MediaCo's Growth Strategy Delivers: Higher Revenues, Stronger Margins
Momentum Builds in 2025 as MediaCo Achieves Record First Half Revenues
MediaCo First Half Digital Revenue hits Milestone 33.0% of Total Revenue
NEW YORK--(BUSINESS WIRE)--August 11, 2025--
Financial Results
-- Net Revenue. Year-to-date Net Revenue was $59.3 million, up $26.4
million, or 80%, from the prior year, driven primarily by new Audio and
Video segment assets from the April 2024 Estrella Acquisition.
-- Net Loss. Year-to-date Net Loss was $17.4 million, an improvement of
$34.6 million from the prior year, primarily due to higher revenue and
lower corporate costs related to the April 2024 Estrella Acquisition.
These gains were partially offset by higher operating, depreciation, and
amortization expenses tied to the Estrella Acquisition, along with a
prior-year change in fair value of warrant shares liability. Net Loss
margin improved to (29)% from (158)% in the prior-year period.
-- Adjusted EBITDA. Year-to-date Adjusted EBITDA was $2.9 million, up $7.4
million from the prior year, driven by higher revenue and improved
operational management. Adjusted EBITDA margin improved to 5% from a
negative margin in the prior-year period. Adjusted EBITDA and Adjusted
EBITDA margin are non-GAAP measures. Please refer to the "Definitions and
Disclosures Regarding Non- GAAP Financial Information" section herein,
the reconciliations at the end of this press release and additional
information on our website.
2025 Second Quarter Financial Summary
Three Months Ended June 30, Change
---------------------------------- --------
(Dollars in thousands) 2025 2024 %
----------------------- ------- --- -------- --------
NET REVENUES $ 31,245 $ 26,202 19%
NET LOSS $ (8,800) $ (48,307) 82%
% Margin(1) (28)% (184)%
ADJUSTED EBITDA(2) $ 1,791 $ (5,222) 134%
% Margin(1)(2) 6% (20)%
------------------------ ------- -------- --------
2025 First Half Financial Summary
Six Months Ended June 30, Change
-------------------------------- --------
(Dollars in thousands) 2025 2024 %
----------------------- -------- --- -------- --------
NET REVENUES $ 59,275 $ 32,908 80%
NET LOSS $ (17,406) $ (51,984) 67%
% Margin(1) (29)% (158)%
ADJUSTED EBITDA(2) $ 2,918 $ (4,499) 165%
% Margin(1)(2) 5% (14)%
------------------------ -------- -------- --------
(1) Net Income margin is Net Income as a percentage of Net Revenue. Adjusted
EBITDA margin is Adjusted EBITDA as a percentage of Net Revenue.
(2) Adjusted EBITDA and Adjusted EBITDA margin are non-GAAP measures. Please
refer to the "Definitions and Disclosures Regarding Non-GAAP Financial
Information" section herein, the reconciliations at the end of this press
release and additional information on our website.
Albert Rodriguez, MediaCo CEO and President, commented, "We're proud to report a 19% year-over-year revenue increase this quarter, clear proof that our business is not only strong but gaining real momentum. Even more compelling is the 345% surge in first half digital revenue, which now accounts for 33.0% of our total ad income. This growth is fueled by our deep connection with multicultural audiences and the cultural relevance we deliver across every platform. It's a powerful validation of our strategy and indicates that MediaCo is leading the charge in today's digital-first economy.
This quarter delivered record revenue, with P18--49 growth in five of the last seven months. EstrellaTV was the only Spanish-language broadcast network to post year-over-year prime-time growth for the full quarter--proof of our consistent performance and enduring audience connection."
Debra DeFelice, CFO and Treasurer, commented, "MediaCo delivered a record second quarter, reflecting continued strength across our portfolio. Growth was driven by increases in radio and TV advertising revenue, record-breaking digital performance, and disciplined expense management. Our successful integration of Estrella Media assets from the most recent acquisition, combined with the progressive realization of synergies across markets and multiple delivery platforms, is fueling strong, sustainable results.
