Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2022 | Aug. 01, 2022 | |
Document Information [Line Items] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2022 | |
Document Fiscal Year Focus | 2022 | |
Document Fiscal Period Focus | Q2 | |
Trading Symbol | EVC | |
Entity Registrant Name | ENTRAVISION COMMUNICATIONS CORPORATION | |
Entity Central Index Key | 0001109116 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity File Number | 1-15997 | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 95-4783236 | |
Entity Address, Address Line One | 2425 Olympic Boulevard | |
Entity Address, Address Line Two | Suite 6000 West | |
Entity Address, City or Town | Santa Monica | |
Entity Address, State or Province | CA | |
Entity Address, Postal Zip Code | 90404 | |
City Area Code | 310 | |
Local Phone Number | 447-3870 | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Title of 12(b) Security | Class A Common stock | |
Security Exchange Name | NYSE | |
Class A common stock | ||
Document Information [Line Items] | ||
Entity Common Stock, Shares Outstanding | 61,465,531 | |
Class B common stock | ||
Document Information [Line Items] | ||
Entity Common Stock, Shares Outstanding | 14,127,613 | |
Class U common stock | ||
Document Information [Line Items] | ||
Entity Common Stock, Shares Outstanding | 9,352,729 |
Consolidated Balance Sheets (Un
Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Current assets | ||
Cash and cash equivalents | $ 109,950 | $ 185,094 |
Marketable securities | 74,278 | |
Restricted cash | 750 | 749 |
Trade receivables, (including related parties of $6,028 and $8,162) net of allowance for doubtful accounts of $6,763 and $6,398 | 184,872 | 201,747 |
Assets held for sale | 1,963 | |
Prepaid expenses and other current assets (including related parties of $274 and $274) | 37,029 | 18,925 |
Total current assets | 406,879 | 408,478 |
Property and equipment, net of accumulated depreciation of $190,316 and $183,930 | 58,274 | 62,498 |
Intangible assets subject to amortization, net of accumulated amortization of $109,789 and $104,687 (including related parties of $4,178 and $4,642) | 58,931 | 64,034 |
Intangible assets not subject to amortization | 209,053 | 209,053 |
Goodwill | 73,273 | 71,708 |
Deferred income taxes | 1,462 | 1,462 |
Operating leases right of use asset | 24,356 | 25,582 |
Other assets | 7,975 | 8,527 |
Total assets | 840,203 | 851,342 |
Current liabilities | ||
Current maturities of long-term debt | 4,795 | 4,903 |
Accounts payable and accrued expenses (including related parties of $1,235 and $1,920) | 229,953 | 212,655 |
Operating lease liabilities | 6,097 | 7,304 |
Total current liabilities | 240,845 | 224,862 |
Long-term debt, less current maturities, net of unamortized debt issuance costs of $1,532 and $1,851 | 206,218 | 207,416 |
Long-term operating lease liabilities | 20,802 | 20,988 |
Other long-term liabilities | 49,135 | 72,930 |
Deferred income taxes | 67,910 | 68,220 |
Total liabilities | 584,910 | 594,416 |
Commitments and contingencies (note 6) | ||
Stockholders' equity | ||
Additional paid-in capital | 769,977 | 780,388 |
Accumulated deficit | (512,140) | (522,494) |
Accumulated other comprehensive income (loss) | (2,553) | (977) |
Total stockholders' equity | 255,293 | 256,926 |
Total liabilities and stockholders' equity | 840,203 | 851,342 |
Class A common stock | ||
Stockholders' equity | ||
Common stock | 6 | 6 |
Class B common stock | ||
Stockholders' equity | ||
Common stock | 2 | 2 |
Class U common stock | ||
Stockholders' equity | ||
Common stock | $ 1 | $ 1 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) (Unaudited) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Trade receivables, related parties | $ 6,028 | $ 8,162 |
Trade receivables, allowance for doubtful accounts | 6,763 | 6,398 |
Prepaid expenses and other current assets | 37,029 | 18,925 |
Property and equipment, accumulated depreciation | 190,316 | 183,930 |
Accumulated amortization of Intangible assets | 109,789 | 104,687 |
Intangible assets subject to amortization, net | 58,931 | 64,034 |
Accounts payable and accrued expenses | 229,953 | 212,655 |
Unamortized debt issuance costs | 1,532 | 1,851 |
Related Parties | ||
Prepaid expenses and other current assets | 274 | 274 |
Intangible assets subject to amortization, net | 4,178 | 4,642 |
Accounts payable and accrued expenses | $ 1,235 | $ 1,920 |
Class A common stock | ||
Common stock, par value | $ 0.0001 | $ 0.0001 |
Common stock, shares authorized | 260,000,000 | 260,000,000 |
Common stock, shares issued | 61,465,531 | 63,116,896 |
Common stock, shares outstanding | 61,465,531 | 63,116,896 |
Class B common stock | ||
Common stock, par value | $ 0.0001 | $ 0.0001 |
Common stock, shares authorized | 40,000,000 | 40,000,000 |
Common stock, shares issued | 14,127,613 | 14,127,613 |
Common stock, shares outstanding | 14,127,613 | 14,127,613 |
Class U common stock | ||
Common stock, par value | $ 0.0001 | $ 0.0001 |
Common stock, shares authorized | 40,000,000 | 40,000,000 |
Common stock, shares issued | 9,352,729 | 9,352,729 |
Common stock, shares outstanding | 9,352,729 | 9,352,729 |
Consolidated Statements of Oper
Consolidated Statements of Operations (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Net revenue | $ 221,695 | $ 178,410 | $ 418,867 | $ 327,290 |
Expenses: | ||||
Cost of revenue | 144,965 | 109,030 | 274,856 | 193,786 |
Direct operating expenses (including related parties of $1,752, $1,952, $3,328 and $3,889) (including non-cash stock-based compensation of $939, $334, $1,897 and $650) | 29,596 | 28,336 | 57,419 | 54,897 |
Selling, general and administrative expenses | 17,775 | 13,106 | 33,814 | 26,959 |
Corporate expenses (including non-cash stock-based compensation of $1,697, $801, $3,312 and $1,556) | 8,520 | 7,345 | 17,244 | 14,503 |
Depreciation and amortization (includes direct operating of $4,287, $3,787, $8,637 and $7,629; selling, general and administrative of $1,920, $1,170, $3,887 and $2,324; and corporate of $56, $117, $134 and $305) (including related parties of $232, $308, $463 and $615) | 6,263 | 5,074 | 12,658 | 10,258 |
Change in fair value of contingent consideration | 976 | 6,076 | ||
Impairment charge | 112 | 1,438 | ||
Foreign currency (gain) loss | 993 | (309) | 146 | 277 |
Other operating (gain) loss | (834) | (523) | (953) | (2,436) |
Operating income (loss) | 13,441 | 16,239 | 17,607 | 27,608 |
Interest expense | (2,334) | (1,856) | (4,170) | (3,573) |
Interest income | 722 | 83 | 1,128 | 223 |
Dividend income | 11 | 2 | 14 | 4 |
Income (loss) before income taxes | 11,840 | 14,468 | 14,579 | 24,262 |
Income tax benefit (expense) | (3,373) | (3,992) | (4,225) | (6,784) |
Net income (loss) | 8,467 | 10,476 | 10,354 | 17,478 |
Net (income) loss attributable to redeemable noncontrolling interest | (2,612) | (4,185) | ||
Net income (loss) attributable to common stockholders | $ 8,467 | $ 7,864 | $ 10,354 | $ 13,293 |
Basic and diluted earnings per share: | ||||
Net income (loss) per share attributable to common stockholders, basic | $ 0.10 | $ 0.09 | $ 0.12 | $ 0.16 |
Net income (loss) per share attributable to common stockholders, diluted | 0.10 | 0.09 | 0.12 | 0.15 |
Cash dividends declared per common share | $ 0.03 | $ 0.03 | $ 0.05 | $ 0.05 |
Weighted average common shares outstanding, basic | 84,959,130 | 85,188,182 | 85,735,916 | 85,115,310 |
Weighted average common shares outstanding, diluted | 86,985,817 | 87,777,039 | 87,803,178 | 87,382,215 |
Consolidated Statements of Op_2
Consolidated Statements of Operations (Parenthetical) (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Direct operating expenses | $ 29,596 | $ 28,336 | $ 57,419 | $ 54,897 |
Non-cash stock-based compensation | 5,209 | 2,206 | ||
Depreciation and amortization | 6,263 | 5,074 | 12,658 | 10,258 |
Related Parties | ||||
Direct operating expenses | 1,752 | 1,952 | 3,328 | 3,889 |
Depreciation and amortization | 232 | 308 | 463 | 615 |
Direct Operating Expenses | ||||
Non-cash stock-based compensation | 939 | 334 | 1,897 | 650 |
Depreciation and amortization | 4,287 | 3,787 | 8,637 | 7,629 |
Corporate Expenses | ||||
Non-cash stock-based compensation | 1,697 | 801 | 3,312 | 1,556 |
Depreciation and amortization | 56 | 117 | 134 | 305 |
Selling, General and Administrative Expenses | ||||
Depreciation and amortization | $ 1,920 | $ 1,170 | $ 3,887 | $ 2,324 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Loss) (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income (loss) | $ 8,467 | $ 10,476 | $ 10,354 | $ 17,478 |
Other comprehensive income (loss), net of tax: | ||||
Change in foreign currency translation | (43) | (271) | (43) | 136 |
Change in fair value of available for sale securities | (1,250) | (39) | (1,533) | (108) |
Total other comprehensive income (loss) | (1,293) | (310) | (1,576) | 28 |
Comprehensive income (loss) | 7,174 | 10,166 | 8,778 | 17,506 |
Comprehensive (income) loss attributable to redeemable noncontrolling interests | (2,612) | (4,185) | ||
Comprehensive income (loss) attributable to common stockholders | $ 7,174 | $ 7,554 | $ 8,778 | $ 13,321 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands | Total | Class A common stock | Class B common stock | Class U common stock | Common Stock Class A common stock | Common Stock Class B common stock | Common Stock Class U common stock | Treasury Stock | Additional Paid-in Capital | Accumulated Deficit | Accumulated Other Comprehensive Income (Loss) |
Balance, Beginning at Dec. 31, 2020 | $ 275,980 | $ 6 | $ 2 | $ 1 | $ 828,813 | $ (551,786) | $ (1,056) | ||||
Balance, Beginning, Shares at Dec. 31, 2020 | 60,759,405 | 14,927,613 | 9,352,729 | ||||||||
Issuance of common stock upon exercise of stock options or awards of restricted stock units | (9) | (9) | |||||||||
Issuance of common stock upon exercise of stock options or awards of restricted stock units, Shares | 6,045 | ||||||||||
Stock-based compensation expense | 1,071 | 1,071 | |||||||||
Dividends paid | (2,126) | (2,126) | |||||||||
Change in fair value of marketable securities | (69) | (69) | |||||||||
Foreign currency translation gain (loss) | 407 | 407 | |||||||||
Net income (loss) attributable to common stockholders | 5,429 | 5,429 | |||||||||
Balance, Ending at Mar. 31, 2021 | 280,683 | $ 6 | $ 2 | $ 1 | 827,749 | (546,357) | (718) | ||||
Balance, Ending, Shares at Mar. 31, 2021 | 60,765,450 | 14,927,613 | 9,352,729 | ||||||||
Balance, Beginning at Dec. 31, 2020 | 275,980 | $ 6 | $ 2 | $ 1 | 828,813 | (551,786) | (1,056) | ||||
Balance, Beginning, Shares at Dec. 31, 2020 | 60,759,405 | 14,927,613 | 9,352,729 | ||||||||
Foreign currency translation gain (loss) | 136 | ||||||||||
Net income (loss) attributable to common stockholders | 13,293 | ||||||||||
Balance, Ending at Jun. 30, 2021 | 286,962 | $ 6 | $ 2 | $ 1 | 826,474 | (538,493) | (1,028) | ||||
Balance, Ending, Shares at Jun. 30, 2021 | 61,189,644 | 14,807,613 | 9,352,729 | ||||||||
Balance, Beginning at Mar. 31, 2021 | 280,683 | $ 6 | $ 2 | $ 1 | 827,749 | (546,357) | (718) | ||||
Balance, Beginning, Shares at Mar. 31, 2021 | 60,765,450 | 14,927,613 | 9,352,729 | ||||||||
Issuance of common stock upon exercise of stock options or awards of restricted stock units | (277) | (277) | |||||||||
Issuance of common stock upon exercise of stock options or awards of restricted stock units, Shares | 304,194 | ||||||||||
Stock-based compensation expense | 1,135 | 1,135 | |||||||||
Class B common stock exchanged for Class A common stock, shares | 120,000 | (120,000) | |||||||||
Dividends paid | (2,133) | (2,133) | |||||||||
Change in fair value of marketable securities | (39) | (39) | |||||||||
Foreign currency translation gain (loss) | (271) | (271) | |||||||||
Net income (loss) attributable to common stockholders | 7,864 | 7,864 | |||||||||
Balance, Ending at Jun. 30, 2021 | 286,962 | $ 6 | $ 2 | $ 1 | 826,474 | (538,493) | (1,028) | ||||
Balance, Ending, Shares at Jun. 30, 2021 | 61,189,644 | 14,807,613 | 9,352,729 | ||||||||
Balance, Beginning at Dec. 31, 2021 | 256,926 | $ 6 | $ 2 | $ 1 | 780,388 | (522,494) | (977) | ||||
Balance, Beginning, Shares at Dec. 31, 2021 | 63,116,896 | 14,127,613 | 9,352,729 | 63,116,896 | 14,127,613 | 9,352,729 | |||||
Issuance of common stock upon exercise of stock options or awards of restricted stock units | 218 | 218 | |||||||||
Issuance of common stock upon exercise of stock options or awards of restricted stock units, Shares | 66,000 | ||||||||||
Tax payments related to shares withheld for share-based compensation plans | (257) | (257) | |||||||||
Tax payments related to shares withheld for share-based compensation plans, shares | 14,955 | ||||||||||
Stock-based compensation expense | 2,573 | 2,573 | |||||||||
Repurchase of Class A common stock | (7,142) | (7,142) | |||||||||
Repurchase of Class A common stock, shares | (1,114,470) | 1,114,470 | |||||||||
Retirement of treasury stock, shares | (1,114,470) | ||||||||||
Dividends paid | (2,167) | (2,167) | |||||||||
Change in fair value of marketable securities | (283) | (283) | |||||||||
Net income (loss) attributable to common stockholders | 1,887 | 1,887 | |||||||||
Balance, Ending at Mar. 31, 2022 | 251,755 | $ 6 | $ 2 | $ 1 | 773,613 | (520,607) | (1,260) | ||||
Balance, Ending, Shares at Mar. 31, 2022 | 62,083,381 | 14,127,613 | 9,352,729 | ||||||||
Balance, Beginning at Dec. 31, 2021 | 256,926 | $ 6 | $ 2 | $ 1 | 780,388 | (522,494) | (977) | ||||
Balance, Beginning, Shares at Dec. 31, 2021 | 63,116,896 | 14,127,613 | 9,352,729 | 63,116,896 | 14,127,613 | 9,352,729 | |||||
Repurchase of Class A common stock | $ (11,300) | ||||||||||
Repurchase of Class A common stock, shares | (1,800,000) | ||||||||||
Foreign currency translation gain (loss) | (43) | ||||||||||
Net income (loss) attributable to common stockholders | 10,354 | ||||||||||
Balance, Ending at Jun. 30, 2022 | 255,293 | $ 6 | $ 2 | $ 1 | 769,977 | (512,140) | (2,553) | ||||
Balance, Ending, Shares at Jun. 30, 2022 | 61,465,531 | 14,127,613 | 9,352,729 | 61,465,531 | 14,127,613 | 9,352,729 | |||||
Balance, Beginning at Mar. 31, 2022 | 251,755 | $ 6 | $ 2 | $ 1 | 773,613 | (520,607) | (1,260) | ||||
Balance, Beginning, Shares at Mar. 31, 2022 | 62,083,381 | 14,127,613 | 9,352,729 | ||||||||
Tax payments related to shares withheld for share-based compensation plans | (10) | (10) | |||||||||
Tax payments related to shares withheld for share-based compensation plans, shares | 20,681 | ||||||||||
Stock-based compensation expense | 2,636 | 2,636 | |||||||||
Repurchase of Class A common stock | (4,138) | $ (4,100) | (4,138) | ||||||||
Repurchase of Class A common stock, shares | (600,000) | (638,531) | (638,531) | ||||||||
Retirement of treasury stock, shares | (638,531) | ||||||||||
Dividends paid | (2,124) | (2,124) | |||||||||
Change in fair value of marketable securities | (1,250) | (1,250) | |||||||||
Foreign currency translation gain (loss) | (43) | (43) | |||||||||
Net income (loss) attributable to common stockholders | 8,467 | 8,467 | |||||||||
Balance, Ending at Jun. 30, 2022 | $ 255,293 | $ 6 | $ 2 | $ 1 | $ 769,977 | $ (512,140) | $ (2,553) | ||||
Balance, Ending, Shares at Jun. 30, 2022 | 61,465,531 | 14,127,613 | 9,352,729 | 61,465,531 | 14,127,613 | 9,352,729 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Cash flows from operating activities: | ||
Net income (loss) | $ 10,354 | $ 17,478 |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ||
Depreciation and amortization | 12,658 | 10,258 |
Impairment charge | 1,438 | |
Deferred income taxes | (3,213) | 3,699 |
Non-cash interest | 711 | 298 |
Amortization of syndication contracts | 231 | 238 |
Payments on syndication contracts | (234) | (239) |
Non-cash stock-based compensation | 5,209 | 2,206 |
(Gain) loss on disposal of property and equipment | (638) | |
Change in fair value of contingent consideration | 6,076 | |
Changes in assets and liabilities: | ||
(Increase) decrease in accounts receivable | 17,588 | 467 |
(Increase) decrease in prepaid expenses and other assets | (1,252) | 2,909 |
Increase (decrease) in accounts payable, accrued expenses and other liabilities | 15,416 | 5,633 |
Net cash provided by operating activities | 62,906 | 44,385 |
Cash flows from investing activities: | ||
Proceeds from sale of property and equipment and intangibles | 2,671 | |
Purchases of property and equipment | (3,209) | (2,836) |
Purchases of marketable securities | (87,239) | |
Proceeds from marketable securities | 10,499 | 17,800 |
Net cash provided by (used in) investing activities | (77,278) | 14,964 |
Cash flows from financing activities: | ||
Proceeds from stock option exercises | 218 | 172 |
Tax payments related to shares withheld for share-based compensation plans | (267) | (458) |
Payments on long-term debt | (1,500) | (1,500) |
Dividends paid | (4,291) | (4,259) |
Repurchase of Class A common stock | (11,280) | |
Payment of contingent consideration | (43,606) | |
Pricipal payments under finance lease obligation | (39) | |
Payments of capitalized debt costs | (604) | |
Net cash used in financing activities | (60,765) | (6,649) |
Effect of exchange rates on cash, cash equivalents and restricted cash | (6) | |
Net increase (decrease) in cash, cash equivalents and restricted cash | (75,143) | 52,700 |
Cash, cash equivalents and restricted cash: | ||
Beginning | 185,843 | 119,911 |
Ending | 110,700 | 172,611 |
Cash payments for: | ||
Interest | 3,459 | 3,275 |
Income taxes | 7,438 | 3,085 |
Supplemental disclosures of non-cash investing and financing activities: | ||
Capital expenditures financed through accounts payable, accrued expenses and other liabilities | $ 1,150 | $ 956 |
Basis of Presentation
Basis of Presentation | 6 Months Ended |
Jun. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | 1. BASIS OF PRESENTATION Presentation The consolidated financial statements included herein have been prepared by Entravision Communications Corporation (the “Company”), pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”). Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) have been omitted pursuant to such rules and regulations. These consolidated financial statements and notes thereto should be read in conjunction with the Company’s audited consolidated financial statements for the year ended December 31, 2021 included in the Company’s 2021 10-K for the year ended December 31, 2021. The unaudited information contained herein has been prepared on the same basis as the Company’s audited consolidated financial statements and, in the opinion of the Company’s management, includes all adjustments (consisting of only normal recurring adjustments) necessary for a fair presentation of the information for the periods presented. The interim results presented herein are not necessarily indicative of the results of operations that may be expected for the full fiscal year ending December 31, 2022 or any other future period. |
The Company and Significant Acc
The Company and Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2022 | |
