iHeartMedia (IHRT) Q4 2024 earnings summary

Executive summary

• Completed a major debt exchange, reducing net debt to $4.52 billion, extending maturities by three years, and keeping annual cash interest expense flat.

• Achieved over $200 million in annual cost reductions, with net savings of $150 million after add-backs, and modernized organizational structure.

• Q4 2024 revenue rose 4.8% year-over-year to $1,118 million, driven by digital and political audio growth; Adjusted EBITDA increased 18.2% to $246 million.

• Q4 free cash flow was negative $24 million due to debt transaction fees and restructuring; adjusted free cash flow would have been $111 million.

• Ended Q4 with $260 million in cash and $686 million in total available liquidity.

Financial highlights

• Q4 2024 consolidated revenue: $1,118.3 million, up 4.8% year-over-year; full-year 2024 revenue: $3,854.5 million, up 2.8%.

• Q4 Adjusted EBITDA: $246.2 million (up 18.2%); full-year Adjusted EBITDA: $705.6 million (up 1.3%).

• Q4 GAAP operating income was $105 million, up from $80 million in Q4 2023.

• Q4 net income was $32 million; full-year net loss was $(1,009.5) million, impacted by $922.7 million in impairment charges.

• Q4 free cash flow excluding debt exchange impacts was $111 million; full-year: $109 million.

Outlook and guidance

• Q1 2025 consolidated revenue expected to decline low-single digits year-over-year; Adjusted EBITDA guidance: $100–$110 million.

• Full year 2025 revenue expected to be flat versus 2024; Adjusted EBITDA guidance of ~$770 million and free cash flow of ~$200 million.

• Net debt to Adjusted EBITDA ratio targeted at 5.5x by end of 2025, aiming for 3.2x by 2028.