Entercom Reports Revenue Increased Slightly

Entercom Communications Corp. Thursday reported financial results for the quarter ended June 30, 2015.

Second Quarter Highlights

• Net revenues for the quarter increased slightly to $100.6 million
• Station expenses increased 2% to $69.6 million
• Station operating income decreased 4% to $31.0 million
• Adjusted EBITDA decreased 5% to $25.6 million
• Adjusted net income per share decreased 9% to $0.21
• Free cash flow was $14.2 million

David J. Field, President and Chief Executive Officer, stated: “This has been an active and highly productive time for Entercom on a number of fronts. We are highly enthusiastic about our new acquisitions which offer significant upside potential and we are also excited about a number of other emerging, proprietary opportunities for growth and value creation. Second quarter revenues were up fractionally led by 4% growth in our local revenues as we gained significant share in a fairly lackluster ad market. Looking ahead, pacings have accelerated since May and we are increasingly optimistic about core business trends for the second half of 2015.”

David Fields

In July, the Company closed its acquisition of Lincoln Financial Media (“LFM”). Upon closing of the LFM transaction, Entercom commenced operations of KSWD-FM (The Sound) Los Angeles under a time brokerage agreement with Bonneville International Corporation. At the same time, Bonneville commenced operations of Entercom’s Denver stations KOSI-FM, KYGO-FM, KKFN-FM and KEPN-AM under a TBA with Entercom.

As a result of the closing of the LFM acquisition and the commencement of the KSWD-FM TBA, Entercom expanded its footprint to four new top 20 markets, Atlanta, Miami, Los Angeles and San Diego, and added 14 stations to its portfolio. The Company now operates in every major market on the West Coast and enters Los Angeles, the #1 market for radio revenue. Entercom’s new Los Angeles station The Sound is one of the market's leading stations among adults and men.

Closing of the Bonneville-Entercom station exchange is subject to FCC approval and other customary closing conditions. Entercom expects this transaction to close by the fourth quarter of this year.