iHeartMedia, Inc. · NASDAQ:IHRT
iHeartMedia — Q2 2016 Earnings Presentation
23 slides from iHeartMedia's earnings presentation, Aug 4, 2016
Slide 1: Second Quarter 2016
Second Quarter 2016 August 4, 2016
Slide 2: Safe Harbor Statement
Safe Harbor Statement Forward Looking Language Certain statements in this presentation constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve known and unknown risks, uncertainties and other factors
Slide 3: iHeartMedia platform and reach overview
Social Traffic & Weather 85 million Facebook likes 99%+ of commuter coverage & Twitter/Instagram followers Mobile National & Local 1 billion+ app Personalities downloads & upgrades 107 syndicated properties Personality & Local National Spot & Station Sites Network Radio 88 million 5,900+ affiliate b
Slide 4: Q2 2016 Key Financial Highlights
Q2 2016 Key Financial Highlights • Revenue: $1.6 billion (up 1.2%, $18.7 million) • Up 3.3% adjusting for FX and non-strategic Americas outdoor markets sold in January • Operating Income: $252.7 million (down 38.7%, $159.5 million) • OIBDAN: $482.8 million (up 0.1%, $0.6 million) • Up 3.0% adjusting
Slide 5: Key Non-Financial Highlights: iHeartMedia
Key Non-Financial Highlights: iHeartMedia • Achieved 88 million iHeartRadio registered users as of June 30, 2016, growing 23% year-over-year. With iHeartRadio's downloads and upgrades increasing to over one billion and total listening hours up 16% year-over-year. • Launched the first programmatic pr
Slide 6: Key Non-Financial Highlights: Outdoor
Key Non-Financial Highlights: Outdoor Digital • Installed 546 digital displays across our markets increasing the digital billboards to 1,074 in 28 markets in North America and to more than 8,100 across 18 international markets. Key Announcements • Unveiled a new iHeartRadio billboard in an iconic Ne
Slide 7: Financial Results: iHeartMedia
Financial Results: iHeartMedia $US Dollars in millions Three Months Ended June 30, 2016 2015 Variance Revenue $ 867.9 $ 840.7 3.2% Direct Op & SG&A Expenses ex. D&A $ 522.1 $ 508.0 2.8% Operating Income $ 282.8 $ 273.1 3.6% OIBDAN $ 345.8 $ 332.7 4.0% • Revenue: Up 3.2% (up 3.0% excluding political)
Slide 8: Financial Results: Americas Outdoor
Financial Results: Americas Outdoor $US Dollars in millions Three Months Ended June 30, Adjusted* 2016 2015 Variance 2016 2015 Variance Revenue $ 325.5 $ 341.3 (4.6)% $ 328.5 $ 314.2 4.6% Direct Op & SG&A Expenses ex. D&A $ 197.8 $ 207.1 (4.4)% $ 200.1 $ 192.6 3.9% Operating Income $ 80.1 $ 83.1 (3.
Slide 9: Financial Results: International Outdoor
Financial Results: International Outdoor $US Dollars in millions Three Months Ended June 30, Adjusted* 2016 2015 Variance 2016 2015 Variance Revenue $ 386.6 $ 381.5 1.3% $ 389.8 $ 381.5 2.2% Direct Op & SG&A Expenses ex. D&A $ 303.7 $ 297.8 2.0% $ 306.4 $ 297.8 2.9% Operating Income $ 44.7 $ 42.8 4.
Slide 10: Items Impacting Comparability at iHeartMedia, Inc.
