URBAN ONE, INC. REPORTS FIRST QUARTER 2025 RESULTS

Three Months Ended March 31,

2025

2024

(unaudited)

CONSOLIDATED STATEMENTS OF OPERATIONS

(in thousands, except share data)

NET REVENUE

$                   92,235

$                 104,410

OPERATING EXPENSES

Programming and technical, excluding stock-based compensation

30,598

32,659

Selling, general and administrative, excluding stock-based compensation^(a)

50,105

55,629

Stock-based compensation

676

1,384

Depreciation and amortization

2,315

1,850

Impairment of intangible assets

6,443

—

Total operating expenses

90,137

91,522

Operating income

2,098

12,888

INTEREST AND INVESTMENT INCOME

966

1,998

INTEREST EXPENSE

(10,924)

(12,998)

GAIN ON RETIREMENT OF DEBT

11,587

7,874

OTHER INCOME, NET

192

886

Income from consolidated operations before provision for income taxes

3,919

10,648

PROVISION FOR INCOME TAXES

(15,658)

(2,502)

NET (LOSS) INCOME  FROM CONSOLIDATED OPERATIONS

(11,739)

8,146

LOSS FROM UNCONSOLIDATED JOINT VENTURE

—

(411)

NET (LOSS) INCOME

(11,739)

7,735

NET INCOME ATTRIBUTABLE TO NONCONTROLLING INTERESTS

3

242

NET (LOSS) INCOME ATTRIBUTABLE TO COMMON STOCKHOLDERS

$                (11,742)

$                      7,493

Weighted-average shares outstanding - basic³

44,421,652

48,385,386

Weighted-average shares outstanding - diluted⁴

44,421,652

49,921,803

^(a) Corporate selling, general and administrative expenses have been collapsed with Selling, general and administrative expenses in the consolidated statements of operations.

Three Months Ended March 31, 2025

Consolidated

Radio Broadcasting

Reach Media

Digital

Cable Television

Corporate/ Eliminations/ Other

NET REVENUE

$          92,235

$          32,610

$            5,853

$          10,212

$          44,193

$             (633)

OPERATING EXPENSES:

Programming and technical

30,598

11,293

3,368

3,187

12,909

(159)

Sales and marketing

29,076

11,546

2,125

6,787

9,096

(478)

General and administrative

21,029

7,050

1,026

184

3,595

9,174

Other segment income (expenses)

1,325

127

115

4

(1)

1,080

Adjusted EBITDA²

$         12,857

$           2,848

$             (551)

$                 58

$         18,592

$         (8,090)

Three Months Ended March 31, 2024

(in thousands)

Consolidated

Radio Broadcasting

Reach Media

Digital ^(a)

Cable Television ^(a)

Corporate/ Eliminations/ Other

NET REVENUE

$        104,410

$          36,351

$            8,472

$          12,189

$          48,004

$             (606)

OPERATING EXPENSES:

Programming and technical

32,659

11,329

3,482

3,502

14,600

(254)

Sales and marketing ^(b)

28,878

11,394

2,181

5,704

10,139

(540)

General and administrative ^(b)

26,750

8,066

970

636

3,964

13,114

Other segment income (expenses)

6,134

72

(9)

—

—

6,071

Adjusted EBITDA²

$         22,257

$           5,634

$           1,830

$           2,347

$         19,301

$         (6,855)

Three Months Ended June 30, 2024

(in thousands)

Consolidated

Radio Broadcasting

Reach Media

Digital ^(a)

Cable Television ^(a)

Corporate/ Eliminations/ Other

NET REVENUE

$        117,744

$          41,999

$          18,929

$          14,072

$          43,312

$             (568)

OPERATING EXPENSES:

Programming and technical

33,256

11,436

3,641

3,520

14,913

(254)

Sales and marketing ^(b)

39,601

13,161

11,046

7,491

8,308

(405)

General and administrative ^(b)

20,479

7,661

793

347

4,158

7,520

Other segment income (expenses)

4,514

(246)

8

—

89

4,663

Adjusted EBITDA²

$         28,922

$           9,495

$           3,457

$           2,714

$         16,022

$         (2,766)

Three Months Ended September 30, 2024

(in thousands)

Consolidated

Radio Broadcasting

Reach Media

Digital ^(a)

Cable Television ^(a)

Corporate/ Eliminations/ Other

NET REVENUE

$        110,393

$          39,716

$          10,247

$          18,291

$          42,797

$             (658)

