Beasley Broadcast Group Third Quarter Net Revenue Rises

Digital Revenue Increased 23.1% Year-over-Year

NAPLES, Fla., Nov. 07, 2022 (GLOBE NEWSWIRE) —  Beasley Broadcast Group, Inc. (Nasdaq: BBGI) (“Beasley” or the “Company”), a multi-platform media firm, at this time introduced working outcomes for the three- and nine-month intervals ended September 30, 2022.

Summary of Third Quarter and Year-to-Date Results

¹Operating loss and internet loss per diluted share replicate a $10.5 million non-cash impairment loss within the 9 months ended September 30, 2022. Net loss per diluted share replicate a $5.0 million loss on extinguishment of long-term debt within the 9 months ended September 30, 2021.

Net income in the course of the three months ended September 30, 2022 elevated 1.5% to $63.8 million, primarily reflecting a year-over-year improve in digital income, political and different income, partially offset by a slight lower in audio income associated to softness within the nationwide company business.

Beasley reported working revenue of $4.7 million within the third quarter of 2022 in comparison with $4.9 million within the third quarter of 2021, this slight lower was pushed by a $1.2 million improve in company bills associated to investments in our digital business in addition to severance expense, partially offset by a year-over-year improve in Station Operating Income (SOI, a non-GAAP monetary measure).

Third quarter 2022 curiosity expense decreased 5.7% to $6.6 million in comparison with curiosity expense of $7.0 million within the prior 12 months interval, because of Beasley’s repurchase of its senior secured notes over the previous two quarters.

Beasley reported internet revenue of $0.5 million, or $0.02 per diluted share, within the three months ended September 30, 2022, in comparison with a internet lack of $1.6 million, or $0.06 per diluted share, within the three months ended September 30, 2021.

SOI elevated by 5.1% to $12.3 million within the third quarter of 2022, up from $11.7 million within the third quarter of 2021. The improve is primarily attributable to increased internet income, which greater than offset increased working bills.

Please seek advice from the “Calculation of SOI” and “Reconciliation of Net Income (Loss) Attributable to BBGI Stockholders to SOI” tables on the finish of this announcement for a dialogue concerning SOI calculations.

Commenting on the monetary outcomes, Caroline Beasley, Chief Executive Officer, mentioned, “Beasley delivered another strong period of operating and financial performance, reflecting the ongoing success of our digital transformation and revenue diversification strategies. Top-line growth was the primary factor contributing to a 5.1% year-over-year increase in SOI to $12.3 million and was driven by continued strength in local audio advertising and impressive growth in our digital business.

“Regarding the economic environment, like many companies, we are managing through some challenging market conditions with a focus on what we can control. We continue to experience increased volatility in national spot advertising, which accounted for approximately 15% of our third quarter net revenues. The ongoing strength of our digital and local audio advertising revenues is helping us to partially offset these declines. We are also taking actions on the expense side, and have implemented approximately $10.0 million in expense reductions, of which roughly half were from a reduction to headcount.

“Digital remains a key component of our revenue diversification strategy. Digital revenue increased 23.1% year-over-year representing 16.0% of total third quarter revenues, while our digital margin improved. Our digital performance benefitted from a first full quarter contribution from the white label digital agency we acquired in late June, which we believe will continue to accelerate our digital revenue growth and provide meaningful synergies with our growing digital platform. In both the second and third quarters, digital revenue accounted for a larger share of our revenue than national advertising, and we expect this revenue source to continue offsetting national spot weakness in the coming quarters.

“Total outstanding debt as of September 30, 2022 was $290.0 million. During the quarter, we repurchased $5.0 million aggregate principal amount of our senior secured notes for an aggregate price equal to 77% of the principal amount and recorded an aggregate gain of $1.0 million as a result of the repurchases. Beasley had $32.8 million of cash and cash equivalents on hand at quarter end. We intend to keep our cash on the balance sheet in order to maintain our strong liquidity position, given the uncertain economic environment.

“In summary, we believe these results demonstrate the strength and relevance of our industry-leading audio and digital content, as well as our teams’ extraordinary efforts to serve our listeners, customers and communities through challenging circumstances. And while we cannot control how the economic situation evolves in the coming months, we have already taken decisive steps to mitigate the impact of near-term headwinds and drive continued progress against our long-term growth strategy. Looking ahead, we will continue to focus on maximizing our growth opportunities, managing our expenses and capital structure, serving our audiences and advertisers and delivering results for our stockholders.”

Conference Call and Webcast Information

The Company will host a convention name and webcast at this time, November 7, 2022, at 10:00 a.m. ET to debate its monetary outcomes and operations. To entry the convention name, events might dial 773-305-6853, convention ID 9182446 (home and worldwide callers). Participants may take heed to a stay webcast of the decision on the Company’s web site at www.bbgi.com. Please permit quarter-hour to register and obtain and set up any needed software program. Following its completion, a replay of the webcast may be accessed for 5 days on the Company’s web site, www.bbgi.com.