Items Impacting Comparability at iHeartMedia, Inc. Revenue Expenses Foreign Exchange Impact: Foreign Exchange Impact: Q2 2016 Q2 2016 Americas Outdoor $ (3.0) Americas Outdoor $ (2.3) International Outdoor (3.2) International Outdoor (2.7) Total $ (6.2) Total $ (5.0) Non-Strategic Americas Outdoor M
Slide 11: Capital Expenditures
Capital Expenditures $USD in millions iHeartMedia, Inc. Key Drivers: Six Months Ended June 30, 2016 • Americas Outdoor: Digital billboards 2016 2015 $ % • International Outdoor: Street furniture and billboards Outdoor: • iHeartMedia: Leasehold improvements and Americas $ 28.7 $ 32.4 $ (3.7) (11.4)%
Slide 12: Debt
Debt Maturity 6/30/2016 12/31/2015 $ Change Total Debt $20.8 billion iHeartCommunications, Inc. Term Loan D 2019 $ 5,000.0 $ 5,000.0 $ — • $17 million payments-in-kind Term Loan E 2019 1,300.0 1,300.0 — on 14% Senior Notes due Receivables Based Facility 2017 230.0 230.0 — 2021 Priority Guarantee Not
Slide 13: Balance Sheet Information and Debt Ratios
Balance Sheet Information and Debt Ratios 6/30/2016 12/31/2015 iHeartCommunications, Inc. Cash & Equivalents $ 951.9 $ 772.7 Total Debt $ 20,784.7 $ 20,720.6 Secured Leverage ratio 6.6x 6.5x Clear Channel Outdoor Holdings, Inc. Cash & Equivalents $ 439.5 $ 412.7 Total Debt $ 5,115.2 $ 5,110.8 Senior
Slide 14: Appendix
Appendix @ iHeartMEDIA
Slide 15: Reconciliation of OIBDAN to Operating Income (Loss)
iHeartMedia, Inc. Reconciliation of OIBDAN excluding effects of foreign exchange and OIBDAN to Operating Income (Loss) OIBDAN excluding effects Non-cash Other operating of foreign Effects of foreign (subtotal) compensation Depreciation and (income) expense, Operating income (In thousands) exchange e
Slide 16: Clear Channel Outdoor Reconciliation of OIBDAN to Operating Income (Loss)
Clear Channel Outdoor Holdings, Inc. Reconciliation of OIBDAN to Operating Income (Loss) OIBDAN excluding Non-cash effects of foreign Effects of foreign (subtotal) compensation Depreciation Other operating Operating (In thousands) exchange exchange OIBDAN expenses and amortization income, net income
Slide 17: iHeartMedia Reconciliations of Revenue and Expenses
iHeartMedia, Inc. Reconciliations of Revenue and Expenses (In thousands) Three Months Ended June 30, Six Months Ended June 30, 2016 2015 2016 2015 Revenue: Consolidated revenue $ 1,618,532 $ 1,599,859 $ 2,982,037 $ 2,944,423 Excluding: Foreign exchange (increase) decrease 6,178 — 21,298 — Excluding:
Slide 18: iHeartMedia Reconciliations of OIBDAN
iHeartMedia, Inc. Reconciliations of OIBDAN (In thousands) Three Months Ended June 30, Six Months Ended June 30, 2016 2015 2016 2015 OIBDAN: Consolidated operating income $ 252,721 $ 412,199 $ 673,415 $ 505,341 Excluding: Foreign exchange (increase) decrease 741 — 1,147 — Excluding: Americas Outdoor
Slide 19: Clear Channel Outdoor Reconciliations of Revenue and Expenses
Clear Channel Outdoor Holdings, Inc. Reconciliations of Revenue and Expenses (In thousands) Three Months Ended June 30, Six Months Ended June 30, 2016 2015 2016 2015 Revenue: Consolidated revenue $ 712,146 $ 722,819 $ 1,302,867 $ 1,337,862 Excluding: Foreign exchange (increase) decrease 6,178 — 21,2
Slide 20: Clear Channel Outdoor Reconciliations of OIBDAN
Clear Channel Outdoor Holdings, Inc. Reconciliations of OIBDAN (In thousands) Three Months Ended June 30, Six Months Ended June 30, 2016 2015 2016 2015 OIBDAN: Consolidated operating income $ 34,508 $ 95,055 $ 325,874 $ 91,706 Excluding: Foreign exchange (increase) decrease 741 — 1,147 — Excluding:
Slide 21: Reconciliation of Revenues excluding Effects of Political Revenue
iHeartMedia, Inc. Reconciliation of Revenues excluding Effects of Political Revenue to Revenues (In thousands) Three Months Ended June 30, Six Months Ended June 30, 2016 2015 2016 2015 Consolidated revenue $ 1,618,532 $ 1,599,859 $ 2,982,037 $ 2,944,423 Excluding: Political revenue (10,571) (6,909)
Slide 22: Reconciliation of Corporate Expenses
Reconciliation of Corporate Expenses (In thousands) Three Months Ended June 30, Six Months Ended June 30, 2016 2015 2016 2015 iHeartMedia, Inc. Corporate Expense $ 87,650 $ 80,295 $ 165,529 $ 157,717 Less: Non-cash compensation expense (3,785) (2,403) (6,879) (4,927) Corporate Expense excluding non-
Slide 23: About iHeartMedia and Clear Channel Outdoor
About iHeartMedia, Inc. About Clear Channel Outdoor Holdings, Inc. iHeartMedia, Inc. (OTCBB: IHRT), the parent company of Clear Channel Outdoor Holdings, Inc. (NYSE: CCO) is one of iHeartMedia Capital I, LLC and iHeartCommunications, the world’s largest outdoor advertising companies with over Inc.,