CUMULUS MEDIA Reports Operating Results for the Second Quarter 2021

ATLANTA, GA — August 4, 2021: Cumulus Media Inc. (NASDAQ: CMLS) (the “Company,” “CUMULUS MEDIA,” “we,” “us,” or “our”) today announced operating results for the six months ended June 30, 2021.

Mary G. Berner, President and Chief Executive Officer of CUMULUS MEDIA, said, “This quarter’s results clearly reflect the success we are having in accelerating our positive revenue trajectory. In addition to the continued improvement in the core radio business, total digital revenue grew by 55% year-over-year, with each of our digital channels posting new all-time highs. Additionally, we enhanced our considerable stronghold in the news/talk ecosystem with The Dan Bongino Show, now on over 300 radio stations – the largest launch ever for a new and original syndication. We also significantly deepened our position in the fast-growing sports betting space with an innovative and expansive multi-year, multi-platform marketing and content partnership with WynnBET, which is poised to become one of our largest clients through this new relationship.”

Berner added, “We continue to reduce the Company’s fixed cost structure, increasing our expectation for fixed cost reductions to $70 million in 2022 from our prior guidance of $50 million versus the 2019 baseline. Additionally, we bolstered our cash and balance sheet with the highly accretive, $34 million monetization of our Nashville real estate. Looking forward, we are confident that we will see significant top-line growth and meaningful recovery in EBITDA, which, along with our substantial financial flexibility, gives us multiple pathways for continued growth of shareholder value.”

Key Highlights:

  • Delivered continued positive revenue trajectory across all ad channels
    • Increased total revenue by 54% year-over-year
    • Increased digital revenue by 55% year-over-year with streaming, local digital marketing services and podcasting revenue streams all reaching new all-time highs
  • Announced multiple major platform-wide partnerships with meaningful upside
    • Launched The Dan Bongino Show (an extension of our successful podcast relationship), which now has 300+ affiliates, a record-breaking start for a new and original syndicated show
    • Established strong beachhead in the sports betting sector through unique multi-year partnership with WynnBET, the premier mobile sports betting app from Wynn Resorts
  • Enhanced margins and operating leverage from fixed cost actions
    • Realized more than $10 million of year-over-year permanent cost reductions in the quarter
    • Announced an additional $20 million of permanent fixed cost reductions expected to be realized in 2022 (now anticipating more than $70 million in aggregate vs. 2019 baseline)
  • Further strengthened balance sheet with $175 million debt paydown
    • Finished the quarter with $125 million of cash on hand (excluding the aforementioned debt paydown, an increase of $6 million compared with March 31, 2021)
    • Reported total debt of $826 million at June 30, 2021, and net debt of $701 million
  • Completed $34 million sale of Nashville non-core real estate on August 2, 2021
    • Proceeds required to pay down debt, subject to reinvestment rights
    • Results in slight operating income benefit with no business impact

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