The story at Townsquare is consistent from quarter to quarter. Digital is growing big-time and radio is a mature business. 50% of Townsquare’s revenue came from digital in Q2, increasing 21% in the quarter to $60 million. Radio increased $600,000 to $57 million. In the end, it was a record quarter of revenue for the company.
Overall net revenue for the three months ended June 30, 2022 increased $14.6 million, or 13.6%, compared to the same period in 2021.
Digital Advertising net revenue increased $7.5 million, or 25.4%. Subscription Digital Marketing Solutions net revenue increased $2.8 million, or 13.7%. The company added 1,150 net digital subscribers during the second quarter of 2022. In Townsquares other category, which includes events, net revenue increased $3.7 million.
Q2 political revenue came in at $1.5 million, up from $1.3 million in the comparable year of 2018. For the first 6 months of the year Townsquare has banked a total of $1.9 million in political revenue. The majority of political is recorded in the 4th quarter and 2022 is expected to be a big year.
CEO Bill Wilson said it was a record quarter of revenue profit growth for Townsquare. “Our performance clearly demonstrates the strength and differentiation of our digital businesses and our legacy broadcast business.”
Wilson said he is not concerned about an advertising slowdown, if one happens to be in the cards going forward. He said radio advertising was up 9% in June. And, Wilson believes being a digital first company will help them combat an advertising downturn of one occurred. His confidence comes as a result of how well the company performed during COVID.
With the recent closing of Townsquare’s $18.75 million purchase of Cherry Creek, the company now owns 357 stations in 74 markets. All outside top 50 markets.
Wilson also announced that Townsquare has signed a lease for a new digital workforce facility in Phoenix.