OPERATING EXPENSES:

Programming and technical

33,911

11,779

3,700

3,481

15,177

(226)

Sales and marketing ^(b)

29,758

13,896

1,346

8,147

6,800

(431)

General and administrative ^(b)

23,708

8,006

916

660

3,933

10,193

Other segment income (expenses)

2,397

1,360

(742)

(720)

—

2,499

Adjusted EBITDA²

$         25,413

$           7,395

$           3,543

$           5,283

$         16,887

$         (7,695)

Three Months Ended December 31, 2024

(in thousands)

Consolidated

Radio Broadcasting

Reach Media

Digital ^(a)

Cable Television ^(a)

Corporate/ Eliminations/ Other

NET REVENUE

$        117,127

$          47,736

$            9,613

$          18,270

$          42,014

$             (506)

OPERATING EXPENSES:

Programming and technical

35,409

11,814

3,652

4,179

15,920

(156)

Sales and marketing ^(b)

32,445

12,491

2,285

10,957

7,110

(398)

General and administrative ^(b)

23,217

7,581

1,023

668

5,007

8,938

Other segment income (expenses)

815

(281)

146

252

478

220

Adjusted EBITDA²

$         26,870

$         15,569

$           2,799

$           2,718

$         14,455

$         (8,670)

^(a) Effective January 1, 2025, segment information for the prior periods has been recast to include reclassification of a portion of revenues from our CTV offering from the Digital segment to the Cable Television segment.

^(b) Effective January 1, 2025, prior period segment information has been recast between Sales and marketing and General and administrative to conform the presentation of significant expenses used to evaluate performance by the CODM.

Three Months Ended March 31,

2025

2024

PER SHARE DATA - basic and diluted:

(in thousands, except per share data)

Net (loss) income attributable to common stockholders (basic)

(0.26)

0.15

Net (loss) income attributable to common stockholders (diluted)

(0.26)

0.15

SELECTED OTHER DATA

Broadcast and digital operating income

$           23,016

$           32,014

Broadcast and digital operating income reconciliation:

Net (loss) income attributable to common stockholders

$          (11,742)

$             7,493

Add back/(deduct) certain non-broadcast and digital operating income items included in net (loss) income:

Interest and investment income

(966)

(1,998)

Interest expense

10,924

12,998

Provision for income taxes

15,658

2,502

Corporate selling, general and administrative expenses, excluding stock-based compensation

11,484

15,892

Stock-based compensation

676

1,384

Gain on retirement of debt

(11,587)

(7,874)

Other income, net

(192)

(886)

Loss from unconsolidated joint venture

—

411

Depreciation and amortization

2,315

1,850

Net income attributable to non-controlling interests

3

242

Impairment of intangible assets

6,443

—

Broadcast and digital operating income

$           23,016

$           32,014

Adjusted EBITDA²

$           12,857

$           22,257

Adjusted EBITDA² reconciliation:

Net (loss) income attributable to common stockholders

$          (11,742)

$            7,493

Interest and investment income

(966)

(1,998)

Interest expense

10,924

12,998

Provision for income taxes

15,658

2,502

Depreciation and amortization

2,315

1,850

EBITDA

$           16,189

$           22,845

Stock-based compensation

676

1,384

Gain on retirement of debt

(11,587)

(7,874)

Other income, net

(192)

(886)

Loss from unconsolidated joint venture

—

411

Net income attributable to non-controlling interests

3

242

Corporate costs^(a)

747

5,359

Severance-related costs

219

64

Impairment of intangible assets

6,443

—

Loss from ceased non-core businesses initiatives^(b)

359

712

Adjusted EBITDA²

$           12,857

$           22,257

^(a)Corporate costs include professional fees related to the material weakness remediation efforts.

^(b)In 2024, we made an immaterial change to the definition of Adjusted EBITDA² by adding back the loss from ceased non-core operations. All historical periods were recast to reflect this immaterial change.