Accounting Policies [Abstract] | |
The Company and Significant Accounting Policies | 2. THE COMPANY AND SIGNIFICANT ACCOUNTING POLICIES Nature of Business The Company is a leading global advertising solutions, media and technology company. The Company's operations encompass integrated, end-to-end advertising solutions across multiple media, comprised of digital, television and audio properties. The Company's digital segment, whose operations are located in Latin America, Europe, the United States, Asia and Africa, reaches a global market, with a focus on advertisers in emerging economies that wish to advertise on digital platforms owned and operated primarily by global media companies. The Company's television and audio operations reach and engage U.S. Hispanics. The Company's management has determined that the Company operates in three reportable segments as of June 30, 2022, based upon the type of advertising medium: digital, television and audio. The Company's digital segment provides digital end-to-end advertising solutions that allow advertisers to reach online users worldwide. These solutions are comprised of four separate business units: • the Company's digital commercial partnerships business; • Smadex, the Company's programmatic ad purchasing platform; • the Company's branding and mobile performance solutions business; and • the Company's digital audio business. Through the Company's digital commercial partnerships business – the largest of its digital business units – the Company acts as an intermediary between primarily global media companies and advertising customers or their ad agencies. The global media companies represented by the Company include Meta Platforms, or Meta (formerly known as Facebook Inc.), Twitter, Inc., or Twitter, ByteDance Ltd., also known as TikTok, and Spotify AB, or Spotify, as well as other media companies, in more than 30 countries throughout the world. The Company's dedicated local sales teams sell advertising space on these and other media companies' digital platforms to its advertising customers or their ad agencies for the placement of ads directed to online users of a wide range of Internet-connected devices. The Company also provides some of its advertising customers billing, technological and other support, including strategic marketing and training, which it refers to as managed services. Smadex is the Company's proprietary automated purchasing platform, on which advertisers can purchase ad inventory. This practice – the purchase and sale of advertising inventory electronically – is referred to in the Company's industry as programmatic advertising. Smadex is also a “demand-side" platform, which allows advertisers to purchase space from online marketplaces on which media companies list their advertising inventory. Most advertisements acquired through Smadex are placed on mobile devices, but they may also be placed on computers and other Internet-connected devices. The Company also provides managed services to some of its advertising customers in connection with their use of the Smadex platform. The Company also offers a branding and mobile performance solutions business, which provides managed services to advertisers looking to connect with consumers, primarily on mobile devices. The Company's digital audio business provides digital audio advertising solutions for advertisers in the Americas. The Company also has a diversified media portfolio that targets U.S. Hispanic audiences. The Company owns and/or operates 49 primary television stations locat ed primarily in California, Colorado, Connecticut, Florida, Kansas, Massachusetts, Nevada, New Mexico, Texas and Washington, D.C. The Company’s television operations comprise the largest affiliate group of both the top-ranked primary Univision television network of TelevisaUnivision Inc. (“TelevisaUnivision”) and TelevisaUnivision’s UniMás network. The Company owns and operates 45 radio stations in 14 U.S. markets. Its radio stations consist of 37 FM and 8 AM stations located in Arizona, California, Colorado, Florida, Nevada, N ew Mexico and Texas. The Company also sells advertisements and syndicates radio programming to more than 100 markets across the United States. The Impact of the COVID-19 Pandemic on the Company’s Business The COVID-19 pandemic had a minimal impact on the Company's business during the quarter ended June 30, 2022. Subject to the extent and duration of possible resurgences of the pandemic from time to time and the continuing uncertain economic environment that has resulted, in part, from the pandemic, the Company anticipates that the pandemic will continue to have little effect on its business, from both an operational and financial perspective, in future periods. Nonetheless, the Company remains cautious due to the unpredictable nature of the pandemic and its effects. The Company also cannot give any assurance whether a resurgence or more prolonged impact of the pandemic in any location where its operations have employees or operates would not adversely affect its operations. The Company elected to defer the employer portion of the social security payroll tax ( 6.2 %) as provided in the Coronavirus Aid, Relief and Economic Security Act of 2020, commonly known as the CARES Act. The deferral was effective from March 27, 2020 through December 31, 2020. The deferred amount is considered to be timely paid if 50 % is paid by December 31, 2021 and the remainder is paid by December 31, 2022. During the year ended December 31, 2021, the Company paid 50 % of the deferred amount . The Company believes that its liquidity and capital resources remain adequate and that it can meet current expenses for at least the next twelve months from a combination of cash on hand and cash flows from operations. Restricted Cash As of June 30, 2022 and December 31, 2021, the Company’s balance she et includes $ 0.7 milli on in restricted cash, which was deposited into a separate account as collateral for the Company’s letters of credit. The Company's cash and cash equivalents and restricted cash, as presented in the Consolidated Statements of Cash Flows, was as follows (in thousands): Six-Month Period Ended June 30, 2022 2021 Cash and cash equivalents $ 109,950 $ 171,862 Restricted cash 750 749 Total as presented in the Consolidated Statements of Cash Flows $ 110,700 $ 172,611 Related Party Substantially all of the Company’s television stations are Univision- or UniMás-affiliated television stations. The network affiliation agreement with TelevisaUnivision provides certain of the Company’s owned stations the exclusive right to broadcast TelevisaUnivision’s primary Univision network and UniMás network programming in their respective markets. Under the network affiliation agreement, the Company retains the right to sell no less than four minutes per hour of the available advertising time on stations that broadcast Univision network programming, and the right to sell approximately four and a half minutes per hour of the available advertising time on stations that broadcast UniMás network programming, subject to adjustment from time to time by TelevisaUnivision. Under the network affiliation agreement, TelevisaUnivision acts as the Company’s exclusive third-party sales representative for the sale of certain national advertising on the Univision- and UniMás-affiliate television stations, and the Company pays certain sales representation fees to TelevisaUnivision relating to sales of all advertising for broadcast on its Univision- and UniMás-affiliate television stations. During the three-month periods ended June 30, 2022 and 2021, the amount the Company paid TelevisaUnivision in this capacity w as $ 1.8 milli on and $ 2.0 million, respectively. During the six-month periods ended June 30, 2022 and 2021, the amount the Company paid TelevisaUnivision in this capacity w as $ 3.3 milli on and $ 3.9 million, respectively. The Company also generates revenue under a marketing and sales agreement with TelevisaUnivision, which give it the right to manage the marketing and sales operations of TelevisaUnivision-owned Univision affiliates in three markets – Albuquerque, Boston and Denver. Under the Company’s current proxy agreement with TelevisaUnivision, the Company grants TelevisaUnivision the right to negotiate the terms of retransmission consent agreements for its Univision- and UniMás-affiliated television station signals. Among other things, the proxy agreement provides terms relating to compensation to be paid to the Company by TelevisaUnivision with respect to retransmission consent agreements entered into with multichannel video programming distributors, (“MVPDs”). As of June 30, 2022, the amount due to the Company from TelevisaUni vision was $ 6.0 million re lated to the agreements for the carriage of its Univision and UniMás-affiliated television station signals. During the three-month periods ended June 30, 2022 and 2021, retransmission consent revenue accounted for approxi mately $ 9.0 million and $ 9.3 million, respectively, of which $ 6.2 million and $ 6.5 million, respectively, relate to the TelevisaUnivision proxy agreement. During the six-month periods ended June 30, 2022 and 2021, retransmission consent revenue accounted for approximate ly $ 18.2 million and $ 18.9 million, respectively, of which $ 12.5 million and $ 13.3 mill ion, respectively, relate to the TelevisaUnivision proxy agreement. The term of the proxy agreement extends with respect to any MVPD for the length of the term of any retransmission consent agreement in effect before the expiration of the proxy agreement. TelevisaUnivision currently owns approximately 11 % of the Company’s common stock on a fully-converted basis. The Company’s Class U common stock, all of which is held by TelevisaUnivision, has limited voting rights and does not include the right to elect directors. Each share of Class U common stock is automatically convertible into one share of the Company’s Class A common stock (subject to adjustment for stock splits, dividends or combinations) in connection with any transfer of such shares of Class U common stock to a third party that is not an affiliate of TelevisaUnivision. In addition, as the holder of all of the Company’s issued and outstanding Class U common stock, so long as TelevisaUnivision holds a certain number of shares of Class U common stock, the Company may not, without the consent of TelevisaUnivision, merge, consolidate or enter into a business combination, dissolve or liquidate the Company or dispose of any interest in any Federal Communications Commission (“FCC”) license with respect to television stations which are affiliates of TelevisaUnivision, among other things. Stock-Based Compensation The Company measures all stock-based awards using a fair value method and recognizes the related stock-based compensation expense in the consolidated financial statements over the requisite service period. As stock-based compensation expense recognized in the Company’s consolidated financial statements is based on awards ultimately expected to vest, it has been reduced for estimated forfeitures. Stock-based compensation expense related to grants of stock options and restricted stock units was $ 2.6 million and $ 1.1 million for the three-month periods ended June 30, 2022 and 2021, respectively. Stock-based compensation expense related to grants of stock options and restricted stock units was $ 5.2 million and $ 2.2 million for the six-month periods ended June 30, 2022 and 2021, respectively Stock Options Stock-based compensation expense related to stock options is based on the fair value on the date of grant using the Black-Scholes option pricing model and is amortized over the vesting period, generally between 1 to 4 years . For the three- and six-month periods ended June 30, 2022 and 2021, there was no stock-based compensation expense related to grants of stock options. All grants of stock options have been fully expensed. Restricted Stock Units Stock-based compensation expense related to restricted stock units is based on the fair value of the Company’s stock price on the date of grant and is amortized over the vesting period, generally between 1 to 4 years . The following is a summary of non-vested restricted stock units granted (in thousands, except grant date fair value data): Three-Month Period Six-Month Period Ended June 30, Ended June 30, 2022 2021 2022 2021 Restricted stock units granted 122 85 175 85 Weighted average fair value $ 5.13 $ 4.69 $ 5.41 $ 4.69 As of June 30, 2022, there was approximat ely $ 10.6 million of total unrecognized compensation expense related to grants of restricted stock units that is expected to be recognized over a weighted-average period of 1.5 years. Income (Loss) Per Share The following table illustrates the reconciliation of the basic and diluted income (loss) per share computations required by Accounting Standards Codification ("ASC") 260-10, “Earnings per Share” (in thousands, except share and per share data): Basic income (loss) per share is computed as net income (loss) divided by the weighted average number of shares outstanding for the period. Diluted income (loss) per share reflects the potential dilution, if any, that could occur from shares issuable through stock options and restricted stock awards. Three-Month Period Six-Month Period Ended June 30, Ended June 30, 2022 2021 2022 2021 Basic earnings per share: Numerator: Net income (loss) attributable to common stockholders $ 8,467 $ 7,864 $ 10,354 $ 13,293 Denominator: Weighted average common shares outstanding 84,959,130 85,188,182 85,735,916 85,115,310 Per share: Net income (loss) per share attributable to common stockholders $ 0.10 $ 0.09 $ 0.12 $ 0.16 Diluted earnings per share: Numerator: Net income (loss) attributable to common stockholders $ 8,467 $ 7,864 $ 10,354 $ 13,293 Denominator: Weighted average common shares outstanding 84,959,130 85,188,182 85,735,916 85,115,310 Dilutive securities: Stock options and restricted stock units 2,026,687 2,588,857 2,067,262 2,266,905 Diluted shares outstanding 86,985,817 87,777,039 87,803,178 87,382,215 Per share: Net income (loss) per share attributable to common stockholders $ 0.10 $ 0.09 $ 0.12 $ 0.15 For the three- and six-month periods ended June 30, 2022, a total of 81,700 and 49,556 shares, respectively, of dilutive securities were not included in the computation of diluted income per share because the exercise prices of the dilutive securities were greater than the average market price of the common shares. For the three- and six-month periods ended June 30, 2021, a total of 684 and 342 shares, respectively, of dilutive securities were not included in the computation of diluted income per share because the exercise prices of the dilutive securities were greater than the average market price of the common shares. Treasury Stock On March 1, 2022, the Company's Board of Directors approved a share repurchase of up to $ 20 million of the Company's common stock. Under this share repurchase program, the Company is authorized to purchase shares of its common stock from time to time through open market purchases or negotiated purchases, subject to market conditions and other factors. On the same date, the Board terminated the Company's previous share repurchase program of up to $ 45 million of the Company's common stock. In the three-month period ended June 30, 2022, the Company repurchased 0.6 million shares of its Class A common stock under the new share repurchase program for an aggregate purchase price of $ 4.1 million, or an average price per share of $ 6.48 . As of June 30 , 2022 , the Company has repurchased a total of 1.8 million shares of its Class A common stock under the new share repurchase program for an aggregate purchase price of $ 11.3 million, or an average price per share of $ 6.43 . A ll such repurchased shares were retired as of June 30, 2022. Treasury stock is included as a deduction from equity in the Stockholders’ Equity section of the Consolidated Balance Sheets. Shares repurchased pursuant to the Company’s share repurchase program are retired during the same calendar year. 2017 Credit Facility On November 30, 2017 (the “Closing Date”), the Company entered into its 2017 Credit Facility pursuant to the 2017 Credit Agreement. The 2017 Credit Facility consists of a $ 300.0 million senior secured Term Loan B Facility (the “Term Loan B Facility”), which was drawn in full on the Closing Date. In addition, the 2017 Credit Facility provides that the Company may increase the aggregate principal amount of the 2017 Credit Facility by up to an additional $ 100.0 million plus the amount that would result in its first lien net leverage ratio (as such term is used in the 2017 Credit Agreement) not exceeding 4.0 to 1.0, subject to the Company satisfying certain conditions. Borrowings under the Term Loan B Facility were used on the Closing Date (a) to repay in full all of the Company’s and its subsidiaries’ outstanding obligations under the Company’s previous credit facility and to terminate the credit agreement relating thereto (the “2013 Credit Agreement”), (b) to pay fees and expenses in connection with the 2017 Credit Facility, and (c) for general corporate purposes. The 2017 Credit Facility is guaranteed on a senior secured basis by certain of the Company’s existing and future wholly-owned domestic subsidiaries, and is secured on a first priority basis by the Company’s and those subsidiaries’ assets. The Company’s borrowings under the 2017 Credit Facility bear interest on the outstanding principal amount thereof from the date when made at a rate per annum equal to either: (i) the Eurodollar Rate (as defined in the 2017 Credit Agreement) plus 2.75 %; or (ii) the Base Rate (as defined in the 2017 Credit Agreement) plus 1.75 %. The Term Loan B Facility expires on November 30, 2024 (the “Maturity Date”). The amounts outstanding under the 2017 Credit Facility may be prepaid at the Company’s option without premium or penalty, provided that certain limitations are observed, and subject to customary breakage fees in connection with the prepayment of a LIBOR rate loan. The principal amount of the Term Loan B Facility shall be paid in installments on the dates and in the respective amounts set forth in the 2017 Credit Agreement, with the final balance due on the Maturity Date. Subject to certain exceptions, the 2017 Credit Facility contains covenants that limit the ability of the Company and its restricted subsidiaries to, among other things: • incur liens on the Company’s property or assets; • make certain investments; • incur additional indebtedness; • consummate any merger, dissolution, liquidation, consolidation or sale of substantially all assets; • dispose of certain assets; • make certain restricted payments; • make certain acquisitions; • enter into substantially different lines of business; • enter into certain transactions with affiliates; • use loan proceeds to purchase or carry margin stock or