Clear Channel Outdoor (CCO) Q2 2024 earnings summary

Executive summary

• Q2 2024 consolidated revenue reached $559 million, up 5.2% year-over-year, led by strong growth in Airports and Europe-North segments and modest gains in America, driven by digital and programmatic initiatives.

• Adjusted EBITDA was $143 million, essentially flat year-over-year, while AFFO declined 12.2% to $25 million.

• Net loss attributable to the company was $39.2 million for Q2 2024, compared to $37.3 million in Q2 2023.

• Ongoing strategic focus on asset sales in Europe-North and Latin America to strengthen cash position and reduce leverage.

• Digital billboard platform now reaches over 70% of U.S. adults monthly in served markets, supporting revenue growth and advertiser demand.

Financial highlights

• Q2 2024 consolidated revenue: $559 million (+5.2% year-over-year; +5.4% ex-FX); digital revenue up 9.5% to $258.4 million, now 46.3% of total revenue.

• Loss from continuing operations: $48 million, higher due to LATAM impairment charges; net loss per share: $(0.08) for Q2 2024.

• Adjusted EBITDA: $143 million (flat year-over-year); AFFO: $25 million, down 12.2% year-over-year.

• CapEx: $23 million in Q2, down from $30 million prior year; $22.8 million in Q2, down 24.9% year-over-year.

• Direct operating and SG&A expenses increased 7.0% to $381.6 million (excluding FX).

Outlook and guidance

• Q3 2024 consolidated revenue guidance: $542–$567 million (+3% to +8% year-over-year).

• Full-year 2024 consolidated revenue guidance: $2.215–$2.275 billion (+4% to +7% year-over-year); Adjusted EBITDA: $560–$590 million; AFFO: $90–$110 million.

• CapEx expected at $130–$150 million for 2024, focused on U.S. digital investments.

• Cash interest payments projected at $435 million in 2024 and $422 million in 2025.

• Management expects sufficient liquidity for at least the next 12 months, with long-term needs dependent on business growth and strategic transactions.