Townsquare Media Reports $115.4 Million Revenue, Operating Income Turnaround in Q2 2025

Townsquare Media, Inc. reported a net revenue of $115.4 million for the three months ended June 30, 2025, a decrease of 2.3% from $118.2 million in the same period last year. The decline was primarily attributed to a $4.9 million drop in Broadcast Advertising revenue, which fell to $48.2 million, a decrease of 9.2%. This was partially offset by increases in Digital Advertising revenue, which rose by $1.0 million to $42.4 million, and Subscription Digital Marketing Solutions, which saw a $0.3 million increase to $18.8 million. For the six-month period, total revenue was $214.1 million, down 1.7% from $217.9 million in 2024.

The company's operating income for the second quarter was $21.1 million, a significant turnaround from an operating loss of $21.4 million in the prior year. This improvement was largely due to a $31.1 million reduction in non-cash impairment charges and a $5.9 million increase in net gains from asset sales. The Digital Advertising segment reported an operating income of $10.6 million, up from $8.8 million, while the Subscription Digital Marketing Solutions segment also improved, reporting $5.8 million in operating income, an increase from $4.7 million.

Townsquare Media's total assets decreased to $545.7 million as of June 30, 2025, down from $580.4 million at the end of 2024. Current assets also saw a decline, primarily in cash and cash equivalents, which fell to $3.2 million from $33.0 million. The company’s liabilities decreased to $572.8 million, with long-term debt net of discounts and deferred financing costs at $427.9 million, down from $465.8 million. The company’s stockholders’ deficit improved slightly to $27.1 million from $28.4 million.

In terms of strategic developments, Townsquare Media entered a $490 million Credit Agreement in February 2025, which included a $470 million senior secured Term Loan and a $20 million Revolving Credit Facility. The proceeds were used to redeem all outstanding 2026 Notes and cover related expenses. The company also reported a net gain of $5.9 million from asset sales during the first half of 2025, including a significant $5.6 million gain from the sale of land in Boise, Idaho.

Looking ahead, Townsquare Media is closely monitoring economic conditions, including inflation and interest rates, which could impact advertising spending and subscription cancellations. The company anticipates that its cash flows from operations will be sufficient to meet its working capital and debt service requirements for at least the next year. However, it acknowledges that future capital requirements may differ significantly from current plans, depending on various market factors.