for any other prohibited purpose; • change or amend the terms of the Company’s organizational documents or the organization documents of certain restricted subsidiaries in a materially adverse way to the lenders, or change or amend the terms of certain indebtedness; • enter into sale and leaseback transactions; • make prepayments of any subordinated indebtedness, subject to certain conditions; and • change the Company’s fiscal year, or accounting policies or reporting practices. The 2017 Credit Facility also provides for certain customary events of default, including the following: • default for three ( 3 ) business days in the payment of interest on borrowings under the 2017 Credit Facility when due; • default in payment when due of the principal amount of borrowings under the 2017 Credit Facility; • failure by the Company or any subsidiary to comply with the negative covenants and certain other covenants relating to maintaining the legal existence of the Company and certain of its restricted subsidiaries and compliance with anti-corruption laws; • failure by the Company or any subsidiary to comply with any of the other agreements in the 2017 Credit Agreement and related loan documents that continues for thirty ( 30 ) days (or ten ( 10 ) days in the case of failure to comply with covenants related to inspection rights of the administrative agent and lenders and permitted uses of proceeds from borrowings under the 2017 Credit Facility) after the Company’s officers first become aware of such failure or first receive written notice of such failure from any lender; • default in the payment of other indebtedness if the amount of such indebtedness aggregates to $ 15.0 million or more, or failure to comply with the terms of any agreements related to such indebtedness if the holder or holders of such indebtedness can cause such indebtedness to be declared due and payable; • certain events of bankruptcy or insolvency with respect to the Company or any significant subsidiary; • final judgment is entered against the Company or any restricted subsidiary in an aggregate amount over $ 15.0 million, and either enforcement proceedings are commenced by any creditor or there is a period of 30 consecutive days during which the judgment remains unpaid and no stay is in effect; • any material provision of any agreement or instrument governing the 2017 Credit Facility ceases to be in full force and effect; and • any revocation, termination, substantial and adverse modification, or refusal by final order to renew, any media license, or the requirement (by final non-appealable order) to sell a television or radio station, where any such event or failure is reasonably expected to have a material adverse effect. The Term Loan B Facility does not contain any financial covenants. In connection with the Company entering into the 2017 Credit Agreement, the Company and its restricted subsidiaries also entered into a Security Agreement, pursuant to which the Company and all of the companies existing in future wholly-owned domestic subsidiaries each granted a first priority security interest in the collateral securing the 2017 Credit Facility for the benefit of the lenders under the 2017 Credit Facility. On June 4, 2021, the Company entered into the Second Amendment (the "Amendment") to the 2017 Credit Agreement, by and among the Company, Bank of America, N.A., as Administrative Agent, and the other financial institutions party thereto as Lenders (collectively, the “Lenders”). The Amendment amends the 2017 Credit Agreement, primarily to permit additional investments in restricted subsidiaries that are not loan parties, and make certain changes to the definition of “Consolidated Net Income” for the purpose of calculating EBITDA as defined by the 2017 Credit Agreement. Pursuant to the Amendment, the Company agreed to pay to the Lenders consenting to the Amendment a fee equal to 0.375 % of the aggregate principal amount of the outstanding loans held by such Lenders under the 2017 Credit Agreement as of June 4, 2021. This fee totaled approximately $ 0.6 million and it is amortized as interest expense over the remaining term of the Term Loan B. The carrying amount of the Term Loan B Facility as of June 30, 2022 w as $ 209.2 million, net of $ 1.5 million of unamortized debt issuance costs and original issue discount. The estimated fair value of the Term Loan B Facility as of June 30, 2022 was approximat ely $ 204.4 million . The estimated fair value is based on quoted prices in markets where trading occurs infrequently. Concentrations of Credit Risk and Trade Receivables The Company’s financial instruments that are exposed to concentrations of credit risk consist primarily of cash and cash equivalents and trade accounts receivable. The Company from time to time may have bank deposits in excess of FDIC insurance limits. As of June 30, 2022, the majority of all deposits are maintained in two financial institutions. The Company has not experienced any losses in such accounts and believes it is not exposed to any significant credit risk on cash and cash equivalents. The Company’s credit risk is spread across a large number of customers in the U.S., Latin America, Asia, and various other countries, therefore spreading the trade receivable credit risk. The Company routinely assesses the financial strength of its customers and, as a consequence, believes that it is managing its trade receivable credit risk effectively. Trade receivables are carried at original invoice amount less an estimate made for doubtful receivables based on a review of all outstanding amounts on a monthly basis. A valuation allowance is provided for known and anticipated credit losses, as determined by management in the course of regularly evaluating individual customer receivables. This evaluation takes into consideration of a customer’s financial condition and credit history, as well as current economic conditions. Trade receivables are written off when deemed uncollectible. Recoveries of trade receivables previously written off are recorded when received. No interest is charged on customer accounts. Aggregate receivables from the largest five advertisers represented 3 % of total trade receivables as of June 30, 2022 and December 31, 2021, respectively. No single advertiser represents more than 5% of the total trade receivables. Revenue from the largest advertiser represented 16 % and 10 % of total revenue for the three-month periods ended June 30, 2022 and 2021, respectively. Revenue from the largest advertiser represented 16 % and 9 % of total revenue for the six-month periods ended June 30, 2022 and 2021, respectively. This advertiser pays on a frequent basis and management does not believe this concentration of credit represents a significant risk to the Company. No other advertiser represented more than 5% of the total revenue. Estimated losses for bad debts are provided for in the consolidated financial statements through a charge to expense that aggregated $ 0.9 million and $ 1.1 million for the three-month periods ended June 30, 2022 and 2021, respectively, and $ 1.0 million and $ 2.2 million for the six-month periods ended June 30, 2022 and 2021, respectively. The net charge off of bad debts aggregated $ 0.3 million and $ 0.4 million for the three-month periods ended June 30, 2022 and 2021, respectively, and $ 0.4 million and $ 0.5 million for the six-month periods ended June 30, 2022 and 2021, respectively. Dependence on Global Media Companies The Company is dependent on the continued commercial agreements with, as well as the financial and business strength of, the global media companies for which the Company acts as a commercial partner in the digital segment, as well as the companies from which it obtains programming in the television and audio segments. The Company could be at risk should any of these entities fail to perform their respective obligations to the Company. This in turn could materially adversely affect the Company’s business, results of operations and financial condition. Revenue related to a single media company for which the Company acts as a commercial partner represented 52 % and 59 % of the Company's total revenue for the three-month periods ended June 30, 2022 and 2021, respectively, and 52 % and 57 % of the Company's total revenue for the six -month periods ended June 30, 2022 and 2021 . Fair Value Measurements The Company measures certain financial assets and liabilities at fair value on a recurring basis. Fair value is the price the Company would receive to sell an asset or pay to transfer a liability in an orderly transaction with a market participant at the measurement date. ASC 820, “Fair Value Measurements and Disclosures”, defines and establishes a framework for measuring fair value and expands disclosures about fair value measurements. In accordance with ASC 820, the Company has categorized its financial assets and liabilities, based on the priority of the inputs to the valuation technique, into a three-level fair value hierarchy as set forth below. Level 1 – Assets and liabilities whose values are based on unadjusted quoted prices for identical assets or liabilities in an active market that the company has the ability to access at the measurement date. Level 2 – Assets and liabilities whose values are based on quoted prices for similar attributes in active markets; quoted prices in markets where trading occurs infrequently; and inputs other than quoted prices that are observable, either directly or indirectly, for substantially the full term of the asset or liability. Level 3 – Assets and liabilities whose values are based on prices or valuation techniques that require inputs that are both unobservable and significant to the overall fair value measurement. If the inputs used to measure the financial instruments fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the fair value measurement of the instrument. The following table presents the Company’s financial assets and liabilities measured at fair value on a recurring and nonrecurring basis in the consolidated balance sheets (in millions): June 30, 2022 Total Fair Value and Carrying Value on Balance Sheet Fair Value Measurement Category Recurring fair value measurements Level 1 Level 2 Level 3 Total Gains (Losses) Assets: Money market account $ 11.9 $ 11.9 $ — $ — Corporate bonds and notes $ 66.9 $ 66.9 Asset-backed securities $ 7.4 $ 7.4 Liabilities: Contingent consideration $ 77.4 $ — — $ 77.4 December 31, 2021 Total Fair Value and Carrying Value on Balance Sheet Fair Value Measurement Category Recurring fair value measurements Level 1 Level 2 Level 3 Total Gains (Losses) Assets: Money market account $ 88.3 $ 88.3 $ — $ — Liabilities: Contingent consideration $ 114.9 $ — — $ 114.9 Nonrecurring fair value measurements: FCC licenses $ 0.7 — — $ 0.7 $ ( 0.1 ) The Company held investments in a money market fund, corporate bonds and notes, and asset-backed securities. The majority of the carrying of the corporate bonds and asset-backed securities held by the Company are investment grade. The Company’s money market account is comprised of cash and cash equivalents. The Company’s available for sale debt securities are comprised of corporate bonds and notes, and asset-backed securities. These securities are valued using quoted prices for similar attributes in active markets (Level 2). Since these investments are classified as available for sale, they are recorded at their fair market value within Cash and cash equivalents and Marketable securities in the Consolidated Balance Sheets and their unrealized gains or losses are included in other comprehensive income. As of June 30, 2022, the following table summarizes the amortized cost and the unrealized (gains) losses of the available for sale securities (in thousands): Corporate Bonds and Notes Asset-Backed Securities Amortized Cost Unrealized gains (losses) Amortized Cost Unrealized gains (losses) Due within a year $ 37,259 $ ( 398 ) $ - $ - Due after one year 31,680 ( 1,605 ) 7,389 ( 47 ) Total $ 68,939 $ ( 2,003 ) $ 7,389 $ ( 47 ) The Company’s available for sale debt securities are considered for credit losses under the guidance of Accounting Standards Update (“ASU”) 2016-13, Financial Instruments—Credit Losses (Topic 326). As of June 30, 2022 and December 31, 2021, the Company determined that a credit loss allowance is not required. Included in interest income for the three-month periods ended June 30, 2022 and 2021 was interest income related to the Company’s available for sale se curities of $ 0.7 million and $ 0.1 million, respectively. Included in interest income for the six-month periods ended June 30, 2022 and 2021 was interest income related to the Company’s available for sale securities of $ 1.1 million and $ 0.2 million, respectively The fair value of the contingent consideration is related to the acquisitions of: • the remaining 49 % of the issued and outstanding shares of stock of a digital advertising solutions company that, together with its subsidiaries, does business under the name Cisneros Interactive ("Cisneros Interactive"); • 100 % of the issued and outstanding shares of stock of a digital advertising solutions company in Southeast Asia that, together with its subsidiaries, does business under the name MediaDonuts ("MediaDonuts"); and • 100 % of the issued and outstanding shares of stock of a digital advertising solutions company headquartered in South Africa, that, together with its subsidiaries, does business under the name 365 Digital ("365 Digital"). The fair value of the contingent consideration was estimated by applying the real options a |
Revenues
Revenues | 6 Months Ended |
Jun. 30, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Revenues | 3. REVENUES Revenue Recognition Revenues are recognized when control of the promised services is transferred to the Company’s customers, in an amount equal to the consideration the Company expects to be entitled to in exchange for those services. Digital Advertising. Revenue from digital advertising is earned primarily from sales of advertising that are placed by the Company's advertising customers or their ad agencies on the digital platforms of third-party media companies for which the Company acts as commercial partner or placed directly with online digital marketplaces through the Company's Smadex ad purchasing platform. Revenue in the digital segment is recognized when display or other digital advertisements record impressions on the websites and mobile and Internet-connected television apps of media companies on whose digital platforms the advertisements are placed or as the advertiser’s previously agreed-upon performance criteria are satisfied. Broadcast Advertising. Revenue related to the sale of advertising in the television and audio segments is recognized at the time of broadcast. Broadcast advertising rates are fixed based on each medium’s ability to attract audiences in demographic groups targeted by advertisers and rates can vary based on the time of day and ratings of the programming airing in that day part. Broadcast and digital advertising revenue is recognized over time in a series as a single performance obligation as the ad, impression or performance advertising is delivered per the insertion order. The Company applies the practical expedient to recognize revenue for each distinct advertising service delivered at the amount the Company has the right to invoice, which corresponds directly to the value a customer has received relative to the Company’s performance. Contracts with customers are short term in nature and billing occurs on a monthly basis with payment due in 30 days. Value added taxes collected concurrently with advertising revenue producing activities are excluded from revenue. Cash payments received prior to services being rendered result in deferred revenue, which is then recognized as revenue when the advertising time or space is actually provided. Retransmission Consent. The Company generates revenue from retransmission consent agreements that are entered into with MVPDs. The Company grants the MVPDs access to its television station signals so that they may rebroadcast the signals and charge their subscribers for this programming. Payments are received on a monthly basis based on the number of monthly subscribers. Retransmission consent revenues are considered licenses of functional intellectual property and are recognized over time utilizing the sale-based or usage-based royalty exception. The Company’s performance obligation is to provide the licensee access to the Company's intellectual property. MVPD subscribers receive and consume the content monthly as the television signal is delivered. Spectrum Usage Rights. The Company generates revenue from agreements associated with its television stations’ spectrum usage rights from a variety of sources, including but not limited to agreements with third parties to utilize excess spectrum for the broadcast of their multicast networks; charging fees to accommodate the operations of third parties, including moving channel positions or accepting interference with broadcasting operations; and modifying and/or relinquishing spectrum usage rights while continuing to broadcast through channel sharing or other arrangements. Revenue generated by spectrum usage rights agreements are recognized over the period of the lease or when the Company has relinquished all or a portion of its spectrum usage rights for a station or have relinquished its rights to operate a station on the existing channel free from interference. Other Revenue. The Company generates other revenues that are related to its broadcast operations, which primarily consist of representation fees earned by the Company’s radio national representation firm, talent fees for the Company’s on air personalities, ticket and concession sales for radio events, rent from tenants of the Company’s owned facilities, barter revenue, and revenue generated under joint sales agreements. In the case of representation fees, the Company does not control the distinct service, that being the commercial advertisement, prior to delivery and therefore recognizes revenue on a net basis. Similarly for joint service agreements, the Company does not own the station providing the airtime and therefore recognizes revenue on a net basis. In the case of talent fees, the on air personality is an employee of the Company and therefore the Company controls the service provided and recognizes revenue gross with an expense for fees paid to the employee. Practical Expedients and Exemptions The Company does not disclose the value of unsatisfied performance obligations when (i) contracts have an original expected length of one year or less, which applies to essentially all of the Company's advertising contracts, and (ii) variable consideration is a sales-based or usage-based royalty promised in exchange for a license of intellectual property, which applies to retransmission consent