Townsquare Media’s “local first” digital approach carried them to a 2023 Q1 that outperformed expectations, despite a net loss. While net revenue was up 2.9% to $103.11 million, the recorded loss ended at $1.94 million after a massive $8.49 million quarterly non-cash impairment charge.
With more than half of Townsquare’s quarterly income attributed to digital, CEO Bill Wilson said Townsquare Ignite was in the driver’s seat for revenue growth. Digital advertising revenue rose 15.4% to $33.7 million. Total digital revenue grew 8.2%.
Radio was barely mentioned for the majority of the earnings call. In contrast to digital, broadcast advertising revenue declined by 4.8% to $45.92 million from $48.23 million, and broadcast advertising income fell by 27.4% to $8.56 million. Wilson emphasized that Townsquare is not a traditional radio company, but rather a digital advertising solutions company.
Second quarter estimates are currently holding flat, with the possibility of single-digit percentage losses.
