materially declined related to the COVID-19 pandemic ✓Q1 2020 net revenue was approximately flat (-0.3%
Slide 7: June 15, 2020 Earnings Call Highlights (Cont'd)
JUNE 15, 2020 EARNINGS CALL HIGHLIGHTS (CONT’D) ✓The Company has taken a number of actions in order to solidify its liquidity position, and ended Q1 with $136 million of cash ✓On March 17th, Townsquare borrowed $50 million under its Revolving Credit Facility, and subsequently repaid this amount on J
Slide 8: Q1 Segment Financial Results
Q1 SEGMENT FINANCIAL RESULTS Actual Pro Forma $ in millions Q1 2019 Q1 2020 Growth % Q1 2019 Q1 2020 Growth % Advertising net revenue $74.3 $74.5 0.3% $74.3 $74.5 0.3% Advertising net revenue ex. $74.0 $73.2 -1.1% $74.0 $73.2 -1.1% political Advertising Adj. Operating Income $19.3 $16.8 -12.8% $19.3
Slide 9: Balance Sheet, Liquidity & Ownership
Balance Sheet, Liquidity & Ownership Capital Allocation Priorities Ownership (as of 6/12/20) # of ▪ Due to the economic uncertainty related to the COVID-19 (shares in millions) Votes Primary Holders pandemic, we plan to preserve our cash balance to enhance our financial flexibility Class A Common St
Slide 10: Business Overview
townsquare Business Overview
Slide 11: The Power of Our Brands and Talent
THE POWER OF OUR BRANDS AND TALENT Key Stats Townsquare owns and operates market leading media platforms: broadcast radio, digital, video, social and streaming 321 radio stations 330+ local, community websites Original content and influential local media personalities drive deep, multi-platform audi
Slide 12: Townsquare Ignite
TOWNSQUARE IGNITE (PROGRAMMATIC DIGITAL ADVERTISING) Townsquare Ignite is an effective and efficient advertising solution that enhances our local market presence, brands and trusted relationships with sophisticated precision in-house audience targeting solutions Townsquare Ignite is our proprietary
Slide 13: Townsquare Interactive
TOWNSQUARE INTERACTIVE (TSI) (DIGITAL MARKETING SOLUTIONS) TSI is a leading provider of digital marketing solutions to SMBs interactive TSI provides a wide array of digital services for a recurring monthly subscription fee, including: Key Stats (1) ~$71M annual run-rate net revenue (2) Website desig
Slide 14: Leading Research Firm Borrell Associates Singles Out Townsquare as Top Digital Performer
LEADING RESEARCH FIRM, BORRELL ASSOCIATES, SINGLES OUT TOWNSQUARE AS TOP DIGITAL PERFORMER Borrell points to Townsquare as a top digital performer among all local media companies. He bases that on what he calls “addressable” digital ad dollars, meaning those that are readily available to in-market m
Slide 15: Leading Research Firm Borrell Associates Singles Out Townsquare as Top Digital Performer
LEADING RESEARCH FIRM, BORRELL ASSOCIATES, SINGLES OUT TOWNSQUARE AS TOP DIGITAL PERFORMER Percentage of Ad Revenue from Digital Sales for U.S. & Canadian Local Media Companies, 2018 Company % from Digital Advertising Company % from Digital Advertising Hibu U.S (yellow Pages) 74.7% Tribune (newspape
Slide 16: Live Events
LIVE EVENTS ▪ As a result of the COVID-19 pandemic, we have postponed or cancelled a large number of our live events in 2020, which has significantly impacted on our Live Events revenue ▪ Largely variable expense base helps offset the negative revenue impact ▪ Live events are a natural extension of
Slide 17: Small and Mid-Sized Market Strategy Is a Competitive Advantage
SMALL AND MID-SIZED MARKET STRATEGY IS A COMPETITIVE ADVANTAGE Townsquare operates in 67 small and mid-sized markets across the US, with virtually no presence in the top 50 markets More attractive competitive landscape Limited focus from larger media players Starved for high quality media and entert
Slide 18: Townsquare
townsquare