iHeartMedia, Inc. — Third Quarter 2026 Earnings Summary

Financial Performance:

• Consolidated revenue for Q3 2026 was $1,030 million, an increase of 3.3% year-over-year; excluding political revenue, revenue increased 0.9%.
• GAAP operating income was $73 million, compared to a GAAP operating loss of $116 million in Q3 2025.
• Consolidated Adjusted EBITDA was $170 million, a decrease from $205 million in Q3 2025.
• Cash provided by operating activities was $14 million, compared to cash used of $10 million in Q3 2025.
• Free Cash Flow was ($10) million, an improvement from ($33) million in Q3 2025.
• Cash balance was $140 million with total available liquidity of $416 million as of September 30, 2026.
• Total debt was $5,024.3 million and Net Debt was $4,680.1 million as of September 30, 2026.
• Capital expenditures for the quarter were $24.1 million.

Guidance and Future Outlook:

• Q4 2026 consolidated revenue is expected to increase mid-single digits.
• Q4 2026 consolidated Adjusted EBITDA is expected to be approximately $135 million to $185 million, including an estimated $100 million net negative impact from non-cash marketing.
• Full year 2026 consolidated Adjusted EBITDA is expected to be approximately $550 million to $600 million.
• Full year 2026 Free Cash Flow is expected to be approximately $50 million.
• Full year 2026 Total Programmatic Revenue is expected to be approximately $200 million, up approximately 50%.
• The company expects to generate approximately $400 million in total programmatic revenue in 2027, including approximately $100 million of incremental broadcast radio programmatic revenue.
• The company expects to establish podcasting as a separate reporting segment in 2027.

Business Segments and Product Lines:

• Digital Audio Group: Revenue was $389 million, up 14% year-over-year. Podcast revenue was $174 million, up 24%. Digital revenue excluding podcast was $215 million, up 6%. Segment Adjusted EBITDA was $127 million, down 2%, with an Adjusted EBITDA margin of 32.8%.
• Multiplatform Group: Revenue was $562 million, down 5% year-over-year. Excluding political revenue, revenue was down 7%. Segment Adjusted EBITDA was $68 million, down 43%, with an Adjusted EBITDA margin of 12.1%.
• Audio & Media Services Group: Revenue was $82 million, up 23% year-over-year. Excluding political revenue, revenue was up 3%. Segment Adjusted EBITDA was $37 million, up 66%, with an Adjusted EBITDA margin of 45.9%.
• Broadcast radio revenue decreased 4.5% year-over-year to $408 million.
• Networks revenue decreased 12.0% year-over-year to $101 million.
• Sponsorship and Events revenue increased 5.4% year-over-year to $48 million.

Market and Competitive Landscape:

• The company is the number one audio company in the United States, reaching nine out of 10 Americans every month.
• iHeartMedia is the number one podcast publisher in downloads, unique listeners, revenue, and earnings.
• The company leads the audio industry in analytics, targeting, and attribution via its SmartAudio suite.
• Advertiser uncertainty regarding consumer spending contributed to a decrease in broadcast spot and networks revenue.
• The 2026 midterm election year contributed to increased political revenues.
• The company is rolling out its AudioGraph platform to improve broadcast radio business performance and meet advertising community buying preferences.

Risks and Challenges:

• Consolidated Adjusted EBITDA decreased due to higher variable content costs, including third-party digital costs and podcast profit share, and higher non-cash trade and barter expenses.
• SG&A expenses increased 7.6% year-over-year, driven primarily by a $48.9 million increase in non-cash trade and barter expenses.
• Operating expenses in the Digital Audio Group increased 23.6% year-over-year.
• Operating expenses in the Multiplatform Group increased 4.7% year-over-year.
• The company faces risks related to global economic or political uncertainty, competition from alternative media platforms, fluctuations in operating costs, and technological changes.
• Risks include dependence on advertising revenues, brand performance, and regulatory impacts on music licensing and royalties.

Management Commentary and Tone:

• Bob Pittman, Chairman and CEO, stated that consolidated revenue was up 3.3% and Adjusted EBITDA was $170 million, highlighting strong results from the Digital Audio and Audio & Media Services groups.
• Pittman noted the accelerating adoption of audio programmatic and the potential for the AudioGraph platform to improve broadcast radio performance.
• Rich Bressler, President and COO, reported Digital Audio Group revenue up 13.8% and Adjusted EBITDA margins of 32.8%.
• Bressler acknowledged revenue challenges in the quarter but stated they are addressable and that establishing podcasting as a separate segment in 2027 will provide greater insight into financial performance.

Other Key Points:

• The company hosts a conference call on November 9, 2026, at 4:30 p.m. Eastern Time to discuss results.
• Trade and barter revenue and expenses significantly impacted operating results, with approximately $80 million in trade and barter revenues offset by approximately $180 million in trade and barter expenses in the full year guidance context.
• The company has a total of more than 860 live broadcast stations in over 160 markets nationwide.
• The Audio & Media Services Group includes Katz Media Group, the nation's largest media representation company, and RCS, the world's leading provider of broadcast and webcast software.
• The company's iHeartRadio digital service is available across more than 500 platforms and thousands of devices.