March 31, 2025

December 31, 2024

(in thousands)

SELECTED CONSOLIDATED BALANCE SHEET DATA:

(Unaudited)

Cash and cash equivalents and restricted cash

$       115,568

$       137,574

Intangible assets, net

474,007

490,024

Total assets

890,551

944,790

Total debt, net of issuance costs

551,494

579,069

Total liabilities

727,595

765,857

Total stockholders' equity

159,238

170,945

Redeemable non-controlling interests

3,718

7,988

March 31, 2025

Applicable Interest Rate

SELECTED LEVERAGE DATA:

(in thousands)

7.375% senior secured notes due February 2028, net of issuance costs of approximately $4.9 million (fixed rate)

$       551,494

7.375 %

Three Months Ended March 31,

$ Change

% Change

Net Revenue:

(in thousands)

Radio advertising

$          36,217

$          41,341

$         (5,124)

(12.4) %

Political advertising

150

1,237

(1,087)

(87.9) %

Digital advertising^(a)

10,211

12,167

(1,956)

(16.1) %

Cable television advertising^(a)

25,425

27,144

(1,719)

(6.3) %

Cable television affiliate fees

18,717

20,787

(2,070)

(10.0) %

Event revenues & other

1,515

1,734

(12.6) %

Net revenue

$            92,235

$         104,410

$       (12,175)

(11.7) %

^(a) Effective January 1, 2025, segment information for the prior periods has been recast to include reclassification of a portion of revenues from our CTV offering from the Digital segment to the Cable Television segment.

Three Months Ended March 31, 2025

(in thousands)

Consolidated

Radio

Broadcasting

Reach

Media

Digital

Cable

Television

All Other -

Corporate/

Eliminations

NET REVENUE

$          92,235

$          32,610

$            5,853

$          10,212

$          44,193

$             (633)

OPERATING EXPENSES:

Programming and technical

30,598

11,293

3,368

3,187

12,909

(159)

Selling, general and administrative ^(a)

50,105

18,596

3,151

6,971

12,691

8,696

Stock-based compensation

676

108

23

85

288

172

Depreciation and amortization

2,315

996

34

386

715

184

Impairment of intangible assets

6,443

6,443

—

—

—

—

Total operating expenses

90,137

37,436

6,576

10,629

26,603

8,893

Operating income (loss)

2,098

(4,826)

(723)

(417)

17,590

(9,526)

INTEREST INCOME

966

—

—

—

—

966

INTEREST EXPENSE

(10,924)

(2)

—

—

—

(10,922)

GAIN ON RETIREMENT OF DEBT

11,587

—

—

—

—

11,587

OTHER INCOME, NET

192

—

—

—

—

192

Income (loss) before income from consolidated operations before (provision for) benefit from income taxes

3,919

(4,828)

(723)

(417)

17,590

(7,703)

(PROVISION FOR) BENEFIT FROM INCOME TAXES

(15,658)

1,090

(15)

392

(3,881)

(13,244)

NET (LOSS) INCOME

(11,739)

(3,738)

(738)

(25)

13,709

(20,947)

NET INCOME ATTRIBUTABLE TO NON-CONTROLLING INTERESTS

3

—

3

—

—

—

NET (LOSS) INCOME ATTRIBUTABLE TO COMMON STOCKHOLDERS

$       (11,742)

$         (3,738)

$             (741)

$               (25)

$         13,709

$       (20,947)

Adjusted EBITDA²

$          12,857

$            2,848

$            (551)

$                  58

$          18,592

$         (8,090)

^(a) Corporate selling, general and administrative expenses have been collapsed with Selling, general and administrative expenses in the consolidated  statements of operations.

Three Months Ended March 31, 2024

(in thousands)

Consolidated

Radio

Broadcasting

Reach

Media

Digital ^(a)

Cable

Television ^(a)

All Other -

Corporate/

Eliminations

NET REVENUE

$        104,410

$          36,351

$            8,472

$          12,189

$          48,004

$             (606)

OPERATING EXPENSES:

Programming and technical

32,659

11,329

3,482

3,502

14,600

(254)

Selling, general and administrative ^(b)

55,629

19,460

3,151

6,340

14,103

12,575

Stock-based compensation

1,384

122

29

41

561

631

Depreciation and amortization

1,850

883

41

417

125

384

Total operating expenses

91,522

31,794

6,703

10,300

29,389

13,336

Operating income (loss)

12,888

4,557

1,769

1,889

18,615

(13,942)

INTEREST INCOME

1,998

—

—

—

—

1,998

INTEREST EXPENSE

(12,998)

(58)

—

—

—

(12,940)

GAIN ON RETIREMENT OF DEBT

7,874

—

—

—

—

7,874

OTHER INCOME, NET

886

—

—

—

—

886

Income (loss) before income from consolidated operations before (provision for) benefit from income taxes

10,648

4,499

1,769

1,889

18,615

(16,124)

(PROVISION FOR) BENEFIT FROM INCOME TAXES

(2,502)

