Urban One, Inc. — Third Quarter 2026 Earnings Summary

Financial Performance:

• Net revenue for the three months ended September 30, 2026, was $88.0 million, a 5.0% decrease from $92.7 million in the same period in 2025.
• Net revenue for the nine months ended September 30, 2026, was $251.4 million, a 9.1% decrease from $276.5 million in the same period in 2025.
• Operating loss for the three months ended September 30, 2026, was $126.6 million, compared to operating income of $2.5 million in 2025.
• Operating loss for the nine months ended September 30, 2026, was $140.0 million, compared to an operating loss of $116.1 million in 2025.
• Net loss attributable to common stockholders for the three months ended September 30, 2026, was $119.2 million ($26.39 per share basic), compared to a net loss of $2.8 million ($0.64 per share basic) in 2025.
• Net loss attributable to common stockholders for the nine months ended September 30, 2026, was $129.4 million ($28.88 per share basic), compared to a net loss of $92.5 million ($20.72 per share basic) in 2025.
• Adjusted EBITDA for the three months ended September 30, 2026, was $12.3 million, a decrease from $14.2 million in 2025.
• Adjusted EBITDA for the nine months ended September 30, 2026, was $28.6 million, a decrease from $41.0 million in 2025.
• Broadcast and digital operating income for the three months ended September 30, 2026, was $19.4 million, a decrease of $0.5 million from $19.9 million in 2025.
• Impairment of goodwill, intangible assets, and long-lived assets was $128.9 million for the three months ended September 30, 2026, compared to $0 in 2025.
• Interest expense was $2.0 million for the three months ended September 30, 2026, a decrease from $9.4 million in 2025.
• Capital expenditures were $1.1 million for the three months ended September 30, 2026, compared to $3.1 million in 2025.
• Cash and cash equivalents and restricted cash were $18.0 million as of September 30, 2026, down from $26.4 million as of December 31, 2025.
• Total long-term debt, net, was $399.5 million as of September 30, 2026, down from $429.7 million as of December 31, 2025.
• Short-term borrowings under the asset-backed facility were $22.0 million as of September 30, 2026, up from $10.0 million as of December 31, 2025.
• Total stockholders' equity was $(103.0) million as of September 30, 2026, compared to $24.6 million as of December 31, 2025.

Guidance and Future Outlook:

• Revised Adjusted EBITDA guidance for the full year 2026 is $40.0 million.
• Management identified at least $20.0 million of annualized cost savings to be implemented heading into the next year.
• Net political revenue for the full year 2026 is expected to be $8.8 million across all divisions.

Business Segments and Product Lines:

• Radio Broadcasting: Revenue was $36.7 million for the three months ended September 30, 2026, an increase of $2.0 million from 2025, driven by acquired stations and political campaigns.
• Reach Media: Revenue was $5.1 million for the three months ended September 30, 2026, a decrease of $1.0 million from 2025, driven by lower demand and a decline in the network audio market.
• Digital: Revenue was $9.6 million for the three months ended September 30, 2026, a decrease of $3.1 million from 2025, driven by reduced demand for diversity, equity, and inclusion-focused spend and lower effective rates.
• Cable Television: Revenue was $37.3 million for the three months ended September 30, 2026, a decrease of $2.5 million from 2025, driven by subscriber churn and lower advertising rates.
• Acquisitions: On July 17, 2026, the Company acquired Service Broadcasting Group, LLC (stations KKDA and KRNB in Dallas) for $22.0 million, contributing $1.9 million in net revenue in the quarter.
• Dispositions: On July 6, 2026, the Company sold radio station KZMJ for $6.0 million, recognizing a $3.2 million gain in the third quarter.

Market and Competitive Landscape:

• Market conditions in radio continued to adversely impact revenue.
• Weak demand in the Cable TV scatter market shifted inventory to the direct response category at lower rates.
• Large client attrition and suppressed rates occurred in national direct digital revenue.
• The Company owns and/or operates approximately 75 independently formatted, revenue-producing broadcast stations in 13 of the most populous African American markets in the United States.

Risks and Challenges:

• The Company recorded significant impairment charges of $128.9 million in the third quarter of 2026, including $62.5 million for radio broadcasting licenses, $25.4 million for the Radio Broadcasting reporting unit, and $40.9 million for the Cable Television reporting unit.
• The Company faces challenges from weak overall market demand from national and local advertisers.
• The Company has a material weakness remediation effort, with corporate costs including professional fees related to this effort.

Management Commentary and Tone:

• Alfred C. Liggins, III, CEO and President, stated that management is "hyper-focused on cost reductions" and acknowledged the "realities of the current advertising marketplace" as the reason for the revised guidance.
• Management noted that while local digital revenue increased, national direct digital revenue declined significantly due to client attrition and suppressed rates.

Other Key Points:

• The Company repurchased $0.2 million or 55,073 shares of its Class D Common Stock at an average price of $4.39 per share during the three months ended September 30, 2026.
• Reach Media closed on the last outstanding amounts of the Put Interest on February 25, 2026, increasing the Company's interest in Reach Media to 100.0%.
• The Company recognized a benefit from income taxes of $6.3 million for the three months ended September 30, 2026, resulting in an effective tax rate of 5.0%.
• A conference call to discuss results was scheduled for November 10, 2026, at 10:00 a.m. EST.