Overall, Beasley reported Q2 revenue of $61 million, up from $27.8 million a year ago. However, that increase includes the addition of the Greater Media stations which Beasley did not have a year ago. On a pro-forma basis, net revenue was down 3.3%. CEO Caroline Beasley said the decline was due to less political spending, a decline in national revenue, and specific integration-related issues.
Caroline Beasley stated that the company’s Philadelphia cluster saw a revenue decline of 7.6% as the company continues to address sales issues it faced in that market following the purchase of that market from Greater Media. That market was down 13% in Q1. Beasley’s Tampa cluster was down 3% for the quarter after being down 18% in Q1.
Looking at the Beasley legacy stations, clusters in Fayetteville, Wilmington, Fort Myers, and Las Vegas all saw revenue increases while Tampa and August declined. The old Greater Media markets saw revenue decline in Boston, New Jersey, and Philadelphia while Detroit had a double-digit revenue increase.
Beasley paid down $15 million in debt in the quarter and has paid down $43 million in debt since it closed on the Greater Media purchase. The company expects to see cost synergies of $10.8 million in 2017 from the Greater Media deal. As of June 30, the company says it has seen $5.9 million in cost synergies so far.
The company says Q3 is pacing flat.