2,022

(548)

569

(4,098)

(447)

NET INCOME (LOSS) FROM CONSOLIDATED OPERATIONS

8,146

6,521

1,221

2,458

14,517

(16,571)

LOSS FROM UNCONSOLIDATED JOINT VENTURE, net of tax

(411)

—

—

—

—

(411)

NET INCOME (LOSS)

7,735

6,521

1,221

2,458

14,517

(16,982)

NET INCOME ATTRIBUTABLE TO NON-CONTROLLING INTERESTS

242

—

—

—

—

242

NET INCOME (LOSS) ATTRIBUTABLE TO COMMON STOCKHOLDERS

$           7,493

$           6,521

$           1,221

$           2,458

$         14,517

$       (17,224)

Adjusted EBITDA²

$          22,257

$            5,634

$            1,830

$            2,347

$          19,301

$         (6,855)

^(a) Effective January 1, 2025, segment information for the prior periods has been recast to include reclassification of a portion of revenues from our CTV offering from Digital to Cable Television.

^(b) Corporate selling, general and administrative expenses have been collapsed with Selling, general and administrative expenses in the consolidated  statements of operations.

Notes:

¹

"Broadcast and digital operating income": The radio broadcasting industry commonly refers to "station operating income" which consists of net (loss) income before depreciation and amortization, income taxes, interest expense, interest and investment income, non-controlling interests in income of subsidiaries, other income, net, loss from unconsolidated joint venture, corporate selling, general and administrative expenses, stock-based compensation, impairment of intangible assets, and (gain) loss on retirement of debt. However, given the diverse nature of our business, station operating income is not truly reflective of our multi-media operation and, therefore, we use the term "broadcast and digital operating income." Broadcast and digital operating income is not a measure of financial performance under GAAP. Nevertheless, broadcast and digital operating income is a significant measure used by our management to evaluate the operating performance of our core operating segments. Broadcast and digital operating income provides helpful information about our results of operations, apart from expenses associated with our fixed assets and goodwill and intangible assets, income taxes, investments, impairment charges, debt financings and retirements, corporate overhead, and stock-based compensation. Our measure of broadcast and digital operating income is similar to industry use of station operating income; however, it reflects our more diverse business and therefore is not completely analogous to "station operating income" or other similarly titled measures as used by other companies. Broadcast and digital operating income does not represent operating income or loss, or cash flow from operating activities, as those terms are defined under GAAP, and should not be considered as an alternative to those measurements as an indicator of our performance.

²

"Adjusted EBITDA": Adjusted EBITDA consists of net (loss) income plus (1) depreciation and amortization, income taxes, interest expense, net income attributable to non-controlling interests, impairment of intangible assets, stock-based compensation, (gain) loss on retirement of debt, employment agreement award and other compensation, corporate development costs, severance-related costs, investment income, loss from unconsolidated joint venture, loss from ceased non-core business initiatives less (2) other income, net and interest and investment income. Net (loss) income before interest income, interest expense, income taxes, depreciation and amortization is commonly referred to in our business as "EBITDA." Adjusted EBITDA and EBITDA are not measures of financial performance under GAAP. We believe Adjusted EBITDA is often a useful measure of a company's operating performance and is a significant measure used by our management to evaluate the operating performance of our business. Accordingly, based on the previous description of Adjusted EBITDA, we believe that it provides useful information about the operating performance of our business, apart from the expenses associated with our fixed assets and goodwill and intangible assets or capital structure. Adjusted EBITDA is frequently used as one of the measures for comparing businesses in the broadcasting industry, although our measure of Adjusted EBITDA may not be comparable to similarly titled measures of other companies, including, but not limited to the fact that our definition includes the results of all four of our operating segments (Radio Broadcasting, Reach Media, Digital, and Cable Television). Business activities unrelated to these four segments are included in an "all other" category which the Company refers to as "All other - corporate/eliminations". Adjusted EBITDA and EBITDA do not purport to represent operating income or cash flow from operating activities, as those terms are defined under GAAP, and should not be considered as alternatives to those measurements as an indicator of our performance.

³

For the three months ended March 31, 2025 and 2024, Urban One had 44,421,652 and 48,385,386 shares of common stock outstanding on a weighted average basis (basic), respectively.

⁴

For the three months ended March 31, 2025 and 2024, Urban One had 44,421,652 and 49,921,803 shares of common stock outstanding on a weighted average basis (fully diluted for outstanding stock awards), respectively.