Townsquare Media’s digital divisions generated 59% of net revenue in the first quarter of 2026. As CEO Bill Wilson puts it, “By now, it should be very clear that Townsquare has transformed from a legacy broadcast company into a digital-first local media company.”
That digital figure, which also accounted for 63% of segment profit, represents all-time highs for the company, even as total net revenue fell 1.9% year over year to $96.8 million. Net income improved $4.5 million year over year to $3.0 million, driven primarily by a $12.6 million income tax benefit.
Townsquare Ignite, the company’s digital advertising segment, posted revenue growth of 6.8% year over year to $39.3 million, a significant rebound from approximately 2% growth across full-year 2025. The acceleration was driven by a programmatic advertising platform that grew 21% year over year and direct sales of owned and operated digital properties, which grew 10%.
The company’s Media Partnerships division, which white-labels Townsquare’s programmatic infrastructure for other local media operators, roughly doubled revenue from Q1 2025 and is on pace to nearly double its full-year 2025 total of approximately $6 million. Townsquare now serves 13 partners, up from six at the start of 2025, with a pipeline Wilson described as “literally dozens and dozens of local media companies. Primarily radio, but there’s also some television, outdoor, print, and other legacy media companies.”
Broadcast advertising revenue fell 6.6% to $38.6 million, or 6.9% excluding political revenue, a slight moderation from the consistent negative 8% declines the segment posted throughout 2025. Broadcast segment profit was $7.5 million, down 11.4% year over year, with segment profit margin at approximately 19%. “Radio is not a growth driver for Townsquare,” Wilson said, while noting the company gained local and national broadcast market share in the quarter, according to Miller Kaplan estimates.
Wilson attributed some advertising softness to macroeconomic pressure on small and medium-sized businesses. “We’re clearly hearing from our customers, particularly as the conflict in the Middle East continues and gas prices continue to go up month over month, that that’s a strain on them,” he said. “They’re still spending, but they may be spending quicker to the flight time, not booking as far in advance.”
For Q2, Townsquare guided net revenue of $114 million to $116 million. Full-year net revenue guidance of $420 million to $440 million was reaffirmed, with approximately $8 million in political revenue embedded in the forecast.