revenue. The Company applies the practical expedient to expense contract acquisition costs, such as sales commissions generated either by internal direct sales employees or through third party advertising agency intermediaries, when incurred because the amortization period is one year or less. These costs are recorded within direct operating expenses. Disaggregated Revenue The following table presents our revenues disaggregated by major source (in thousands): Three-Month Period Six-Month Period Ended June 30, Ended June 30, 2022 2021 2022 2021 Digital advertising $ 174,378 $ 130,223 $ 328,089 $ 231,705 Broadcast advertising 35,347 36,438 66,804 70,113 Spectrum usage rights 1,674 1,109 3,209 3,953 Retransmission consent 9,038 9,286 18,233 18,933 Other 1,258 1,354 2,532 2,586 Total revenue $ 221,695 $ 178,410 $ 418,867 $ 327,290 Contracts are entered into directly with customers or through an advertising agency that represents the customer. Sales of advertising to customers or agencies within a station’s designated market area (“DMA”) are referred to as local revenue, whereas sales from outside the DMA are referred to as national revenue. The following table further disaggregates the Company’s broadcast advertising revenue by sales channel (in thousands): Three-Month Period Six-Month Period Ended June 30, Ended June 30, 2022 2021 2022 2021 Local direct $ 6,009 $ 5,729 $ 11,430 $ 10,969 Local agency 13,017 15,219 25,570 28,407 National agency 16,321 15,490 29,804 30,737 Total revenue $ 35,347 $ 36,438 $ 66,804 $ 70,113 The following table further disaggregates the Company’s revenue by geographical region, based on the location of the sales office (in thousands): Three-Month Period Six-Month Period Ended June 30, Ended June 30, 2022 2021 2022 2021 U.S. $ 59,069 $ 54,132 $ 111,340 $ 106,605 Latin America 127,669 118,346 242,838 209,114 Asia 18,895 - 36,074 - Rest of the World 16,062 5,932 28,615 11,571 Total revenue $ 221,695 $ 178,410 $ 418,867 $ 327,290 Deferred Revenue The Company records deferred revenues when cash payments are received or due in advance of its performance, including amounts which are refundable. The change in the deferred revenue balance for the six-month period ended June 30, 2022 is primarily driven by cash payments received or due in advance of satisfying the Company’s performance obligations, offset by revenues recognized that were included in the deferred revenue balance as of December 31, 2021. The Company’s payment terms vary by the type and location of customer and the products or services offered. The term between invoicing and when payment is due is typically 30 days. For certain individual customers and customer types, the Company generally requires payment before the services are delivered to the customer. (in thousands) December 31, 2021 Increase Decrease * June 30, 2022 Deferred revenue $ 5,942 7,163 ( 5,942 ) $ 7,163 * The amount reflects revenue that has been recorded in the six-month period ended June 30, 2022. |
Leases
Leases | 6 Months Ended |
Jun. 30, 2022 | |
Leases [Abstract] | |
Leases | 4. LEASES The Company’s leases are considered operating leases and primarily consist of real estate such as office space, broadcasting towers, land and land easements. A Right of Use (“ROU”) asset and lease liability is recognized as of the lease commencement date based on the present value of the future minimum lease payments over the lease term. As the implicit rate for operating leases is not readily determinable, the future minimum lease payments were discounted using an incremental borrowing rate. Due to the Company’s centralized treasury function, the Company applied a portfolio approach to discount its domestic lease obligations using its secured publicly traded U.S. dollar denominated debt instruments interpolating the duration of the debt to the remaining lease term. The incremental borrowing rate for international leases is the interest rate that the Company would have to pay to borrow on a collateralized basis over a similar term an amount equal to the lease payments in a similar economic environment. The operating leases are reflected within the consolidated balance sheet as Operating leases right of use asset with the related liability presented as Operating lease liabilities and Long-term operating lease liabilities. Lease expense is recognized on a straight-line basis over the lease term. Generally, lease terms include options to renew or extend the lease. Unless the renewal option is considered reasonably certain, the exercise of any such options have been excluded from the calculation of lease liabilities. In addition, as permitted within the guidance, ROU assets and lease liabilities are not recorded for leases within an initial term of one year or less. The Company’s existing leases have remaining terms of less than one year up to 28 years . Certain of the Company’s lease agreements include rental payments based on changes in the consumer price index (“CPI”). Lease liabilities are not remeasured as a result of changes in the CPI; instead, changes in the CPI are treated as variable lease payments and recognized in the period in which the related obligation was incurred. Lease agreements do not contain any material residual value guarantees or material restrictive covenants. Certain real estate leases include additional costs such as common area maintenance (non-lease component), as well as property insurance and property taxes. These costs were excluded from future minimum lease payments as they are variable payments. As such, these costs were not part of the calculation of ROU assets and lease liabilities associated with operating leases upon transition. The Company’s corporate headquarters are located in Santa Monica, California. The Company leases approximately 16,000 square feet of space in the building housing its corporate headquarters under a lease that the Company most recently amended as of June 7, 2022 . The lease, as amended, provides that the Company will relocate and expand its corporate headquarters within the same building to a space consisting of approximately 38,000 square feet, at which point the term of the lease will be extended until January 31, 2034 , subject to adjustment. The Company expects to complete its relocation in the second half of 2022. The Company also leases approximately 41,000 square feet of space in the building housing its radio network headquarters in Los Angeles, California, under a lease pursuant to which the Company has given notice that it is terminating as of September 30, 2022 . In respect of this termination, the Company will pay a termination fee of approximately $ 0.4 million, of which $ 0.2 million has been paid as of June 30, 2022. The Company intends on moving its personnel in the Los Angeles office to the expanded space in its Santa Monica headquarters. The types of properties required to support each of the Company’s television and radio stations typically include offices, broadcasting studios and antenna towers where broadcasting transmitters and antenna equipment are located. The majority of the Company’s office, studio and tower facilities are leased pursuant to non-cancelable long-term leases. The Company also owns the buildings and/or land used for office, studio and tower facilities at certain of its television and/or radio properties. The Company owns substantially all of the equipment used in its television and radio broadcasting business The following table summarizes the expected future payments related to lease liabilities as of June 30, 2022: (in thousands) Remainder of 2022 $ 4,272 2023 6,205 2024 5,045 2025 4,600 2026 3,015 2027 and thereafter 11,510 Total minimum payments $ 34,647 Less amounts representing interest ( 7,748 ) Present value of minimum lease payments 26,899 Less current operating lease liabilities ( 6,097 ) Long-term operating lease liabilities $ 20,802 The weighted average remaining lease term and the weighted average discount rate used to calculate the Company’s lease liabilities as of June 30, 20 22 were 9.1 years and 6.3 %, respectively. The weighted average remaining lease term and the weighted average discount rate used to calculate the Company’s lease liabilities as of June 30, 2021 were 9.6 years and 6.3 %, respectively . The following table summarizes lease payments and supplemental non-cash disclosures: Six-Month Period Ended June 30, (in thousands) 2022 2021 Cash paid for amounts included in lease liabilities: Operating cash flows from operating leases $ 5,146 $ 5,329 Non-cash additions to operating lease assets $ 2,998 $ 4,352 The following table summarizes the components of lease expense: Three-Month Period Three-Month Period Six-Month Period Six-Month Period Ended June 30, Ended June 30, Ended June 30, Ended June 30, (in thousands) 2022 2021 2022 2021 Operating lease cost $ 2,208 $ 2,051 $ 4,373 $ 4,204 Variable lease cost 274 438 592 566 Short-term lease cost 591 330 1,006 769 Total lease cost $ 3,073 $ 2,819 $ 5,971 $ 5,539 For the three-month perio d ended June 30, 2022, lease cost of $ 1.5 million, $ 1.4 million and $ 0.2 million, were recorded to direct operating expenses, selling, general and administrative expenses and corporate expenses, respectively. For the six-month period ended June 30, 2022, lease cost of $ 3.0 million, $ 2.7 million and $ 0.3 million, were recorded to direct operating expenses, selling, general and administrative expenses and corporate expenses, respectively. For the three-month period ended June 30, 2021, lease cost of $ 1.4 million, $ 1.2 million and $ 0.2 million, were recorded to direct operating expenses, selling, general and administrative expenses and corporate expenses, respectively. For the six-month period ended June 30, 2021, lease cost of $ 2.8 million, $ 2.4 million and $ 0.3 million, were recorded to direct operating expenses, selling, general and administrative expenses and corporate expenses, respectively . |
Segment Information
Segment Information | 6 Months Ended |
Jun. 30, 2022 | |
Segment Reporting [Abstract] | |
Segment Information | 5. SEGMENT INFORMATION The Company’s management has determined that the Company operates in three reportable segments as of June 30, 2022, based upon the type of advertising medium, which segments are digital, television and audio. The Company’s segments results reflect information presented on the same basis that is used for internal management reporting and it is also how the chief operating decision maker evaluates the business. Digital The Company's digital segment, whose operations are located in Latin America, Europe, the United States, Asia and Africa, reaches a global market, with a focus on advertisers in emerging economies that wish to advertise on digital platforms owned and operated primarily by global media companies. The Company provides digital end-to-end advertising solutions that allow advertisers to reach online users worldwide. These solutions are comprised of four separate business units: • the Company's digital commercial partnerships business; • Smadex, the Company's programmatic ad purchasing platform; • the Company's branding and mobile performance solutions business; and • the Company's digital audio business. Through the Company's digital commercial partnerships business – the largest of its digital business units – the Company acts as an intermediary between primarily global media companies and advertising customers or their ad agencies. The global media companies represented by the Company include Meta (formerly known as Facebook Inc.), Spotify, TikTok, and Twitter, as well as other media companies, in more than 30 countries throughout the world. The Company's dedicated local sales teams sell advertising space on these and other media companies' digital platforms to its advertising customers or their ad agencies for the placement of ads directed to online users of a wide range of Internet-connected devices. The Company also provides some of its advertising customers billing, technological and other support, including strategic marketing and training, which it refers to as managed services. Smadex is the Company's proprietary automated purchasing platform, on which advertisers can purchase ad inventory. This practice – the purchase and sale of advertising inventory electronically – is referred to in the Company's industry as programmatic advertising. Smadex is also a “demand-side" platform, which allows advertisers to purchase space from online marketplaces on which media companies list their advertising inventory. Most advertisements acquired through Smadex are placed on mobile devices, but they may also be placed on computers and other Internet-connected devices. The Company also provides managed services to some of its advertising customers in connection with their use of its Smadex platform. The Company also offers a branding and mobile performance solutions business, which provides managed services to advertisers looking to connect with consumers, primarily on mobile devices. The Company's digital audio business provides digital audio advertising solutions for advertisers in the Americas. Television The Company's television operations reach and engage U.S. Hispanics in the United States. The Company owns and/or operates 49 primary television stations located primarily in California, Colorado, Connecticut, Florida, Kansas, Massachusetts, Nevada, New Mexico, Texas and Washington, D.C. The Company generates revenue from advertising, retransmission consent agreements and the monetization of spectrum usage rights in these markets. Audio The Company's audio operations reach and engage U.S. Hispanics in the United States. The Company owns and operates 45 radio stations (37 FM and 8 AM) located primarily in Arizona, California, Colorado, Florida, Nevada, New Mexico and Texas. Separate financial data for each of the Company’s operating segments are provided below. Segment operating profit (loss) is defined as operating profit (loss) before corporate expenses, change in f air value of contingent consideration, impairment charge, foreign currency (gain) loss and other operating (gain) loss. The Company generated 73 % and 70 % of its revenue outside the United States during the three-month periods ended June 30, 2022 and 2021, respectively. The Company generated 73 % and 67 % of its revenue outside the United States during the six-month periods ended June 30, 2022 and 2021, respectively. The Company evaluates the performance of its operating segments based on the following (in thousands): Three-Month Period Six-Month Period Ended June 30, % Ended June 30, % 2022 2021 Change 2022 2021 Change Net revenue Digital $ 174,378 $ 130,223 34 % $ 328,089 $ 231,705 42 % Television 32,373 34,057 ( 5 )% 63,240 70,148 ( 10 )% Audio 14,944 14,130 6 % 27,538 25,437 8 % Consolidated 221,695 178,410 24 % 418,867 327,290 28 % Cost of revenue - digital 144,965 109,030 33 % 274,856 193,786 42 % Direct operating expenses Digital 7,843 6,238 26 % 14,976 11,139 34 % Television 14,488 15,203 ( 5 )% 28,771 30,172 ( 5 )% Audio 7,265 6,895 5 % 13,672 13,586 1 % Consolidated 29,596 28,336 4 % 57,419 54,897 5 % Selling, general and administrative expenses Digital 9,419 5,789 63 % 17,521 11,738 49 % Television 5,238 4,313 21 % 10,195 9,228 10 % Audio 3,118 3,004 4 % 6,098 5,993 2 % Consolidated 17,775 13,106 36 % 33,814 26,959 25 % Depreciation and amortization Digital 2,644 1,613 64 % 5,321 3,194 67 % Television 2,808 3,107 ( 10 )% 5,701 6,323 ( 10 )% Audio 811 354 129 % 1,636 741 121 % Consolidated 6,263 5,074 23 % 12,658 10,258 23 % Segment operating profit (loss) Digital 9,507 7,553 26 % 15,415 11,848 30 % Television 9,839 11,434 ( 14 )% 18,573 24,425 ( 24 )% Audio 3,750 3,877 ( 3 )% 6,132 5,117 20 % Consolidated 23,096 22,864 1 % 40,120 41,390 ( 3 )% Corporate expenses 8,520 7,345 16 % 17,244 14,503 19 % Change in fair value of contingent consideration 976 - * 6,076 - * Impairment charge - 112 ( 100 )% - 1,438 ( 100 )% Foreign currency (gain) loss 993 ( 309 ) * 146 277 ( 47 )% Other operating (gain) loss ( 834 ) ( 523 ) 59 % ( 953 ) ( 2,436 ) ( 61 )% Operating income (loss) 13,441 16,239 ( 17 )% 17,607 27,608 ( 36 )% Interest expense $ ( 2,334 ) $ ( 1,856 ) 26 % $ ( 4,170 ) $ ( 3,573 ) 17 % Interest income 722 83 770 % 1,128 223 406 % Dividend income 11 2 450 % 14 4 250 % Income (loss) before income taxes 11,840 14,468 ( 18 )% 14,579 24,262 ( 40 )% Capital expenditures Digital $ 1,092 $ 538 $ 1,861 $ 874 Television 676 430 1,136 1,461 Audio 123 147 411 293 Consolidated $ 1,891 $ 1,115 $ 3,408 $ 2,628 June 30, December 31, Total assets 2022 2021 Digital 350,725 309,347 Television 384,087 433,303 Audio 105,391 108,692 Consolidated $ 840,203 $ 851,342 * Percentage not meaningful. |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 6. COMMITMENTS AND CONTINGENCIES The Company is subject to various outstanding claims and other legal proceedings that may arise in the ordinary course of business. In the opinion of management, any liability of the Company that may arise out of or with respect to these matters will not materially adversely affect the financial position, results of operations or cash flows of the Company. |
Acquisitions
Acquisitions | 6 Months Ended |
Jun. 30, 2022 | |
Business Combinations [Abstract] | |
