Beasley Broadcast Group Reports $48.9 Million Revenue, Faces Increased Operational Loss

Beasley Broadcast Group, Inc. reported a net revenue of $48.9 million for the three months ended March 31, 2025, a decrease of 10.1% from $54.4 million in the same period of the previous year. The decline in revenue was primarily driven by a $5.3 million drop in audio revenue, which fell to $38.2 million, attributed to decreased agency revenue. Digital revenue remained relatively stable, totaling $10.8 million, down slightly by 1.8% compared to the prior year. The company's operating expenses also decreased, totaling $50.9 million, down from $55.5 million, reflecting effective cost management strategies.

The company experienced a significant operational loss of $2.0 million for the quarter, compared to a loss of $1.1 million in the same period last year. This increase in loss was influenced by the absence of a $6.0 million gain from the sale of an investment in Broadcast Music, Inc. recorded in the previous year. Interest expenses decreased by 39.5% to $3.4 million, largely due to the amortization of a deferred interest premium from a debt restructuring completed in October 2024. The effective tax rate for the quarter was 37%, a decrease from 104% in the prior year, reflecting changes in state income taxes and non-deductible expenses.

In terms of strategic developments, Beasley Broadcast Group has focused on managing its operational costs, which resulted in a reduction of corporate expenses to $4.0 million from $4.4 million. The company also closed its digital agency, Guarantee Digital, in 2024, contributing to lower digital operating expenses. As of March 31, 2025, the company reported total assets of $539.3 million, a slight decrease from $549.2 million at the end of the previous fiscal year, with total liabilities also decreasing to $394.6 million from $402.0 million.

Looking ahead, Beasley Broadcast Group anticipates that its liquidity needs will continue to be met through internally generated cash flow and cash on hand. The company has suspended dividend payments until it is deemed in the best interest of shareholders to resume them. Management remains cautious about the potential impact of economic conditions on advertising revenues and is focused on enhancing operational efficiencies across its radio stations. The company believes it has sufficient liquidity to meet its financial obligations over the next 12 months, although it acknowledges that unexpected expenses could affect this outlook.