Cumulus Media has reported its fiscal results for the second quarter of 2020, and like their fellow broadcasters, unfortunately saw a major drop in revenue due to the coronavirus pandemic. Revenue in Q2 was down 47.8 percent to $146 million, compared to $279.7 million a year ago. Cumulus saw a net loss of $36.3 million in the quarter.
Cumulus also announced it is selling its portfolio of broadcast towers for more than $210 million. The Atlanta Business Chronicle reports the buyer is Vertical Bridge REIT LLC and its affiliate VB Nimbus LLC.
Mary G. Berner, President/CEO of Cumulus Media, said, “Despite the COVID-19 pandemic’s material impact on revenue, the company generated over $90 million of cash in the quarter through quick and decisive expense actions, strong working capital management and the completion of the sale of land in Bethesda, MD. Ending the quarter with nearly $200 million of cash, we have also entered into an agreement to monetize our tower portfolio for more than $210 million, proceeds which will further add to our liquidity and contribute to significant incremental debt paydown. Our demonstrated ability to rise to a challenge, strong liquidity position and resilient balance sheet are critical assets as we operate through this uncertain environment, and we believe we remain very well-positioned to drive long-term shareholder value through continued aggressive debt reduction and the execution of our growth initiatives.”