Acquisitions | 7. ACQUISITIONS Cisneros Interactive On October 13, 2020 , the Company acquired from certain individuals (collectively, the “Sellers”), 51 % of the issued and outstanding shares of stock of Cisneros Interactive. The acquisition, funded from cash on hand, included a purchase price of approximately $ 29.9 million in cash. The Company concluded that the remaining 49 % of the issued and outstanding shares of Cisneros Interactive stock was considered to be a noncontrolling interest. In connection with the acquisition, the Company also entered into a Put and Call Option Agreement (the “Put and Call Agreement”). Subject to the terms of the Put and Call Agreement, if certain minimum EBITDA targets are met, the Sellers had the right (the “Put Option”), between March 15, 2024 and June 13, 2024, to cause the Company to purchase all (but not less than all) the remaining 49 % of the issued and outstanding shares of Cisneros Interactive stock at a purchase price to be based on a pre-determined multiple of six times Cisneros Interactive’s 12-month EBITDA in the preceding calendar year. The Sellers also had the right to exercise the Put Option upon the occurrence of certain events, between March 2022 and April 2024. Additionally, subject to the terms of the Put and Call Agreement, the Company had the right (the “Call Option”), in calendar year 2024, to purchase all (but not less than all) the remaining 49 % of the issued and outstanding shares of Cisneros Interactive stock at a purchase price to be based on a pre-determined multiple of six times of Cisneros Interactive’s 12-month EBITDA in calendar year 2023. Applicable accounting guidance requires an equity instrument that is redeemable for cash or other assets to be classified outside of permanent equity if it is redeemable (a) at a fixed or determinable price on a fixed or determinable date, (b) at the option of the holder, or (c) upon the occurrence of an event that is not solely within the control of the issuer. As a result of the Put Option and Call Option redemption features, and because the redemption was not solely within the control of the Company, the noncontrolling interest was considered redeemable, and was classified in temporary equity within the Company’s Consolidated Balance Sheets initially at its acquisition date fair value. The noncontrolling interest was adjusted each reporting period for income (or loss) attributable to the noncontrolling interest as well as any applicable distributions made. Since the noncontrolling interest was not then redeemable under the terms of the Put and Call Agreement and it was not probable that it would become redeemable, the Company was not required to adjust the amount presented in temporary equity to its redemption value in prior periods. The fair value of the redeemable noncontrolling interest which includes the Put and Call Agreement recognized on the acquisition date was $ 30.8 million. The following is a summary of the final purchase price allocation (in millions): Cash $ 8.7 Accounts receivable 50.5 Other assets 8.3 Intangible assets subject to amortization 41.7 Goodwill 10.5 Current liabilities ( 48.1 ) Deferred tax ( 10.9 ) Redeemable noncontrolling interest ( 30.8 ) Intangible assets subject to amortization acquired includes: Intangible Asset Estimated Fair Value (in millions) Weighted average life (in years) Publisher relationships $ 34.4 10.0 Advertiser relationships 5.2 4.0 Trade name 1.7 2.5 Non-Compete agreements 0.4 4.0 The fair value of the trade receivables was $ 50.5 million. The gross amount due under contract is $ 54.0 million, of which $ 3.5 million is expected to be uncollectable. Subsequent to the initial purchase price allocation, and during the measurement period, the Company increased other assets and deferred tax by $ 2.1 million and $ 0.3 million, respectively, and decreased goodwill by $ 1.8 million, to reflect final tax amounts . The goodwill, which is not expected to be deductible for tax purposes, is assigned to the Company’s digital segment and is attributable to Cisneros Interactive’s workforce and synergies from combining Cisneros Interactive’s operations with those of the Company. On September 1 , 2021, the Company acquired the remaining 49 % of the issued and outstanding shares of Cisneros Interactive stock, and as of that date owns 100 % of the issued and outstanding shares of Cisneros Interactive stock. As consideration for the acquisition of the remaining 49 % of Cisneros Interactive stock , the Company agreed to pay the Sellers contingent earn-out payments, based on a predetermined multiple of six times Cisneros Interactive’s 12-month EBITDA targets in calendar years 2021, 2022 and 2023, each divided by three, and an additional payment equal to $ 10,000,000 , less an amount (up to $ 10,000,000 ) equal to 49 % of any amounts paid by Cisneros Interactive for future acquisitions. The fair value of the contingent consideration recognized on the acquisition date was $ 84.4 million, which was estimated by applying the real options approach. Key assumptions include risk-neutral expected growth rates based on management’s assessments of expected growth in EBITDA, adjusted by appropriate factors capturing their correlation with the market and volatility, discounted at a cost of debt rate ranging from 6.5 % to 7.2 % over the three-year period. These are significant inputs that are not observable in the market, which ASC 820-10-35 refers to as Level 3 inputs. The Company recognizes any future changes in fair value of the contingent liability in earnings . As part of the Company’s acquisition of the remaining 49 % of the issued and outstanding shares of Cisneros Interactive stock, the Put and Call Agreement was terminated effective September 1, 2021. Applicable accounting guidance requires changes in the Company's ownership interest while the Company retains its controlling financial interest in its subsidiary to be accounted for as an equity transaction. Therefore, no gain or loss was recognized in relation to the acquisition of the remaining 49 % of the issued and outstanding shares of stock of Cisneros Interactive. As of the acquisition date, the carrying amount of the noncontrolling interest was adjusted to reflect the change in the Company's ownership interest, and the difference between the fair value of the contingent consideration and the amount by which the noncontrolling interest was recognized as a decrease to paid-in capital in the Consolidated Balance Sheets and the Statements of Stockholders' Equity . Effective December 31, 2021, the Company agreed to pay certain of the Sellers who are individual persons an accelerated earn-out of $ 14.7 million based on the EBITDA for calendar year 2021, which was paid in January 2022. Additionally, in April 2022, the Company paid the Sellers an earn-out of $ 28.9 million based on the final EBITDA for calendar year 2021. As of June 30, 2022 the contingent liability was adjusted to its current fair value of $ 54.5 million, of which $ 24.2 million is a current liability and $ 30.3 million is a noncurrent liability. The change in the fair value of the contingent liability during the three- and six-month periods ended June 30, 2022, of $ 0.5 million expense and $ 1.0 million expense, respectively, is reflected in the Consolidated Statements of Operations. The remaining Sellers may elect to accelerate their earn-out payments upon the occurrence of certain events. The table below presents the reconciliation of changes in redeemable noncontrolling interests (unaudited; in thousands): Three-Month Period Six-Month Period Ended June 30, Ended June 30, 2022 2021 2022 2021 Beginning balance $ - $ 34,858 $ - $ 33,285 Net income attributable to redeemable noncontrolling interest - 2,612 - 4,185 Ending balance $ - $ 37,470 $ - $ 37,470 During the three-month period ended June 30, 2022, Cisneros Interactive generated net revenue and net income of $ 124.9 million and $ 5.2 million (excluding the impact of contingent consideration liability adjustments), respectively. During the six-month period ended June 30, 2022, Cisneros Interactive generated net revenue and net income of $ 237.4 million and $ 10.3 million (excluding the impact of contingent consideration liability adjustments), respectively. During the three-month period ended June 30, 2021, Cisneros Interactive generated net revenue and net income of $ 114.9 million and $ 5.3 million, respectively. During the six-month period ended June 30, 2021, Cisneros Interactive generated net revenue and net income of $ 203.4 million and $ 8.5 million, respectively . MediaDonuts On July 1, 2021 , the Company acquired 100 % of the issued and outstanding shares of stock of MediaDonuts, a digital advertising solutions company in Southeast Asia. The acquisition, funded from the Company’s cash on hand, includes a purchase price of approximately $ 15.1 million in cash, which amount was adjusted at closing to approximately $ 17.1 million due to customary purchase price adjustments for cash, indebtedness and estimated working capital. Subsequently, the purchase price was adjusted downward by approximately $ 1.2 million, based on actual working capital acquired. Additionally, the transaction includes up to $ 7.4 million in contingent earn-out payments based upon the achievement of certain EBITDA targets in calendar years 2021 and 2022, and an additional earn-out based upon the achievement of certain year-over-year EBITDA growth targets in calendar years 2023 and 2024, calculated as a pre-determined multiple of EBITDA for each of those years. The total purchase price for the acquisition, including the fair value of the contingent consideration, was $ 36.2 million. The Company is in the process of completing the purchase price allocation for its acquisition of MediaDonuts. The measurement period remains open pending the finalization of the pre-acquisition tax-related items . The following is a summary of the purchase price allocation (in millions): Cash $ 4.3 Accounts receivable 9.9 Other assets 1.8 Intangible assets subject to amortization 22.8 Goodwill 13.4 Current liabilities ( 10.1 ) Deferred tax ( 4.2 ) Debt ( 1.7 ) Intangible assets subject to amortization acquired includes: Intangible Asset Estimated Fair Value (in millions) Weighted average life (in years) Publisher relationships $ 16.9 10.0 Advertiser relationships 3.7 4.0 Trade name 2.0 5.0 Non-Compete agreements 0.2 4.0 As noted above, t he acquisition of MediaDonuts includes a contingent consideration arrangement that requires additional consideration to be paid by the Company to the sellers of the stock of MediaD onuts based on a pre-determined multiple of MediaDonuts' 12-month EBITDA targets in calendar years 2021 through 2024. The fair value of the contingent consideration recognized on the acquisition date of $ 20.3 million was estimated by applying the real options approach. Key assumptions include risk-neutral expected growth rates based on management’s assessments of expected growth in EBITDA, adjusted by appropriate factors capturing their correlation with the market and volatility, discounted at a cost of debt rate ranging from 5.8 % to 6.7 % over the three year period. These are significant inputs that are not observable in the market, which ASC 820-10-35 refers to as Level 3 inputs. As of June 30, 2022 the contingent liability was adjusted to its current fair value of $ 19.1 million, of which $ 5.5 million is a current liability and $ 13.6 million is a noncurrent liability. The change in the fair value of the contingent liability during the three- and six-month periods ended June 30, 2022, of $ 1.7 million expense and $ 3.3 million expense, respectively, is reflected in the Consolidated Statements of Operations. The fair value of the trade receivables was $ 9.9 million. The gross amount due under contract is $ 10.2 million, of which $ 0.3 million is expected to be uncollectable . During the three-month period ended June 30, 2022, MediaDo nuts generated net revenue and net income of $ 18.9 million and $ 0.6 million (excluding the impact of contingent consideration liability adjustments), respectively. During the six-month period ended June 30, 2022, MediaDonuts generated net revenue and net income of $ 36.1 million and $ 3.2 millio n (excluding the impact of contingent consideration liability adjustments), respectively. The goodwill, which is not expected to be deductible for tax purposes, is assigned to the Company’s digital segment and is attributable to MediaDonuts' workforce and expected synergies from combining MediaDonuts' operations with those of the Company. The following unaudited pro forma information has been prepared to give effect to the Company’s acquisition of MediaDonuts as if the acquisition had occurred on January 1, 2021. This pro forma information was adjusted to exclude acquisition fees and costs of $ 0.5 million and $ 0.7 million for the three- and six-month periods ended June 30, 2021, respectively, which were expensed in connection with the acquisition. This pro forma information does not purport to represent what the actual results of operations of the Company would have been had this acquisition occurred on such date, nor does it purport to predict the results of operations for any future periods. Three-Month Period Six-Month Period Ended June 30, Ended June 30, 2021 2021 Pro Forma: Total revenue $ 190,456 $ 348,933 Net income (loss) attributable to common stockholders 9,459 16,048 Basic and diluted earnings per share: Net income (loss) per share, attributable to common stockholders, basic $ 0.11 $ 0.19 Net income (loss) per share, attributable to common stockholders, diluted $ 0.11 $ 0.18 Weighted average common shares outstanding, basic 85,188,182 85,115,310 Weighted average common shares outstanding, diluted 87,777,039 87,382,215 365 Digital On November 1, 2021 , the Company acquired 100 % of the issued and outstanding shares of stock of 365 Digital, a digital advertising solutions company headquartered in South Africa. The acquisition, funded from the Company’s cash on hand, included an initial purchase price of approximately $ 1.9 million in cash, which included customary purchase price adjustments for cash, indebtedness and estimated working capital. Subsequently, the purchase price was adjusted to $ 3.5 million based on a predetermined multiple of EBITDA for the trailing twelve month period ended March 31, 2022. Additionally, the transaction includes contingent earn-out payments based upon the achievement of certain EBITDA targets in calendar years 2022, 2023 and 2024, calculated as a pre-determined multiple of EBITDA for each of those years. The total purchase price for the acquisition, including the fair value of the contingent consideration, was $ 5.5 million. The Company is in the process of completing the purchase price allocation for its acquisition of 365 Digital. The measurement period remains open pending the finalization of the pre-acquisition tax-related items . The following is a summary of the purchase price allocation (unaudited; in millions): Cash $ 0.5 Accounts receivable 1.1 Intangible assets subject to amortization 2.2 Goodwill 3.7 Current liabilities ( 1.4 ) Deferred tax ( 0.6 ) Intangible assets subject to amortization acquired includes: Intangible Asset Estimated Fair Value (in millions) Weighted average life (in years) Publisher relationships $ 1.7 9.0 Advertiser relationships 0.2 4.0 Trade name 0.2 5.0 Non-Compete agreements 0.1 4.0 As noted above, t he acquisition of 365 Digital includes a contingent consideration arrangement that requires additional consideration to be paid by the Company to the sellers of the stock of 365 Digital based on a pre-determined multiple of 365 Digital's 12-month EBITDA targets in calendar years 2022 through 2024. The fair value of the contingent consideration recognized on the acquisition date of $ 2.0 million was estimated by applying the real options approach. Key assumptions include risk-neutral expected growth rates based on management’s assessments of expected growth in EBITDA, adjusted by appropriate factors capturing their correlation with the market and volatility, discounted at a cost of debt rate ranging from 7.6 % to 8.3 % over the three-year period. These are significant inputs that are not observable in the market, which ASC 820-10-35 refers to as Level 3 inputs. As of June 30, 2022 the contingent liability was adjusted to its current fair value of $ 3.8 million, of which $ 1.2 million is a current liability and $ 2.6 million is a noncurrent liability. The change in the fair value of the contingent liability during the three- and six-month periods ended June 30, 2022, of $ 1.2 million income and $ 1.8 million expense, respectively, is reflected in the Consolidated Statements of Operations. The fair value of the trade receivables was $ 1.1 million. The gross amount due under contract is $ 1.1 million, of which a de minimis is expected to be uncollectable. During the three-month period ended June 30, 2022, 365 Digital generated net revenue and net income of $ 2.8 million and $ 0.0 million (excluding the impact of contingent consideration liability adjustments), respectively. During the six-month period ended June 30, 2022, 365 Digital generated net revenue and net income of $ 4.9 million and $ 0.1 million (excluding the impact of contingent consideration liability adjustments), respectively. The goodwill, which is not expected to be deductible for tax purposes, is assigned to the Company’s digital segment and is attributable to 365 Digital's workforce and expected synergies from combining 365 Digital's operations with those of the Company. The following unaudited pro forma information has been prepared to give effect to the Company’s acquisition of 365 Digital as if the acquisition had occurred on January 1, 2021. This pro forma information does not purport to represent what the actual results of operations of the Company would have been had this acquisition occurred on such date, nor does it purport to predict the results of operations for any future periods. Three-Month Period Six-Month Period Ended June 30, Ended June 30, 2021 2021 Pro Forma: Total revenue $ 179,008 $ 328,239 Net income (loss) attributable to common stockholders 7,904 13,356 Basic and diluted earnings per share: Net income (loss) per share, attributable to common stockholders, basic $ 0.09 $ 0.16 Net income (loss) per share, attributable to common stockholders, diluted $ 0.09 $ 0.15 Weighted average common shares outstanding, basic 85,188,182 85,115,310 Weighted average common shares outstanding, diluted 87,777,039 87,382,215 |
The Company and Significant A_2
The Company and Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2022 | |
Accounting Policies [Abstract] | |
The Impact of the COVID-19 Pandemic on the Company's Business | The Impact of the COVID-19 Pandemic on the Company’s Business The COVID-19 pandemic had a minimal impact on the Company's business during the quarter ended June 30, 2022. Subject to the extent and duration of possible resurgences of the pandemic from time to time and the continuing uncertain economic environment that has resulted, in part, from the pandemic, the Company anticipates that the pandemic will continue to have little effect on its business, from both an operational and financial perspective, in future periods. Nonetheless, the Company remains cautious due to the unpredictable nature of the pandemic and its effects. The Company also cannot give any assurance whether a resurgence or more prolonged impact of the pandemic in any location where its operations have employees or operates would not adversely affect its operations. The Company elected to defer the employer portion of the social security payroll tax ( 6.2 %) as provided in the Coronavirus Aid, Relief and Economic Security Act of 2020, commonly known as the CARES Act. The deferral was effective from March 27, 2020 through December 31, 2020. The deferred amount is considered to be timely paid if 50 % is paid by December 31, 2021 and the remainder is paid by December 31, 2022. During the year ended December 31, 2021, the Company paid 50 % of the deferred amount . The Company believes that its liquidity and capital resources remain adequate and that it can meet current expenses for at least the next twelve months from a combination of cash on hand and cash flows from operations. |
Restricted Cash | Restricted Cash As of June 30, 2022 and December 31, 2021, the Company’s balance she et includes $ 0.7 milli on in restricted cash, which was deposited into a separate account as collateral for the Company’s letters of credit. The Company's cash and cash equivalents and restricted cash, as presented in the Consolidated Statements of Cash Flows, was as follows (in thousands): Six-Month Period Ended June 30, 2022 2021 Cash and cash equivalents $ 109,950 $ 171,862 Restricted cash 750 749 Total as presented in the Consolidated Statements of Cash Flows $ 110,700 $ 172,611 |