We remain focused on delivering strong operating performance, enhancing cash flow, and executing on our long-term growth strategy, while advancing our content offerings and accelerating digital expansion. These initiatives position us to capitalize on emerging opportunities in the second half of the year."
Company and Business Highlights
MediaCo Holding Inc. (Nasdaq: MDIA) is a diverse-owned, multi-platform media company serving multicultural audiences across the U.S. Through a network of iconic brands--including Hot 97, WBLS, EstrellaTV, Estrella News, Que Buena Los Angeles and the Don Cheto Radio Network--MediaCo reaches over 20 million people monthly via television, radio, digital, and streaming platforms. The company's innovative and culturally resonant content spans music, news, and entertainment across major local and national markets.
-- New Programming: EstrellaTV is poised for continued growth with new
sports, original, and acquired programming. The network secured
multi-year rights to all Tigres, Tigres Femenil, Juarez, and Juarez
Femenil Liga MX home games across all platforms. It also acquired
multiplatform rights to the live music reality show Objetivo Fama and
greenlit another season of Tengo Talento, Mucho Talento: Nueva Era for
fall.
-- Events: The 31st annual Summer Jam sold out the Prudential Center,
featuring A Boogie, Wit Da Hoodie, Gunna, GloRilla and more and is back
in June 2026, promising an even bigger show. In celebration of Cinco de
Mayo, MediaCo's Spanish-language radio stations hosted sold out music
festivals in Los Angeles, Houston and Dallas with over 40,000 in
attendance.
-- Digital & Streaming: MediaCo expects remarkable year-over-year digital
and streaming revenue growth, fueled by EstrellaTV's Spanish-language
brands and rising demand for CTV and FAST channels on major platforms.
FAST watch time and monetized CTV ad inventory grew significantly in Q2.
EstrellaTV and Estrella News were ranked as the top Latino-focused mixed
IP FAST channels in the most recent Amagi/Ampere report. In Q2, FAST
monthly watch time topped 310M minutes and monetized premium CTV ad
inventory rose 290% YoY. MediaCo expanded its FAST footprint and ad mix
with WAPA+ and Todos Novelas via Hemisphere Media. HOT 97's digital
platforms amplified Summer Jam with record engagement in social reach up
1,000% to 38M users and web/app visitors up nearly 80% YoY. Hot 97 TV, a
new FAST channel for Hip Hop and Afro culture, is set to launch this
summer and is an example of the many initiatives with Trace to expand
Afro-Urban content globally. HOT 97 and WBLS also launched
commercial-free stations on TuneIn's premium service for new revenue
opportunities.
-- Radio: In early 2025, MediaCo's radio division grew primetime A25-54
audiences 24% vs. the prior four months, outpacing the market's 18%
growth. Gains were led by KBUE/LA (+56%), KRQB/Riverside/San Bernardino
(+46%), Dallas stations (+38% combined), Houston (+19%), and New York
(+14% combined).
-- Broadcast TV: EstrellaTV posted year-over-year prime time growth in
five of the last seven months. Q2 P18-49 Mon--Sun prime averaged 15.3k
viewers, up 23% YoY, driven by new originals and news programming. On May
14, the semifinal Liga MX match (Tigres UANL vs. Toluca) delivered the
network's largest full coverage P18-49 audience ever (+157% vs. season
average). June marked the third straight monthly gain, with Mon--Fri
prime up 29% YoY.
-- Local TV: EstrellaTV Local saw strong year-over-year growth in the
combined April--May book averages. Three of the network's largest
owned-and-operated stations posted gains in weekday prime among P18-49:
KRCA/LA nearly doubled its audience (+96%), QFAA/Dallas grew +49%, and
KZJL/Houston surged +143%. WGEN/Miami also delivered impressive results,
up +198% in weekday prime among P25-54.
