MediaCo President and CEO Albert Rodriguez used the company’s Q3 earnings disclosure, first reported by Radio Ink, to announce a full pivot into “growth mode,” framing the quarter’s results as a foundation for audio, video, and distribution platform expansion.
Rodriguez highlighted rising revenue and disciplined cost management: “We continued to execute at a high level during the third quarter, driving tangible gains across virtually every facet of our strategic plan,” adding, “We drove substantial revenue growth, including a surge in digital revenue to $17 million, which now accounts for 49.2% of our total advertising sales, ranking among the top in the industry.”
MediaCo reported year-over-year revenue growth of 18.5% to $35.4 million, driven by digital and video advertising gains. Operating expenses rose 15.7% to $42.5 million, resulting in a $7.1 million operating loss. A $7.3 million non-cash warrant valuation charge drove a wider net loss, reversing a large accounting gain from the prior year.
Rodriguez said the next phase will focus on expanding into new markets and platforms.
“We committed to delivering ratings growth and increasing our advertising share in key markets, while securing content and distribution partnerships that will allow us to efficiently grow our broadcast and digital audiences nationally. As we build on our momentum…we remain well-positioned to drive growth in our revenues, cash flows, and margins.”
Operational updates supported this trajectory. The company reported that EstrellaTV closed October with one of its largest year-over-year monthly gains among Adults 18-49 since joining Nielsen measurement in 2010.
New York City’s Hot 97 (WQHT) logged its highest-ever monthly audience among Adults 18-49 in September during radio prime. In addition, Hot 97 and WBLS expanded to HD2 channels in Los Angeles, Riverside, Dallas, and Houston. MediaCo also launched Hot 97 television in Atlanta through WHOT-TV 66 in partnership with TRACE.
The growth is also internal. MediaCo has elevated CFO and Treasurer Debra DeFelice to Executive Vice President, as well. She said, “I look forward to continuing our momentum as we work towards the next phase of MediaCo’s growth…as we further optimize our portfolio and expand our distribution channels.”