Related Party | Related Party Substantially all of the Company’s television stations are Univision- or UniMás-affiliated television stations. The network affiliation agreement with TelevisaUnivision provides certain of the Company’s owned stations the exclusive right to broadcast TelevisaUnivision’s primary Univision network and UniMás network programming in their respective markets. Under the network affiliation agreement, the Company retains the right to sell no less than four minutes per hour of the available advertising time on stations that broadcast Univision network programming, and the right to sell approximately four and a half minutes per hour of the available advertising time on stations that broadcast UniMás network programming, subject to adjustment from time to time by TelevisaUnivision. Under the network affiliation agreement, TelevisaUnivision acts as the Company’s exclusive third-party sales representative for the sale of certain national advertising on the Univision- and UniMás-affiliate television stations, and the Company pays certain sales representation fees to TelevisaUnivision relating to sales of all advertising for broadcast on its Univision- and UniMás-affiliate television stations. During the three-month periods ended June 30, 2022 and 2021, the amount the Company paid TelevisaUnivision in this capacity w as $ 1.8 milli on and $ 2.0 million, respectively. During the six-month periods ended June 30, 2022 and 2021, the amount the Company paid TelevisaUnivision in this capacity w as $ 3.3 milli on and $ 3.9 million, respectively. The Company also generates revenue under a marketing and sales agreement with TelevisaUnivision, which give it the right to manage the marketing and sales operations of TelevisaUnivision-owned Univision affiliates in three markets – Albuquerque, Boston and Denver. Under the Company’s current proxy agreement with TelevisaUnivision, the Company grants TelevisaUnivision the right to negotiate the terms of retransmission consent agreements for its Univision- and UniMás-affiliated television station signals. Among other things, the proxy agreement provides terms relating to compensation to be paid to the Company by TelevisaUnivision with respect to retransmission consent agreements entered into with multichannel video programming distributors, (“MVPDs”). As of June 30, 2022, the amount due to the Company from TelevisaUni vision was $ 6.0 million re lated to the agreements for the carriage of its Univision and UniMás-affiliated television station signals. During the three-month periods ended June 30, 2022 and 2021, retransmission consent revenue accounted for approxi mately $ 9.0 million and $ 9.3 million, respectively, of which $ 6.2 million and $ 6.5 million, respectively, relate to the TelevisaUnivision proxy agreement. During the six-month periods ended June 30, 2022 and 2021, retransmission consent revenue accounted for approximate ly $ 18.2 million and $ 18.9 million, respectively, of which $ 12.5 million and $ 13.3 mill ion, respectively, relate to the TelevisaUnivision proxy agreement. The term of the proxy agreement extends with respect to any MVPD for the length of the term of any retransmission consent agreement in effect before the expiration of the proxy agreement. TelevisaUnivision currently owns approximately 11 % of the Company’s common stock on a fully-converted basis. The Company’s Class U common stock, all of which is held by TelevisaUnivision, has limited voting rights and does not include the right to elect directors. Each share of Class U common stock is automatically convertible into one share of the Company’s Class A common stock (subject to adjustment for stock splits, dividends or combinations) in connection with any transfer of such shares of Class U common stock to a third party that is not an affiliate of TelevisaUnivision. In addition, as the holder of all of the Company’s issued and outstanding Class U common stock, so long as TelevisaUnivision holds a certain number of shares of Class U common stock, the Company may not, without the consent of TelevisaUnivision, merge, consolidate or enter into a business combination, dissolve or liquidate the Company or dispose of any interest in any Federal Communications Commission (“FCC”) license with respect to television stations which are affiliates of TelevisaUnivision, among other things. |
Stock-Based Compensation | Stock-Based Compensation The Company measures all stock-based awards using a fair value method and recognizes the related stock-based compensation expense in the consolidated financial statements over the requisite service period. As stock-based compensation expense recognized in the Company’s consolidated financial statements is based on awards ultimately expected to vest, it has been reduced for estimated forfeitures. Stock-based compensation expense related to grants of stock options and restricted stock units was $ 2.6 million and $ 1.1 million for the three-month periods ended June 30, 2022 and 2021, respectively. Stock-based compensation expense related to grants of stock options and restricted stock units was $ 5.2 million and $ 2.2 million for the six-month periods ended June 30, 2022 and 2021, respectively Stock Options Stock-based compensation expense related to stock options is based on the fair value on the date of grant using the Black-Scholes option pricing model and is amortized over the vesting period, generally between 1 to 4 years . For the three- and six-month periods ended June 30, 2022 and 2021, there was no stock-based compensation expense related to grants of stock options. All grants of stock options have been fully expensed. Restricted Stock Units Stock-based compensation expense related to restricted stock units is based on the fair value of the Company’s stock price on the date of grant and is amortized over the vesting period, generally between 1 to 4 years . The following is a summary of non-vested restricted stock units granted (in thousands, except grant date fair value data): Three-Month Period Six-Month Period Ended June 30, Ended June 30, 2022 2021 2022 2021 Restricted stock units granted 122 85 175 85 Weighted average fair value $ 5.13 $ 4.69 $ 5.41 $ 4.69 As of June 30, 2022, there was approximat ely $ 10.6 million of total unrecognized compensation expense related to grants of restricted stock units that is expected to be recognized over a weighted-average period of 1.5 years. |
Income (Loss) Per Share | Income (Loss) Per Share The following table illustrates the reconciliation of the basic and diluted income (loss) per share computations required by Accounting Standards Codification ("ASC") 260-10, “Earnings per Share” (in thousands, except share and per share data): Basic income (loss) per share is computed as net income (loss) divided by the weighted average number of shares outstanding for the period. Diluted income (loss) per share reflects the potential dilution, if any, that could occur from shares issuable through stock options and restricted stock awards. Three-Month Period Six-Month Period Ended June 30, Ended June 30, 2022 2021 2022 2021 Basic earnings per share: Numerator: Net income (loss) attributable to common stockholders $ 8,467 $ 7,864 $ 10,354 $ 13,293 Denominator: Weighted average common shares outstanding 84,959,130 85,188,182 85,735,916 85,115,310 Per share: Net income (loss) per share attributable to common stockholders $ 0.10 $ 0.09 $ 0.12 $ 0.16 Diluted earnings per share: Numerator: Net income (loss) attributable to common stockholders $ 8,467 $ 7,864 $ 10,354 $ 13,293 Denominator: Weighted average common shares outstanding 84,959,130 85,188,182 85,735,916 85,115,310 Dilutive securities: Stock options and restricted stock units 2,026,687 2,588,857 2,067,262 2,266,905 Diluted shares outstanding 86,985,817 87,777,039 87,803,178 87,382,215 Per share: Net income (loss) per share attributable to common stockholders $ 0.10 $ 0.09 $ 0.12 $ 0.15 For the three- and six-month periods ended June 30, 2022, a total of 81,700 and 49,556 shares, respectively, of dilutive securities were not included in the computation of diluted income per share because the exercise prices of the dilutive securities were greater than the average market price of the common shares. For the three- and six-month periods ended June 30, 2021, a total of 684 and 342 shares, respectively, of dilutive securities were not included in the computation of diluted income per share because the exercise prices of the dilutive securities were greater than the average market price of the common shares. |
Treasury Stock | Treasury Stock On March 1, 2022, the Company's Board of Directors approved a share repurchase of up to $ 20 million of the Company's common stock. Under this share repurchase program, the Company is authorized to purchase shares of its common stock from time to time through open market purchases or negotiated purchases, subject to market conditions and other factors. On the same date, the Board terminated the Company's previous share repurchase program of up to $ 45 million of the Company's common stock. In the three-month period ended June 30, 2022, the Company repurchased 0.6 million shares of its Class A common stock under the new share repurchase program for an aggregate purchase price of $ 4.1 million, or an average price per share of $ 6.48 . As of June 30 , 2022 , the Company has repurchased a total of 1.8 million shares of its Class A common stock under the new share repurchase program for an aggregate purchase price of $ 11.3 million, or an average price per share of $ 6.43 . A ll such repurchased shares were retired as of June 30, 2022. Treasury stock is included as a deduction from equity in the Stockholders’ Equity section of the Consolidated Balance Sheets. Shares repurchased pursuant to the Company’s share repurchase program are retired during the same calendar year. |
2017 Credit Facility | 2017 Credit Facility On November 30, 2017 (the “Closing Date”), the Company entered into its 2017 Credit Facility pursuant to the 2017 Credit Agreement. The 2017 Credit Facility consists of a $ 300.0 million senior secured Term Loan B Facility (the “Term Loan B Facility”), which was drawn in full on the Closing Date. In addition, the 2017 Credit Facility provides that the Company may increase the aggregate principal amount of the 2017 Credit Facility by up to an additional $ 100.0 million plus the amount that would result in its first lien net leverage ratio (as such term is used in the 2017 Credit Agreement) not exceeding 4.0 to 1.0, subject to the Company satisfying certain conditions. Borrowings under the Term Loan B Facility were used on the Closing Date (a) to repay in full all of the Company’s and its subsidiaries’ outstanding obligations under the Company’s previous credit facility and to terminate the credit agreement relating thereto (the “2013 Credit Agreement”), (b) to pay fees and expenses in connection with the 2017 Credit Facility, and (c) for general corporate purposes. The 2017 Credit Facility is guaranteed on a senior secured basis by certain of the Company’s existing and future wholly-owned domestic subsidiaries, and is secured on a first priority basis by the Company’s and those subsidiaries’ assets. The Company’s borrowings under the 2017 Credit Facility bear interest on the outstanding principal amount thereof from the date when made at a rate per annum equal to either: (i) the Eurodollar Rate (as defined in the 2017 Credit Agreement) plus 2.75 %; or (ii) the Base Rate (as defined in the 2017 Credit Agreement) plus 1.75 %. The Term Loan B Facility expires on November 30, 2024 (the “Maturity Date”). The amounts outstanding under the 2017 Credit Facility may be prepaid at the Company’s option without premium or penalty, provided that certain limitations are observed, and subject to customary breakage fees in connection with the prepayment of a LIBOR rate loan. The principal amount of the Term Loan B Facility shall be paid in installments on the dates and in the respective amounts set forth in the 2017 Credit Agreement, with the final balance due on the Maturity Date. Subject to certain exceptions, the 2017 Credit Facility contains covenants that limit the ability of the Company and its restricted subsidiaries to, among other things: • incur liens on the Company’s property or assets; • make certain investments; • incur additional indebtedness; • consummate any merger, dissolution, liquidation, consolidation or sale of substantially all assets; • dispose of certain assets; • make certain restricted payments; • make certain acquisitions; • enter into substantially different lines of business; • enter into certain transactions with affiliates; • use loan proceeds to purchase or carry margin stock or for any other prohibited purpose; • change or amend the terms of the Company’s organizational documents or the organization documents of certain restricted subsidiaries in a materially adverse way to the lenders, or change or amend the terms of certain indebtedness; • enter into sale and leaseback transactions; • make prepayments of any subordinated indebtedness, subject to certain conditions; and • change the Company’s fiscal year, or accounting policies or reporting practices. The 2017 Credit Facility also provides for certain customary events of default, including the following: • default for three ( 3 ) business days in the payment of interest on borrowings under the 2017 Credit Facility when due; • default in payment when due of the principal amount of borrowings under the 2017 Credit Facility; • failure by the Company or any subsidiary to comply with the negative covenants and certain other covenants relating to maintaining the legal existence of the Company and certain of its restricted subsidiaries and compliance with anti-corruption laws; • failure by the Company or any subsidiary to comply with any of the other agreements in the 2017 Credit Agreement and related loan documents that continues for thirty ( 30 ) days (or ten ( 10 ) days in the case of failure to comply with covenants related to inspection rights of the administrative agent and lenders and permitted uses of proceeds from borrowings under the 2017 Credit Facility) after the Company’s officers first become aware of such failure or first receive written notice of such failure from any lender; • default in the payment of other indebtedness if the amount of such indebtedness aggregates to $ 15.0 million or more, or failure to comply with the terms of any agreements related to such indebtedness if the holder or holders of such indebtedness can cause such indebtedness to be declared due and payable; • certain events of bankruptcy or insolvency with respect to the Company or any significant subsidiary; • final judgment is entered against the Company or any restricted subsidiary in an aggregate amount over $ 15.0 million, and either enforcement proceedings are commenced by any creditor or there is a period of 30 consecutive days during which the judgment remains unpaid and no stay is in effect; • any material provision of any agreement or instrument governing the 2017 Credit Facility ceases to be in full force and effect; and • any revocation, termination, substantial and adverse modification, or refusal by final order to renew, any media license, or the requirement (by final non-appealable order) to sell a television or radio station, where any such event or failure is reasonably expected to have a material adverse effect. The Term Loan B Facility does not contain any financial covenants. In connection with the Company entering into the 2017 Credit Agreement, the Company and its restricted subsidiaries also entered into a Security Agreement, pursuant to which the Company and all of the companies existing in future wholly-owned domestic subsidiaries each granted a first priority security interest in the collateral securing the 2017 Credit Facility for the benefit of the lenders under the 2017 Credit Facility. On June 4, 2021, the Company entered into the Second Amendment (the "Amendment") to the 2017 Credit Agreement, by and among the Company, Bank of America, N.A., as Administrative Agent, and the other financial institutions party thereto as Lenders (collectively, the “Lenders”). The Amendment amends the 2017 Credit Agreement, primarily to permit additional investments in restricted subsidiaries that are not loan parties, and make certain changes to the definition of “Consolidated Net Income” for the purpose of calculating EBITDA as defined by the 2017 Credit Agreement. Pursuant to the Amendment, the Company agreed to pay to the Lenders consenting to the Amendment a fee equal to 0.375 % of the aggregate principal amount of the outstanding loans held by such Lenders under the 2017 Credit Agreement as of June 4, 2021. This fee totaled approximately $ 0.6 million and it is amortized as interest expense over the remaining term of the Term Loan B. The carrying amount of the Term Loan B Facility as of June 30, 2022 w as $ 209.2 million, net of $ 1.5 million of unamortized debt issuance costs and original issue discount. The estimated fair value of the Term Loan B Facility as of June 30, 2022 was approximat ely $ 204.4 million . The estimated fair value is based on quoted prices in markets where trading occurs infrequently. |