Forward-Looking Statements
This communication includes or incorporates 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 ("Exchange Act"). You can identify these forward-looking statements by our use of words such as "intend," "plan," "may," "will," "project," "estimate," "anticipate," "believe," "expect," "continue," "potential," "opportunity" and similar expressions, whether in the negative or affirmative. Such forward-looking statements, which speak only as of the date hereof, are based on managements' estimates, assumptions and beliefs regarding our future plans, intentions and expectations. We cannot guarantee that we will achieve these plans, intentions or expectations. All statements regarding our expected financial position, business, results of operations and financing plans are forward-looking statements.
Actual results or events could differ materially from the plans, intentions or expectations disclosed in the forward-looking statements we make. We have included important facts in various cautionary statements in this communication that we believe could cause our actual results to differ materially from forward-looking statements that we make. The forward-looking statements do not reflect the potential impact of any future acquisitions, mergers or dispositions. We undertake no obligation to update or revise any forward-looking statements because of new information, future events or otherwise. You should not place undue reliance on these forward-looking statements, which speak only as of the date of this release. For more details on factors that could affect these expectations, please see MediaCo's other filings with the Securities and Exchange Commission.
Definitions and Disclosures Regarding Non-GAAP Financial Information
We define Adjusted EBITDA as consolidated Operating loss adjusted to exclude restructuring expenses, business combination transaction costs, unusual and non-recurring expenditures and non-cash compensation included within operating expenses, as well as the following line items presented in our Statements of Operations: Depreciation and amortization, Loss on disposal of assets, change in fair value of warrant shares liability and Other income. Alternatively, Adjusted EBITDA is calculated as Net loss, adjusted to exclude Provision for income taxes, Interest expense, net, Depreciation and amortization, Loss on disposal of assets, Change in fair value of warrant shares liability, Other income, and Other adjustments. We use Adjusted EBITDA, among other measures, to evaluate the Company's operating performance. This measure is among the primary measures used by management for the planning and forecasting of future periods, as well as for measuring performance for compensation of executives and other members of management. We believe this measure is an important indicator of our operational strength and performance of our business because it provides a link between operational performance and operating income. It is also a primary measure used by management in evaluating companies as potential acquisition targets. We believe the presentation of this measure is relevant and useful for investors because it allows investors to view performance in a manner similar to the method used by management. We believe it helps improve investors' ability to understand our operating performance and makes it easier to compare our results with other companies that have different capital structures or tax rates. In addition, we believe this measure is also among the primary measures used externally by our investors, analysts and peers in our industry for purposes of valuation and comparing our operating performance to other companies in our industry. Since Adjusted EBITDA is not a measure calculated in accordance with GAAP, it should not be considered in isolation of, or as a substitute for, operating loss or net loss as an indicator of operating performance and may not be comparable to similarly titled measures employed by other companies. Adjusted EBITDA is not necessarily a measure of our ability to fund our cash needs. Because it excludes certain financial information compared with operating loss and compared with consolidated net loss, the most directly comparable GAAP financial measures, users of this financial information should consider the types of events and transactions which are excluded.
For a reconciliation of these non-GAAP financial measurements to the GAAP financial results cited in this news announcement, please see the supplemental tables at the end of this release.
About MediaCo Holding Inc.
MediaCo Holding Inc. (Nasdaq: MDIA) is a diverse-owned, multi-platform media company serving multicultural audiences across the U.S. Through a network of iconic brands--including Hot 97, WBLS, EstrellaTV, Estrella News, Que Buena Los Angeles and the Don Cheto Radio Network--MediaCo reaches over 20 million people monthly via television, radio, digital, and streaming platforms. The company's innovative and culturally resonant content spans music, news, and entertainment across major local and national markets. More info at www.mediacoholding.com.
