iHeartMedia reported a notable uptick in its podcasting revenue for the fourth quarter, reaching $139.6 million. The figure reflects a year-over-year increase of approximately 6 percent, driven by heightened advertiser interest. However, the company also faced rising operating expenses, largely attributed to escalating content costs and profit-sharing agreements tied to its podcasting ventures.
The media giant posted total revenue of $1.118 billion for the quarter, marking a solid 4.8 percent rise compared to the same period in the previous year.
During the earnings discussion, Chief Financial Officer Rich Bressler highlighted a significant milestone: iHeart’s net debt stood at $4.52 billion, which he proudly described as “the lowest net debt position in the history of our company,” signaling improved financial health amid its ongoing transformation.
A key topic on the earnings call was the growing buzz around video podcasts—a format that rivals like Spotify are heavily investing in and that YouTube boasts attracts 1 billion users.
Bank of America analyst Jessica Reif Ehrlich pressed iHeart CEO Bob Pittman on the company’s strategy in this space, especially as some consumers shift their attention toward visual media. Pittman offered a measured perspective: “There’s a lot of talk about video podcasting. Clearly, YouTube would love everything to be video podcasting,” he said.
“But when you look at the research, only about 10 percent of podcast users prefer video. Some are open to it, but the overwhelming majority actually want audio. They choose podcasts because it fits their lives—they’re cooking, driving, exercising, or doing other things where listening works, but watching doesn’t.”
Pittman emphasized the unique appeal of podcasts, noting, “It’s conversational, personal, not a polished TV-style production. Unlike TV, which leans on storytelling and heavy production, podcasting is host-driven. Casual is what people crave.” This distinction underscores iHeart’s focus on audio-first content, even as it navigates an industry increasingly eyeing video.
Addressing the video podcast trend further, Pittman kept the door open: “If adding video can make us more money, we’ll do it. Some of our podcasts already have video—we’re not opposed to it. It’s not a huge expense; it’s just about priorities. If consumers demand it, we’ll find a way to deliver.” This pragmatic stance reflects iHeart’s willingness to adapt while staying true to its audio roots.
Leading its charge are popular shows like On Purpose with Jay Shetty and Stuff You Should Know, hosted by Josh Clark and Chuck Bryant. According to Podtrac’s industry research, iHeart’s podcasts garnered 685 million downloads and views in January alone, outpacing competitors like Acast (406 million), Libsyn (182 million), Sonoro (93 million), Daily Wire (58 million), and Paramount Global (50 million), cementing its top-tier ranking.
Looking ahead, iHeart provided guidance for 2025, projecting a low single-digit revenue decline in the first quarter and an essentially flat full-year performance in a non-political year, absent the boost from midterm or presidential election ad spending.
Meanwhile, the company is in the midst of a strategic overhaul. In November, iHeart announced a cost-cutting initiative that included laying off 5 percent of its 10,000-strong workforce to streamline operations and pivot toward digital growth. In its latest quarterly filing released on Thursday, the company revealed that this restructuring will yield $200 million in annual cost savings by 2025, a move aimed at modernizing a business historically anchored in radio.
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