Concentrations of Credit Risk and Trade Receivables | Concentrations of Credit Risk and Trade Receivables The Company’s financial instruments that are exposed to concentrations of credit risk consist primarily of cash and cash equivalents and trade accounts receivable. The Company from time to time may have bank deposits in excess of FDIC insurance limits. As of June 30, 2022, the majority of all deposits are maintained in two financial institutions. The Company has not experienced any losses in such accounts and believes it is not exposed to any significant credit risk on cash and cash equivalents. The Company’s credit risk is spread across a large number of customers in the U.S., Latin America, Asia, and various other countries, therefore spreading the trade receivable credit risk. The Company routinely assesses the financial strength of its customers and, as a consequence, believes that it is managing its trade receivable credit risk effectively. Trade receivables are carried at original invoice amount less an estimate made for doubtful receivables based on a review of all outstanding amounts on a monthly basis. A valuation allowance is provided for known and anticipated credit losses, as determined by management in the course of regularly evaluating individual customer receivables. This evaluation takes into consideration of a customer’s financial condition and credit history, as well as current economic conditions. Trade receivables are written off when deemed uncollectible. Recoveries of trade receivables previously written off are recorded when received. No interest is charged on customer accounts. Aggregate receivables from the largest five advertisers represented 3 % of total trade receivables as of June 30, 2022 and December 31, 2021, respectively. No single advertiser represents more than 5% of the total trade receivables. Revenue from the largest advertiser represented 16 % and 10 % of total revenue for the three-month periods ended June 30, 2022 and 2021, respectively. Revenue from the largest advertiser represented 16 % and 9 % of total revenue for the six-month periods ended June 30, 2022 and 2021, respectively. This advertiser pays on a frequent basis and management does not believe this concentration of credit represents a significant risk to the Company. No other advertiser represented more than 5% of the total revenue. Estimated losses for bad debts are provided for in the consolidated financial statements through a charge to expense that aggregated $ 0.9 million and $ 1.1 million for the three-month periods ended June 30, 2022 and 2021, respectively, and $ 1.0 million and $ 2.2 million for the six-month periods ended June 30, 2022 and 2021, respectively. The net charge off of bad debts aggregated $ 0.3 million and $ 0.4 million for the three-month periods ended June 30, 2022 and 2021, respectively, and $ 0.4 million and $ 0.5 million for the six-month periods ended June 30, 2022 and 2021, respectively. |
Dependence on Global Media Companies | Dependence on Global Media Companies The Company is dependent on the continued commercial agreements with, as well as the financial and business strength of, the global media companies for which the Company acts as a commercial partner in the digital segment, as well as the companies from which it obtains programming in the television and audio segments. The Company could be at risk should any of these entities fail to perform their respective obligations to the Company. This in turn could materially adversely affect the Company’s business, results of operations and financial condition. Revenue related to a single media company for which the Company acts as a commercial partner represented 52 % and 59 % of the Company's total revenue for the three-month periods ended June 30, 2022 and 2021, respectively, and 52 % and 57 % of the Company's total revenue for the six -month periods ended June 30, 2022 and 2021 . |
Fair Value Measurements | Fair Value Measurements The Company measures certain financial assets and liabilities at fair value on a recurring basis. Fair value is the price the Company would receive to sell an asset or pay to transfer a liability in an orderly transaction with a market participant at the measurement date. ASC 820, “Fair Value Measurements and Disclosures”, defines and establishes a framework for measuring fair value and expands disclosures about fair value measurements. In accordance with ASC 820, the Company has categorized its financial assets and liabilities, based on the priority of the inputs to the valuation technique, into a three-level fair value hierarchy as set forth below. Level 1 – Assets and liabilities whose values are based on unadjusted quoted prices for identical assets or liabilities in an active market that the company has the ability to access at the measurement date. Level 2 – Assets and liabilities whose values are based on quoted prices for similar attributes in active markets; quoted prices in markets where trading occurs infrequently; and inputs other than quoted prices that are observable, either directly or indirectly, for substantially the full term of the asset or liability. Level 3 – Assets and liabilities whose values are based on prices or valuation techniques that require inputs that are both unobservable and significant to the overall fair value measurement. If the inputs used to measure the financial instruments fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the fair value measurement of the instrument. The following table presents the Company’s financial assets and liabilities measured at fair value on a recurring and nonrecurring basis in the consolidated balance sheets (in millions): June 30, 2022 Total Fair Value and Carrying Value on Balance Sheet Fair Value Measurement Category Recurring fair value measurements Level 1 Level 2 Level 3 Total Gains (Losses) Assets: Money market account $ 11.9 $ 11.9 $ — $ — Corporate bonds and notes $ 66.9 $ 66.9 Asset-backed securities $ 7.4 $ 7.4 Liabilities: Contingent consideration $ 77.4 $ — — $ 77.4 December 31, 2021 Total Fair Value and Carrying Value on Balance Sheet Fair Value Measurement Category Recurring fair value measurements Level 1 Level 2 Level 3 Total Gains (Losses) Assets: Money market account $ 88.3 $ 88.3 $ — $ — Liabilities: Contingent consideration $ 114.9 $ — — $ 114.9 Nonrecurring fair value measurements: FCC licenses $ 0.7 — — $ 0.7 $ ( 0.1 ) The Company held investments in a money market fund, corporate bonds and notes, and asset-backed securities. The majority of the carrying of the corporate bonds and asset-backed securities held by the Company are investment grade. The Company’s money market account is comprised of cash and cash equivalents. The Company’s available for sale debt securities are comprised of corporate bonds and notes, and asset-backed securities. These securities are valued using quoted prices for similar attributes in active markets (Level 2). Since these investments are classified as available for sale, they are recorded at their fair market value within Cash and cash equivalents and Marketable securities in the Consolidated Balance Sheets and their unrealized gains or losses are included in other comprehensive income. As of June 30, 2022, the following table summarizes the amortized cost and the unrealized (gains) losses of the available for sale securities (in thousands): Corporate Bonds and Notes Asset-Backed Securities Amortized Cost Unrealized gains (losses) Amortized Cost Unrealized gains (losses) Due within a year $ 37,259 $ ( 398 ) $ - $ - Due after one year 31,680 ( 1,605 ) 7,389 ( 47 ) Total $ 68,939 $ ( 2,003 ) $ 7,389 $ ( 47 ) The Company’s available for sale debt securities are considered for credit losses under the guidance of Accounting Standards Update (“ASU”) 2016-13, Financial Instruments—Credit Losses (Topic 326). As of June 30, 2022 and December 31, 2021, the Company determined that a credit loss allowance is not required. Included in interest income for the three-month periods ended June 30, 2022 and 2021 was interest income related to the Company’s available for sale se curities of $ 0.7 million and $ 0.1 million, respectively. Included in interest income for the six-month periods ended June 30, 2022 and 2021 was interest income related to the Company’s available for sale securities of $ 1.1 million and $ 0.2 million, respectively The fair value of the contingent consideration is related to the acquisitions of: • the remaining 49 % of the issued and outstanding shares of stock of a digital advertising solutions company that, together with its subsidiaries, does business under the name Cisneros Interactive ("Cisneros Interactive"); • 100 % of the issued and outstanding shares of stock of a digital advertising solutions company in Southeast Asia that, together with its subsidiaries, does business under the name MediaDonuts ("MediaDonuts"); and • 100 % of the issued and outstanding shares of stock of a digital advertising solutions company headquartered in South Africa, that, together with its subsidiaries, does business under the name 365 Digital ("365 Digital"). The fair value of the contingent consideration was estimated by applying the real options approach using level 3 inputs as further discussed in Note 7. The following table presents the changes in the contingent consideration (in millions): Six-Month Period Ended June 30, 2022 2021 Beginning balance $ 114.9 $ - Payments to sellers ( 43.6 ) - (Gain) loss recognized in earnings 6.1 - Ending balance $ 77.4 $ - |
Accumulated Other Comprehensive Income (Loss) | Accumulated Other Comprehensive Income (Loss) Accumulated other comprehensive income (loss) includes foreign currency translation adjustments and changes in the fair value of available for sale securities. The following table provides a roll-forward of accumulated other comprehensive income (loss) (in thousands): Foreign Marketable Total Accumulated other comprehensive income (loss) as of December 31, 2021 $ ( 1,300 ) $ 323 $ ( 977 ) Other comprehensive income (loss) - ( 380 ) ( 380 ) Income tax (expense) benefit - 97 97 Other comprehensive income (loss), net of tax - ( 283 ) ( 283 ) Accumulated other comprehensive income (loss) as of March 31, 2022 ( 1,300 ) 40 ( 1,260 ) Other comprehensive income (loss) ( 43 ) ( 1,678 ) ( 1,721 ) Income tax (expense) benefit - 428 428 Other comprehensive income (loss), net of tax ( 43 ) ( 1,250 ) ( 1,293 ) Accumulated other comprehensive income (loss) as of June 30, 2022 ( 1,343 ) ( 1,210 ) ( 2,553 ) |
Foreign Currency | Foreign Currency The Company’s reporting currency is the U.S. dollar. All transactions initiated in foreign currencies are translated into U.S. dollars in accordance with ASC Topic 830, “Foreign Currency Matters” and the related rate fluctuation on transactions is included in the consolidated statements of operations. For foreign operations with the local currency as the functional currency, assets and liabilities are translated from the respective local currencies into U.S. dollars at the exchange rate prevailing at the balance sheet date and equity is translated at historical rates. Revenues and expenses are translated at the average exchange rate for the period. Translation adjustments resulting from the process of translating the local currency financial statements into U.S. dollars are included in determining comprehensive (income) loss. Based on recent data reported by the International Monetary Fund, Argentina has been identified as a country with a highly inflationary economy. According to U.S. GAAP, a registrant should apply highly inflationary accounting in the first reporting period after such determination. Therefore, the Company transitioned the accounting for its Argentine operations to highly inflationary status as of July 1, 2018 and, commencing that date, changed the functional currency from the Argentine peso to the U.S. dollar. |
Cost of Revenue | Cost of Revenue Cost of revenue related to the Company’s digital segment consists primarily of the costs of online media acquired from third-party media companies. |
Assets Held For Sale | Assets Held For Sale Assets are classified as held for sale when the carrying value is expected to be recovered through a sale rather than through their continued use and all of the necessary classification criteria have been met. Assets held for sale are recorded at the lower of their carrying value or estimated fair value less selling costs and classified as current assets. Depreciation is not recorded on assets classified as held for sale. During the first quarter of 2020, the Company listed for sale a building and related improvements in the Laredo, Texas area. During the first quarter of 2022, the Company entered into a sales agreement for $ 2.6 million and the sale closed in the second quarter of 2022, resulting in a gain of $ 0.5 million, which is reflected in the Consolidated Statements of Operations. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements There were no new accounting pronouncements that were issued or became effective since the issuance of the 2021 10-K that had, or are expected to have, a material impact on the Company’s consolidated financial statements. Newly Adopted Accounting Standards There were no new accounting standards that were adopted since the issuance of the 2021 10-K. |
The Company and Significant A_3
The Company and Significant Accounting Policies (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Accounting Policies [Abstract] | |
Summary of Cash and Cash Equivalents and Restricted Cash | The Company's cash and cash equivalents and restricted cash, as presented in the Consolidated Statements of Cash Flows, was as follows (in thousands): Six-Month Period Ended June 30, 2022 2021 Cash and cash equivalents $ 109,950 $ 171,862 Restricted cash 750 749 Total as presented in the Consolidated Statements of Cash Flows $ 110,700 $ 172,611 |
Summary of Non-Vested Restricted Stock Units Granted | The following is a summary of non-vested restricted stock units granted (in thousands, except grant date fair value data): Three-Month Period Six-Month Period Ended June 30, Ended June 30, 2022 2021 2022 2021 Restricted stock units granted 122 85 175 85 Weighted average fair value $ 5.13 $ 4.69 $ 5.41 $ 4.69 |
Reconciliation of Basic and Diluted Income (Loss) Per Share | Basic income (loss) per share is computed as net income (loss) divided by the weighted average number of shares outstanding for the period. Diluted income (loss) per share reflects the potential dilution, if any, that could occur from shares issuable through stock options and restricted stock awards. Three-Month Period Six-Month Period Ended June 30, Ended June 30, 2022 2021 2022 2021 Basic earnings per share: Numerator: Net income (loss) attributable to common stockholders $ 8,467 $ 7,864 $ 10,354 $ 13,293 Denominator: Weighted average common shares outstanding 84,959,130 85,188,182 85,735,916 85,115,310 Per share: Net income (loss) per share attributable to common stockholders $ 0.10 $ 0.09 $ 0.12 $ 0.16 Diluted earnings per share: Numerator: Net income (loss) attributable to common stockholders $ 8,467 $ 7,864 $ 10,354 $ 13,293 Denominator: Weighted average common shares outstanding 84,959,130 85,188,182 85,735,916 85,115,310 Dilutive securities: Stock options and restricted stock units 2,026,687 2,588,857 2,067,262 2,266,905 Diluted shares outstanding 86,985,817 87,777,039 87,803,178 87,382,215 Per share: Net income (loss) per share attributable to common stockholders $ 0.10 $ 0.09 $ 0.12 $ 0.15 |
Fair Value of Assets and Liabilities Measured on Recurring Basis and Nonrecurring Basis | The following table presents the Company’s financial assets and liabilities measured at fair value on a recurring and nonrecurring basis in the consolidated balance sheets (in millions): June 30, 2022 Total Fair Value and Carrying Value on Balance Sheet Fair Value Measurement Category Recurring fair value measurements Level 1 Level 2 Level 3 Total Gains (Losses) Assets: Money market account $ 11.9 $ 11.9 $ — $ — Corporate bonds and notes $ 66.9 $ 66.9 Asset-backed securities $ 7.4 $ 7.4 Liabilities: Contingent consideration $ 77.4 $ — — $ 77.4 December 31, 2021 Total Fair Value and Carrying Value on Balance Sheet Fair Value Measurement Category Recurring fair value measurements Level 1 Level 2 Level 3 Total Gains (Losses) Assets: Money market account $ 88.3 $ 88.3 $ — $ — Liabilities: Contingent consideration $ 114.9 $ — — $ 114.9 Nonrecurring fair value measurements: FCC licenses $ 0.7 — — $ 0.7 $ ( 0.1 ) |
Summary of Amortized Cost and Unrealized (Gains) Losses of Available for Sale Securities | As of June 30, 2022, the following table summarizes the amortized cost and the unrealized (gains) losses of the available for sale securities (in thousands): Corporate Bonds and Notes Asset-Backed Securities Amortized Cost Unrealized gains (losses) Amortized Cost Unrealized gains (losses) Due within a year $ 37,259 $ ( 398 ) $ - $ - Due after one year 31,680 ( 1,605 ) 7,389 ( 47 ) Total $ 68,939 $ ( 2,003 ) $ 7,389 $ ( 47 ) |
Summary of Changes in Contingent Consideration | The following table presents the changes in the contingent consideration (in millions): Six-Month Period Ended June 30, 2022 2021 Beginning balance $ 114.9 $ - Payments to sellers ( 43.6 ) - (Gain) loss recognized in earnings 6.1 - Ending balance $ 77.4 $ - |
Summary of Components of AOCI | The following table provides a roll-forward of accumulated other comprehensive income (loss) (in thousands): Foreign Marketable Total Accumulated other comprehensive income (loss) as of December 31, 2021 $ ( 1,300 ) $ 323 $ ( 977 ) Other comprehensive income (loss) - ( 380 ) ( 380 ) Income tax (expense) benefit - 97 97 Other comprehensive income (loss), net of tax - ( 283 ) ( 283 ) Accumulated other comprehensive income (loss) as of March 31, 2022 ( 1,300 ) 40 ( 1,260 ) Other comprehensive income (loss) ( 43 ) ( 1,678 ) ( 1,721 ) Income tax (expense) benefit - 428 428 Other comprehensive income (loss), net of tax ( 43 ) ( 1,250 ) ( 1,293 ) Accumulated other comprehensive income (loss) as of June 30, 2022 ( 1,343 ) ( 1,210 ) ( 2,553 ) |
Revenues (Tables)
Revenues (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Summary of Disaggregation of Revenue by Major Source, Sales Channel and by Geographical Region Based on Location of Sales Office | The following table presents our revenues disaggregated by major source (in thousands): Three-Month Period Six-Month Period Ended June 30, Ended June 30, 2022 2021 2022 2021 Digital advertising $ 174,378 $ 130,223 $ 328,089 $ 231,705 Broadcast advertising 35,347 36,438 66,804 70,113 Spectrum usage rights 1,674 1,109 3,209 3,953 Retransmission consent 9,038 9,286 18,233 18,933 Other 1,258 1,354 2,532 2,586 Total revenue $ 221,695 $ 178,410 $ 418,867 $ 327,290 Contracts are entered into directly with customers or through an advertising agency that represents the customer. Sales of advertising to customers or agencies within a station’s designated market area (“DMA”) are referred to as local revenue, whereas sales from outside the DMA are referred to as national revenue. The following table further disaggregates the Company’s broadcast advertising revenue by sales channel (in thousands): Three-Month Period Six-Month Period Ended June 30, Ended June 30, 2022 2021 2022 2021 Local direct $ 6,009 $ 5,729 $ 11,430 $ 10,969 Local agency 13,017 15,219 25,570 28,407 National agency 16,321 15,490 29,804 30,737 Total revenue $ 35,347 $ 36,438 $ 66,804 $ 70,113 The following table further disaggregates the Company’s revenue by geographical region, based on the location of the sales office (in thousands): Three-Month Period Six-Month Period Ended June 30, Ended June 30, 2022 2021 2022 2021 U.S. $ 59,069 $ 54,132 $ 111,340 $ 106,605 Latin America 127,669 118,346 242,838 209,114 Asia 18,895 - 36,074 - Rest of the World 16,062 5,932 28,615 11,571 Total revenue $ 221,695 $ 178,410 $ 418,867 $ 327,290 |
Summary of Deferred Revenue | (in thousands) December 31, 2021 Increase Decrease * June 30, 2022 Deferred revenue $ 5,942 7,163 ( 5,942 ) $ 7,163 * The amount reflects revenue that has been recorded in the six-month period ended June 30, 2022. |
Leases (Tables)
Leases (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Leases [Abstract] | |
