The effects of the coronavirus pandemic continue to affect broadcasters’ bottom lines, as Cumulus Media reports at 30.1 percent drop in Q3 net revenue compared to a year ago. Net revenue in the third quarter of 2020 was $196.4 million, with a net loss of $15.8 million. However, revenue grew back each month, with September revenue up 35 percent over June, and a record $5.8 million in political ad revenue.
Mary G. Berner, Cumulus Media President/CEO, said, “In the third quarter, the company continued to focus on maximizing revenue performance, executing meaningful expense reductions, protecting cash through efficient working capital management and strengthening our balance sheet. Despite the extraordinary challenges of operating through a pandemic, we have reduced debt by $269 million and increased cash by $316 million since emerging from bankruptcy in 2018 (a net debt reduction of more than $585 million or 46%.) We believe that these actions, along with record-setting political revenues, will allow us to navigate through and emerge from the COVID-19 crisis with considerable ability to support our growth initiatives and capitalize on strategic and operating opportunities in 2021 and beyond.”