Questions from analysts, institutional traders and debt holders could also be e-mailed to [email protected] at any time up till 9:00 a.m. ET on Monday, November 7, 2022. Management will reply as many questions as potential in the course of the convention name and webcast (offered the questions will not be addressed of their ready remarks).

About Beasley Broadcast Group
Celebrating its 61st anniversary this 12 months, Beasley Broadcast Group, Inc., (www.bbgi.com) was based in 1961 by George G. Beasley. Beasley Broadcast Group owns and operates 61 AM and FM stations in 14 large- and mid-size markets within the United States. Beasley radio stations attain roughly 20 million distinctive shoppers weekly over-the-air, on-line and on smartphones and tablets, and tens of millions recurrently interact with the Company’s manufacturers and personalities by means of digital platforms equivalent to Facebook, Twitter, textual content, apps and e-mail. For extra info, please go to www.bbgi.com.

For additional info, or to obtain future Beasley Broadcast Group information bulletins through e-mail, please contact Beasley Broadcast Group, at 239-263-5000 or [email protected], or Joseph Jaffoni, JCIR, at 212-835-8500 or [email protected].

Definitions
Station Operating Income (SOI) consists of internet income much less station working bills. We outline station working bills as price of companies and promoting, normal and administrative bills.

SOI is a measure extensively used within the radio broadcast trade. The Company acknowledges that as a result of SOI is just not calculated in accordance with GAAP, it’s not essentially corresponding to equally titled measures employed by different corporations. However, administration believes that SOI supplies significant info to traders as a result of it is a vital measure of how successfully we function our business (i.e., function radio stations) and assists traders in evaluating our working efficiency with that of different radio corporations.

Note Regarding Forward-Looking Statements
Statements on this launch which might be “forward-looking statements” are based mostly upon present expectations and assumptions, and contain sure dangers and uncertainties inside the that means of the U.S. Private Securities Litigation Reform Act of 1995. Words or expressions equivalent to “looking ahead,” “intends,” “believes,” “expects,” “seek,” “will,” “should,” or variations of such phrases and related expressions are supposed to establish such forward-looking statements. Forward-looking statements by their nature handle issues which might be, to completely different levels, unsure. Key dangers are described within the Company’s stories filed with the Securities and Exchange Commission (“SEC”) together with its annual report on Form 10-Ok and quarterly stories on Form 10-Q. Readers ought to be aware that forward-looking statements are topic to alter and to inherent dangers and uncertainties and could also be impacted by a number of elements, together with:

• the results of the COVID-19 pandemic, together with its potential results on the financial setting and our outcomes of operations, liquidity and monetary situation, and the elevated threat of impairments of our FCC licenses and/or goodwill;
• exterior financial forces that would have a cloth antagonistic impression on our promoting revenues and outcomes of operations;
• the power of our radio stations to compete successfully of their respective markets for promoting revenues;
• our skill to develop compelling and differentiated digital content material, services and products;
• viewers acceptance of our content material, significantly our radio packages;
• our skill to answer adjustments in expertise, requirements and companies that have an effect on the radio trade;
• our dependence on federally issued licenses topic to intensive federal regulation;
• actions by the FCC or new laws affecting the radio trade;
• will increase to royalties we pay to copyright homeowners or the adoption of laws requiring royalties to be paid to report labels and recording artists;
• our dependence on chosen market clusters of radio stations for a cloth portion of our internet income;
• credit score threat on our accounts receivable;
• the chance that our FCC licenses and/or goodwill may turn into impaired;
• our substantial debt ranges and the potential impact of restrictive debt covenants on our operational flexibility and talent to pay dividends;
• the potential results of hurricanes on our company places of work and radio stations;
• the failure or destruction of the web, satellite tv for pc techniques and transmitter services that we rely upon to distribute our programming;
• disruptions or safety breaches of our info expertise infrastructure;
• the lack of key personnel;
• our skill to combine acquired companies and obtain totally the strategic and monetary goals associated thereto and their impression on our monetary situation and outcomes of operations;
• the truth that our Company is managed by the Beasley household, which creates difficulties for any try to realize management of our Company; and
• different financial, business, aggressive, and regulatory elements affecting our business, together with these set forth in our filings with the SEC.

Our precise efficiency and outcomes may differ materially due to these elements and different elements mentioned in our SEC filings, together with however not restricted to our annual stories on Form 10-Ok or quarterly stories on Form 10-Q, copies of which may be obtained from the SEC, www.sec.gov, or our web site, www.bbgi.com. All info on this launch is as of November 7, 2022, and we undertake no obligation to replace the knowledge contained herein to precise outcomes or adjustments to our expectations.

-tables follow-

BEASLEY BROADCAST GROUP, INC.
Consolidated Statements of Operations (Unaudited)

Selected Balance Sheet Data – Unaudited
(in 1000’s)

Selected Statement of Cash Flows Data – Unaudited

Calculation of SOI – Unaudited

Reconciliation of Net Income (Loss) Attributable to BBGI Stockholders to SOI – Unaudited