Cumulus Media Inc (NASDAQ:CMLS) Reports Mixed Q2 2025 Earnings Amid Digital Growth and Revenue Decline

Cumulus Media Inc (NASDAQ:CMLS) reported its second-quarter 2025 financial results, delivering mixed performance relative to analyst expectations. The company posted a net revenue of $186.0 million, a 9.2% year-over-year decline, slightly below the consensus estimate of $187.8 million. Adjusted for political revenue, the decline was less pronounced, reflecting ongoing challenges in the legacy media advertising landscape.

Key Financial Highlights

• Revenue: $186.0M (vs. $187.8M est.) – Missed by ~1%
• EPS: -$0.74 (vs. -$0.73 est.) – Slightly worse than expected
• Digital Revenue: $38.8M (-1.4% YoY, but +20% excluding discontinued partnerships)
• Net Loss: $12.8M (improved from $27.7M loss in Q2 2024)
• Adjusted EBITDA: $22.4M (down from $25.2M YoY)
• Cash Position: $96.7M (boosted by a $55M draw on revolving credit)
• Total Debt: $723.7M (with $23.9M due in 2026)

Market Reaction

Pre-market trading showed a sharp decline of -9.5%, indicating investor disappointment despite the relatively narrow revenue miss. The stock has struggled over the past month, down -61.2%, reflecting broader concerns about the company’s debt load and the challenging advertising environment.

Digital Growth Amid Struggles

While traditional broadcast revenue fell -13% YoY, digital marketing services grew 38%, now representing half of total digital revenue. CEO Mary Berner highlighted outperformance against radio peers, attributing gains to investments in digital sales and operational execution. However, the termination of certain partnerships (Daily Wire, Dan Bongino) weighed on digital revenue growth.

Cost Reductions & Liquidity

Cumulus executed $5M in annualized cost cuts, bringing total savings to $175M over five years. The company ended the quarter with $96.7M in cash, though this included a $55M credit facility draw, signaling liquidity management amid high leverage.

Outlook vs. Analyst Estimates

Management did not provide explicit forward guidance, but analysts expect:

• Q3 2025 Revenue: $206.6M
• Q3 EPS: -$0.49
• Full-Year 2025 Revenue: $771.1M
• Full-Year EPS: -$3.38

The lack of a bullish outlook may have contributed to the negative pre-market reaction, as investors remain cautious about the company’s ability to stabilize revenue declines.

Conclusion

Cumulus Media’s Q2 results reflect a company in transition, with digital growth offsetting declines in traditional radio. However, high debt and persistent revenue pressures continue to weigh on sentiment.

For more detailed earnings estimates and historical performance, visit Cumulus Media’s earnings page.

Disclaimer: This article is not investment advice. Investors should conduct their own research before making decisions.