MEDIACO HOLDING INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
-----------------------------------------------------------------
Three Months Ended
June 30, Change
------------------- ------------------
(Dollars in thousands) 2025 2024 $ %
------ ------- ------- ---------
NET REVENUES $31,245 $ 26,202 5,043 19
OPERATING EXPENSES:
Operating expenses 34,774 34,647 127 --
Corporate expenses 1,554 3,445 (1,891) (55)
Depreciation and
amortization 1,697 1,431 266 19
Loss on disposal of
assets 5 5 -- N/A
------ -------
Total operating
expenses 38,030 39,528 (1,498) (4)
------ -------
OPERATING LOSS (6,785) (13,326) 6,541 (49)
====== =======
OTHER INCOME (EXPENSE):
Interest expense, net (3,855) (3,782) (73) 2
Change in fair value
of warrant shares
liability -- (31,027) 31,027 N/A
Other income 2,119 10 2,109 21,090
------ -------
Total other expense (1,736) (34,799) 33,063 (95)
------ -------
LOSS BEFORE INCOME TAXES (8,521) (48,125) 39,604 (82)
PROVISION FOR INCOME
TAXES 279 182 97 53
------ -------
NET LOSS $(8,800) $(48,307) 39,507 (82)
====== =======
MEDIACO HOLDING INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
-----------------------------------------------------------------
Six Months Ended
June 30, Change
-------------------- ------------------
(Dollars in thousands) 2025 2024 $ %
------- ------- ------- ---------
NET REVENUES $ 59,275 $ 32,908 26,367 80
OPERATING EXPENSES:
Operating expenses 63,986 41,297 22,689 55
Corporate expenses 3,147 6,835 (3,688) (54)
Depreciation and
amortization 3,466 1,564 1,902 122
Loss on disposal of
assets 144 5 139 2,780
------- -------
Total operating
expenses 70,743 49,701 21,042 42
------- -------
OPERATING LOSS (11,468) (16,793) 5,325 (32)
======= =======
OTHER INCOME (EXPENSE):
Interest expense, net (7,609) (3,918) (3,691) 94
Change in fair value
of warrant shares
liability -- (31,027) 31,027 N/A
Other income 2,230 20 2,210 11,050
------- -------
Total other expense (5,379) (34,925) 29,546 (85)
------- -------
LOSS BEFORE INCOME
TAXES (16,847) (51,718) 34,871 (67)
PROVISION FOR INCOME
TAXES 559 266 293 110
------- -------
NET LOSS $(17,406) $(51,984) 34,578 (67)
======= =======
MEDIACO HOLDING INC.
NON-GAAP FINANCIAL MEASURES
RECONCILIATIONS OF NET LOSS TO EBITDA AND ADJUSTED EBITDA (1) AND NET LOSS MARGIN TO ADJUSTED EBITDA MARGIN(1)
Three Months Ended June
30, Six Months Ended June 30,
------------------------- --------------------------
(Dollars in thousands) 2025 2024 2025 2024
------ ------- ------- -------
Net revenues $31,245 $ 26,202 $ 59,275 $ 32,908
Net Loss $(8,521) $(48,125) $(17,406) $(51,984)
% Margin (28)% (184)% (29)% (158)%
Provision for income taxes 279 182 559 266
Interest expense, net 3,855 3,782 7,609 3,918
Depreciation and
amortization 1,697 1,431 3,466 1,564
------ ------- ------- -------
EBITDA $(2,690) $(42,730) $ (5,772) $(46,236)
Loss on disposal of assets 5 5 144 5
Change in fair value of
warrant shares liability -- 31,027 -- 31,027
Other income (2,119) (10) (2,230) (20)
Other adjustments 6,595 6,486 10,776 10,725
------ ------- ------- -------
Adjusted EBITDA(1) $ 1,791 $ (5,222) $ 2,918 $ (4,499)
====== ======= ======= =======
% Margin (1) 6% (20)% 5% (14)%
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