Cumulus Media (CMLS) Q2 2025 earnings summary

Executive summary

• Net revenue for Q2 2025 was $186.0 million, down 9.2% year-over-year, with a net loss of $12.8 million, improved from a $27.7 million loss in Q2 2024.

• Digital marketing services revenue grew 38% year-over-year, now comprising about 50% of total digital revenue.

• Adjusted EBITDA for Q2 2025 was $22.4 million, down 11.3% from Q2 2024.

• Achieved $5 million in annualized cost reductions in the quarter, totaling $175 million since 2019.

• The company transitioned its Class A common stock to the OTCQB market after being suspended from Nasdaq in May 2025.

Financial highlights

• Six-month net revenue was $373.4 million, down 7.8% year-over-year; net loss was $45.2 million.

• Broadcast radio revenue for Q2 2025 declined 13% year-over-year; digital revenue decreased 1.4%, but would have increased 20% excluding discontinued partnerships.

• Content costs dropped 19.3% year-over-year, driven by reduced revenue share, personnel, and broadcast rights expenses.

• Corporate expenses fell 55.4% year-over-year, primarily from lower debt exchange costs and personnel expenses.

• Operating income for Q2 2025 was $3.7 million, up from a loss of $9.6 million in Q2 2024.

Outlook and guidance

• Q3 revenue is pacing down low double digits, with continued weakness in all broadcast streams, partially offset by DMS strength.

• Management does not expect near-term relief from market headwinds but is confident in long-term positioning through execution and asset utilization.

• DMS business expected to surpass $100 million run rate early next year, with increasing contribution margins.

• Management believes current cash reserves and credit facility access will support liquidity needs for at least the next twelve months.

• The company continues to monitor capital structure and may seek additional capital through asset divestitures or new debt/equity issuance as needed.