Market volatility defined Cumulus Media’s Q2 earnings call. As broadcast revenue slides by double digits, losses have narrowed, and long-term stability is the goal as the company confronts core challenges with digital growth heading into an uncertain final half of 2025.
Cumulus reported second-quarter net revenue of $186 million, down 9.2% from Q2 2024, with broadcast advertising continuing to face steep headwinds. Despite the decline, the company highlighted growth in digital marketing services, podcasting, and ongoing cost reduction efforts.
Net loss for the quarter narrowed to $12.8 million, a 54% improvement from a $27.7 million loss a year ago. For the six-month period ending June 30, revenue totaled $373.4 million, a 7.8% decline.
CEO Mary Berner attributed the revenue pressure primarily to national advertising weakness, particularly in broadcast. “In Q2, the broadcast revenue backdrop remained frustratingly difficult,” she said, noting that broadcast spot was down 10.5% and network revenue fell 20.5%. Total broadcast revenue declined 13% in the quarter.
Yet Berner emphasized relative gains. “Within that context, we continue to outperform our peers across several key metrics,” she said, pointing to Miller Kaplan data showing market share growth in all measured spot revenue categories.
Digital revenue declined slightly, down 1.4% year-over-year to $38.8 million. However, within that category, “Our digital marketing services business was up 38%, an acceleration of the 30% growth it delivered last quarter,” Berner said. “This performance is even more notable because it comes off a meaningful base of revenue.”
CFO Frank López-Balboa said DMS growth continues into the third quarter, currently pacing up more than 35%. “DMS revenue now represents approximately 50% of our total digital revenue,” he noted, adding that the platform now carries an annual run rate of nearly $80 million.
Podcasting also saw a rebound when normalized for the exit of The Daily Wire and Dan Bongino content. “Year-over-year podcasting was up over 30%,” Berner said, crediting multi-platform packaging and audience growth for shows like The Sean Ryan Show and The Benny Show.
AI integration also remains a key focus. “We’re training our entire sales force on how to effectively use AI to craft pitches, generate spec creative, and fine-tune pricing,” said Berner. She also pointed to more than 100 AI projects underway across content, sales, and operations.
Expenses for the quarter fell by $16 million year-over-year, driven by reduced variable costs and restructuring. The company confirmed it will outsource its entire traffic operations in 2026 for additional savings.
Looking ahead, total Q3 revenue is pacing down in the low double digits, though excluding political and prior year podcast content comparisons, the company expects a mid-single-digit decline. “We remain confident in the value of the core assets of the company and our ability to serve listeners and customers and drive new areas of growth,” said Berner.
