MediaCo has become the third radio company in the past twelve months to risk delisting from the Nasdaq stock exchange. The owner of New York City’s WBLS and Hot 97 (WQHT) has yet to submit its second quarter financials for 2024 to the SEC, breaking Nasdaq rule.
MediaCo had disclosed the delay in a form filed with the SEC on August 14. Within, they reported estimated net revenues of $26.9 million, an operating loss of $7.9 million, and a net loss of $42.4 million, compared a net loss of $0.4 million in the same quarter of 2023. The year-over-year changes are primarily attributed to the financial impact of acquiring Estrella Broadcasting and its subsidiaries in April.
The broadcaster has until October 21 to either submit its Q2 earnings or present a plan to Nasdaq detailing how it intends to rectify this compliance issue. If necessary, Nasdaq may grant an extension up to February 17, 2025. Currently, this situation does not affect the trading of MediaCo’s stock. The company states it is committed to resolving the filing delay and submitting the required Form 10-Q as soon as possible.
As for the other radio groups to find themselves in trouble with the Nasdaq, Urban One received a similar non-compliance notification over its failure to file first-quarter 2024 earnings and a 2023 annual report on time with the SEC. Urban One’s issue stemmed from troubles in a transition in to accounting firm Ernst & Young from BDO. The company regained compliance in June.
Beasley Media Group received a delisting warning on October 13, 2023, because its stock has been trading below the $1.00 minimum required by the Nasdaq Global Market for over 30 consecutive days. The stock has remained under the threshold since.
