Photo Credit: Indra Projects
iHeartMedia announces its Q3 financial results, with layoffs trimming $150 million in 2025 costs to curb outstanding debt.
iHeartMedia’s third-quarter financial results spell positive news for the company amid the layoff of hundreds of employees. The company brought in $1.008 billion during the quarter, representing a 5.8% increase compared to the same period in 2023.
Revenue for the company’s Digital Audio Group rose by 13% to $301 million, with podcast revenue alone increasing by 11%. The company brought in $114 million in revenue from the category during the quarter.
Multiplatform Group revenue dropped slightly, down 1% to $620 million. The Audio & Media Services Group sector saw an impressive growth in revenue with 45%, earning $90 million.
“We’re pleased to report that our third quarter results were in line with our previously provided Adjusted EBITDA and Revenue guidance ranges,” said iHeartMedia Chairman/CEO Bob Pittman.
“We continue to see evidence that this is a recovery year for advertising revenues, and the strong momentum in our podcast business, our digital ex-podcast business, and the sequential improvement of our Multiplatform Group’s year-over-year revenue performance reflect the power of our unparalleled reach, consumer relationships, and range of assets.”
The radio giant also announced a debt restructuring that includes a $4.1 billion debt exchange, projected to extend maturities by three years.
“We’re happy to announce that we have entered into a Transaction Support Agreement with a group of debt holders representing, on an aggregate basis, approximately 80% of the Company’s outstanding debt to support an exchange of approximately $4.1 billion of debt for new notes and term loans,” adds Rich Bressler, iHeartMedia’s President, COO, and CFO.
“The exchange offers will extend maturities by three years, keep consolidated annual cash interest essentially flat, and provide debt reduction — all of which will strengthen the Company’s financial flexibility, and provide us with the runway to accelerate our strategic growth initiatives.”
The company’s good news in the realm of revenue increases comes hot on the heels of widespread layoffs at iHeartMedia, which began last week. iHeartMedia is cutting roughly 5% of its workforce, which amounts to about 500 employees losing their jobs.