Summary of Expected Future Payments Related to Lease Liabilities | The following table summarizes the expected future payments related to lease liabilities as of June 30, 2022: (in thousands) Remainder of 2022 $ 4,272 2023 6,205 2024 5,045 2025 4,600 2026 3,015 2027 and thereafter 11,510 Total minimum payments $ 34,647 Less amounts representing interest ( 7,748 ) Present value of minimum lease payments 26,899 Less current operating lease liabilities ( 6,097 ) Long-term operating lease liabilities $ 20,802 |
Summary of Lease Payments and Supplemental Non-Cash Disclosures | The following table summarizes lease payments and supplemental non-cash disclosures: Six-Month Period Ended June 30, (in thousands) 2022 2021 Cash paid for amounts included in lease liabilities: Operating cash flows from operating leases $ 5,146 $ 5,329 Non-cash additions to operating lease assets $ 2,998 $ 4,352 |
Summary of Components of Lease Expense | The following table summarizes the components of lease expense: Three-Month Period Three-Month Period Six-Month Period Six-Month Period Ended June 30, Ended June 30, Ended June 30, Ended June 30, (in thousands) 2022 2021 2022 2021 Operating lease cost $ 2,208 $ 2,051 $ 4,373 $ 4,204 Variable lease cost 274 438 592 566 Short-term lease cost 591 330 1,006 769 Total lease cost $ 3,073 $ 2,819 $ 5,971 $ 5,539 |
Segment Information (Tables)
Segment Information (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Segment Reporting [Abstract] | |
Separate Financial Data for Each of Company's Operating Segment | Separate financial data for each of the Company’s operating segments are provided below. Segment operating profit (loss) is defined as operating profit (loss) before corporate expenses, change in f air value of contingent consideration, impairment charge, foreign currency (gain) loss and other operating (gain) loss. The Company generated 73 % and 70 % of its revenue outside the United States during the three-month periods ended June 30, 2022 and 2021, respectively. The Company generated 73 % and 67 % of its revenue outside the United States during the six-month periods ended June 30, 2022 and 2021, respectively. The Company evaluates the performance of its operating segments based on the following (in thousands): Three-Month Period Six-Month Period Ended June 30, % Ended June 30, % 2022 2021 Change 2022 2021 Change Net revenue Digital $ 174,378 $ 130,223 34 % $ 328,089 $ 231,705 42 % Television 32,373 34,057 ( 5 )% 63,240 70,148 ( 10 )% Audio 14,944 14,130 6 % 27,538 25,437 8 % Consolidated 221,695 178,410 24 % 418,867 327,290 28 % Cost of revenue - digital 144,965 109,030 33 % 274,856 193,786 42 % Direct operating expenses Digital 7,843 6,238 26 % 14,976 11,139 34 % Television 14,488 15,203 ( 5 )% 28,771 30,172 ( 5 )% Audio 7,265 6,895 5 % 13,672 13,586 1 % Consolidated 29,596 28,336 4 % 57,419 54,897 5 % Selling, general and administrative expenses Digital 9,419 5,789 63 % 17,521 11,738 49 % Television 5,238 4,313 21 % 10,195 9,228 10 % Audio 3,118 3,004 4 % 6,098 5,993 2 % Consolidated 17,775 13,106 36 % 33,814 26,959 25 % Depreciation and amortization Digital 2,644 1,613 64 % 5,321 3,194 67 % Television 2,808 3,107 ( 10 )% 5,701 6,323 ( 10 )% Audio 811 354 129 % 1,636 741 121 % Consolidated 6,263 5,074 23 % 12,658 10,258 23 % Segment operating profit (loss) Digital 9,507 7,553 26 % 15,415 11,848 30 % Television 9,839 11,434 ( 14 )% 18,573 24,425 ( 24 )% Audio 3,750 3,877 ( 3 )% 6,132 5,117 20 % Consolidated 23,096 22,864 1 % 40,120 41,390 ( 3 )% Corporate expenses 8,520 7,345 16 % 17,244 14,503 19 % Change in fair value of contingent consideration 976 - * 6,076 - * Impairment charge - 112 ( 100 )% - 1,438 ( 100 )% Foreign currency (gain) loss 993 ( 309 ) * 146 277 ( 47 )% Other operating (gain) loss ( 834 ) ( 523 ) 59 % ( 953 ) ( 2,436 ) ( 61 )% Operating income (loss) 13,441 16,239 ( 17 )% 17,607 27,608 ( 36 )% Interest expense $ ( 2,334 ) $ ( 1,856 ) 26 % $ ( 4,170 ) $ ( 3,573 ) 17 % Interest income 722 83 770 % 1,128 223 406 % Dividend income 11 2 450 % 14 4 250 % Income (loss) before income taxes 11,840 14,468 ( 18 )% 14,579 24,262 ( 40 )% Capital expenditures Digital $ 1,092 $ 538 $ 1,861 $ 874 Television 676 430 1,136 1,461 Audio 123 147 411 293 Consolidated $ 1,891 $ 1,115 $ 3,408 $ 2,628 June 30, December 31, Total assets 2022 2021 Digital 350,725 309,347 Television 384,087 433,303 Audio 105,391 108,692 Consolidated $ 840,203 $ 851,342 * Percentage not meaningful. |
Acquisitions (Tables)
Acquisitions (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Cisneros Interactive | |
Business Acquisition [Line Items] | |
Summary of Purchase Price Allocation | The following is a summary of the final purchase price allocation (in millions): Cash $ 8.7 Accounts receivable 50.5 Other assets 8.3 Intangible assets subject to amortization 41.7 Goodwill 10.5 Current liabilities ( 48.1 ) Deferred tax ( 10.9 ) Redeemable noncontrolling interest ( 30.8 ) |
Summary of Intangible Assets Subject to Amortization Acquired | Intangible assets subject to amortization acquired includes: Intangible Asset Estimated Fair Value (in millions) Weighted average life (in years) Publisher relationships $ 34.4 10.0 Advertiser relationships 5.2 4.0 Trade name 1.7 2.5 Non-Compete agreements 0.4 4.0 |
Reconciliation of Changes in Redeemable Noncontrolling Interests | The table below presents the reconciliation of changes in redeemable noncontrolling interests (unaudited; in thousands): Three-Month Period Six-Month Period Ended June 30, Ended June 30, 2022 2021 2022 2021 Beginning balance $ - $ 34,858 $ - $ 33,285 Net income attributable to redeemable noncontrolling interest - 2,612 - 4,185 Ending balance $ - $ 37,470 $ - $ 37,470 |
MediaDonuts | |
Business Acquisition [Line Items] | |
Summary of Purchase Price Allocation | The following is a summary of the purchase price allocation (in millions): Cash $ 4.3 Accounts receivable 9.9 Other assets 1.8 Intangible assets subject to amortization 22.8 Goodwill 13.4 Current liabilities ( 10.1 ) Deferred tax ( 4.2 ) Debt ( 1.7 ) |
Summary of Intangible Assets Subject to Amortization Acquired | Intangible assets subject to amortization acquired includes: Intangible Asset Estimated Fair Value (in millions) Weighted average life (in years) Publisher relationships $ 16.9 10.0 Advertiser relationships 3.7 4.0 Trade name 2.0 5.0 Non-Compete agreements 0.2 4.0 |
Schedule of Unaudited Pro Forma Information | The following unaudited pro forma information has been prepared to give effect to the Company’s acquisition of MediaDonuts as if the acquisition had occurred on January 1, 2021. This pro forma information was adjusted to exclude acquisition fees and costs of $ 0.5 million and $ 0.7 million for the three- and six-month periods ended June 30, 2021, respectively, which were expensed in connection with the acquisition. This pro forma information does not purport to represent what the actual results of operations of the Company would have been had this acquisition occurred on such date, nor does it purport to predict the results of operations for any future periods. Three-Month Period Six-Month Period Ended June 30, Ended June 30, 2021 2021 Pro Forma: Total revenue $ 190,456 $ 348,933 Net income (loss) attributable to common stockholders 9,459 16,048 Basic and diluted earnings per share: Net income (loss) per share, attributable to common stockholders, basic $ 0.11 $ 0.19 Net income (loss) per share, attributable to common stockholders, diluted $ 0.11 $ 0.18 Weighted average common shares outstanding, basic 85,188,182 85,115,310 Weighted average common shares outstanding, diluted 87,777,039 87,382,215 |
365 Digital | |
Business Acquisition [Line Items] | |
Summary of Purchase Price Allocation | The following is a summary of the purchase price allocation (unaudited; in millions): Cash $ 0.5 Accounts receivable 1.1 Intangible assets subject to amortization 2.2 Goodwill 3.7 Current liabilities ( 1.4 ) Deferred tax ( 0.6 ) |
Summary of Intangible Assets Subject to Amortization Acquired | Intangible assets subject to amortization acquired includes: Intangible Asset Estimated Fair Value (in millions) Weighted average life (in years) Publisher relationships $ 1.7 9.0 Advertiser relationships 0.2 4.0 Trade name 0.2 5.0 Non-Compete agreements 0.1 4.0 |
Schedule of Unaudited Pro Forma Information | The following unaudited pro forma information has been prepared to give effect to the Company’s acquisition of 365 Digital as if the acquisition had occurred on January 1, 2021. This pro forma information does not purport to represent what the actual results of operations of the Company would have been had this acquisition occurred on such date, nor does it purport to predict the results of operations for any future periods. Three-Month Period Six-Month Period Ended June 30, Ended June 30, 2021 2021 Pro Forma: Total revenue $ 179,008 $ 328,239 Net income (loss) attributable to common stockholders 7,904 13,356 Basic and diluted earnings per share: Net income (loss) per share, attributable to common stockholders, basic $ 0.09 $ 0.16 Net income (loss) per share, attributable to common stockholders, diluted $ 0.09 $ 0.15 Weighted average common shares outstanding, basic 85,188,182 85,115,310 Weighted average common shares outstanding, diluted 87,777,039 87,382,215 |
The Company and Significant A_4
The Company and Significant Accounting Policies - Additional Information (Detail) | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||||||||||
Jun. 04, 2021 USD ($) | Nov. 30, 2017 USD ($) | Jun. 30, 2022 USD ($) AdvertisingCustomer Unit Country Advertiser Market $ / shares shares | Mar. 31, 2022 USD ($) | Jun. 30, 2021 USD ($) shares | Jun. 30, 2022 USD ($) AdvertisingCustomer Unit Segment Market Country Advertiser Station $ / shares shares | Jun. 30, 2021 USD ($) shares | Dec. 31, 2021 USD ($) Advertiser | Mar. 01, 2022 USD ($) | Nov. 01, 2021 | Sep. 01, 2021 | Jul. 01, 2021 | Oct. 13, 2020 | |
Accounting Policies [Line Items] | |||||||||||||
Number of reportable segments | Segment | 3 | ||||||||||||
Number of business units | Unit | 4 | 4 | |||||||||||
Percentage of defer the employer portion of social security payroll tax of CARES act | 6.20% | ||||||||||||
Percentage of deferred employer portion of social security payroll tax of CARES act | 50% | ||||||||||||
Percentage of deferred amount of social security payroll tax of CARES act | 50% | ||||||||||||
Restricted cash | $ 750,000 | $ 749,000 | $ 750,000 | $ 749,000 | $ 749,000 | ||||||||
Amount due from television stations for carriage | 6,000,000 | 6,000,000 | |||||||||||
Retransmission consent revenue | $ 9,000,000 | $ 9,300,000 | $ 18,200,000 | $ 18,900,000 | |||||||||
Number of Class A common stock shares converted | shares | 1 | ||||||||||||
Shares of dilutive securities not included in computation of diluted earnings per share | shares | 81,700 | 684 | 49,556 | 342 | |||||||||
Amount approved under share purchase | $ 20,000,000 | ||||||||||||
Aggregate purchase price of repurchased shares | $ 4,138,000 | $ 7,142,000 | |||||||||||
Unamortized debt issuance costs | $ 1,532,000 | $ 1,532,000 | $ 1,851,000 | ||||||||||
Number of advertisers represent more than five percent of trade receivables | Advertiser | 0 | 0 | |||||||||||
Number of advertising customer represented more than five percent of revenue | AdvertisingCustomer | 0 | 0 | |||||||||||
Estimated losses for bad debts | $ 900,000 | $ 1,100,000 | $ 1,000,000 | $ 2,200,000 | |||||||||
Bad debts actually charged off | 300,000 | 400,000 | 400,000 | 500,000 | |||||||||
Interest income related to available-for-sale securities | $ 722,000 | $ 83,000 | $ 1,128,000 | $ 223,000 | |||||||||
Customer Concentration Risk | Revenue | Commercial Partner | |||||||||||||
Accounting Policies [Line Items] | |||||||||||||
Concentration risk percentage | 52% | 59% | 52% | 57% | |||||||||
Largest Advertisers | Customer Concentration Risk | Trade Receivables | |||||||||||||
Accounting Policies [Line Items] | |||||||||||||
Number of largest advertisers | Advertiser | 5 | 5 | 5 | ||||||||||
Concentration risk percentage | 3% | 3% | |||||||||||
Largest Advertisers | Customer Concentration Risk | Revenue | |||||||||||||
Accounting Policies [Line Items] | |||||||||||||
Concentration risk percentage | 16% | 10% | 16% | 9% | |||||||||
Cisneros Interactive | |||||||||||||
Accounting Policies [Line Items] | |||||||||||||
Remaining ownership interest acquired | 49% | 49% | 49% | ||||||||||
Ownership interest acquired | 100% | 51% | |||||||||||
MediaDonuts | |||||||||||||
Accounting Policies [Line Items] | |||||||||||||
Ownership interest acquired | 100% | 100% | 100% | ||||||||||
365 Digital | |||||||||||||
Accounting Policies [Line Items] | |||||||||||||
Ownership interest acquired | 100% | 100% | 100% | ||||||||||
Laredo, Texas | |||||||||||||
Accounting Policies [Line Items] | |||||||||||||
Agreement amount to sell building | $ 2,600,000 | ||||||||||||
Gain on sale of building | $ 500,000 | ||||||||||||
Available-for-Sale Securities | |||||||||||||
Accounting Policies [Line Items] | |||||||||||||
Interest income related to available-for-sale securities | 700,000 | $ 100,000 | $ 1,100,000 | $ 200,000 | |||||||||
2017 Credit Facility | |||||||||||||
Accounting Policies [Line Items] | |||||||||||||
Agreement date | Nov. 30, 2017 | ||||||||||||
Additional borrowing capacity | $ 100,000,000 | ||||||||||||
First lien net leverage ratio | 4% | ||||||||||||
Certain customary events of default, number of business days to default in the payment of interest on borrowings | 3 days | ||||||||||||
Certain customary events of default, number of days default continue for compliance with other agreement | 30 days | ||||||||||||
Certain customary events of default, number of days default continue for financial statement delivery obligations | 10 days | ||||||||||||
Certain customary events of default, indebtedness aggregate amount | $ 15,000,000 | ||||||||||||
Certain customary events of default, failure in payment of final judgments aggregate amount | $ 15,000,000 | ||||||||||||
Certain customary events of default, failure in payment of final judgments aggregate amount period | 30 days | ||||||||||||
Percentage of fee equal to amount of outstanding loans | 0.375% | ||||||||||||
Fee amount | $ 600,000 | ||||||||||||
2017 Credit Facility | Eurodollar Rate | |||||||||||||
Accounting Policies [Line Items] | |||||||||||||
Variable interest rate basis spread on debt | 2.75% | ||||||||||||
2017 Credit Facility | Base Rate Margin | |||||||||||||
Accounting Policies [Line Items] | |||||||||||||
Variable interest rate basis spread on debt | 1.75% | ||||||||||||
2017 Credit Facility | Term Loan B Facility | |||||||||||||
Accounting Policies [Line Items] | |||||||||||||
Senior Secured debt | $ 300,000,000 | ||||||||||||
Maturity date of revolving credit facility | Nov. 30, 2024 | ||||||||||||
Carrying value of term loan | 209,200,000 | $ 209,200,000 | |||||||||||
Unamortized debt issuance costs | 1,500,000 | 1,500,000 | |||||||||||
Estimated fair value of term loan | $ 204,400,000 | $ 204,400,000 | |||||||||||
Class A common stock | |||||||||||||
Accounting Policies [Line Items] | |||||||||||||
Number of shares repurchased | shares | 600,000 | 1,800,000 | |||||||||||
Aggregate purchase price of repurchased shares | $ 4,100,000 | $ 11,300,000 | |||||||||||
Average price of repurchased shares | $ / shares | $ 6.48 | $ 6.43 | |||||||||||
Stock Options And Restricted Stock Units | |||||||||||||
Accounting Policies [Line Items] | |||||||||||||
Share-based compensation expenses | $ 2,600,000 | 1,100,000 | $ 5,200,000 | 2,200,000 | |||||||||
Employee Stock Options | |||||||||||||
Accounting Policies [Line Items] | |||||||||||||
Share-based compensation expenses | 0 | 0 | 0 | 0 | |||||||||
Restricted Stock Units | |||||||||||||
Accounting Policies [Line Items] | |||||||||||||
Total unrecognized compensation expense related to grants of restricted stock units | 10,600,000 | $ 10,600,000 | |||||||||||
Weighted average period for unrecognized compensation expense related to grants of restricted stock units | 1 year 6 months | ||||||||||||
TelevisaUnivision | |||||||||||||
Accounting Policies [Line Items] | |||||||||||||
Payment of sales representation fees to television stations | 1,800,000 | 2,000,000 | $ 3,300,000 | 3,900,000 | |||||||||
Number of markets involved in sales and marketing | Market | 3 | ||||||||||||
Retransmission consent revenue | $ 6,200,000 | $ 6,500,000 | $ 12,500,000 | $ 13,300,000 | |||||||||
Common stock percentage held by Univision | 11% | 11% | |||||||||||
UniMas | |||||||||||||
Accounting Policies [Line Items] | |||||||||||||
Affiliate advertising minutes per hour for which entity has right to sell | 4 minutes 30 seconds | ||||||||||||
Minimum | |||||||||||||
Accounting Policies [Line Items] | |||||||||||||
Sales Operations in Number of Countries | Country | 30 | 30 | |||||||||||
Minimum | Employee Stock Options | |||||||||||||
Accounting Policies [Line Items] | |||||||||||||
Vesting period | 1 year | ||||||||||||
Minimum | Restricted Stock Units | |||||||||||||
Accounting Policies [Line Items] | |||||||||||||
Vesting period | 1 year | ||||||||||||
Minimum | TelevisaUnivision | |||||||||||||
Accounting Policies [Line Items] | |||||||||||||
Affiliate advertising minutes per hour for which entity has right to sell | 4 minutes | ||||||||||||
Maximum | |||||||||||||
Accounting Policies [Line Items] | |||||||||||||
Terminated stock repurchase program amount | $ 45,000,000 | ||||||||||||
Maximum | Employee Stock Options | |||||||||||||
Accounting Policies [Line Items] | |||||||||||||
Vesting period | 4 years | ||||||||||||
Maximum | Restricted Stock Units | |||||||||||||
Accounting Policies [Line Items] | |||||||||||||
Vesting period | 4 years | ||||||||||||
Television | |||||||||||||
Accounting Policies [Line Items] | |||||||||||||
Number of stations owned | Station | 49 | ||||||||||||
Radio | |||||||||||||
Accounting Policies [Line Items] | |||||||||||||
Number of stations owned | Station | 45 | ||||||||||||
Number of markets operated | Market | 14 | 14 | |||||||||||
Advertisements and Syndicate Radio Programming | Minimum | |||||||||||||
Accounting Policies [Line Items] | |||||||||||||
Number of markets owned | Market | 100 |
The Company and Significant A_5
The Company and Significant Accounting Policies - Summary of Cash and Cash Equivalents and Restricted Cash (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 | Jun. 30, 2021 | Dec. 31, 2020 |
Accounting Policies [Abstract] | ||||
Cash and cash equivalents | $ 109,950 | $ 185,094 | $ 171,862 | |
Restricted cash | 750 | 749 | 749 | |
Total as presented in the Consolidated Statements of Cash Flows | $ 110,700 | $ 185,843 | $ 172,611 | $ 119,911 |
The Company and Significant A_6
The Company and Significant Accounting Policies - Summary of Non-Vested Restricted Stock Units Granted (Detail) - Restricted Stock Units - $ / shares shares in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Restricted stock units granted | 122 | 85 | 175 | 85 |
Weighted Average Fair Value | $ 5.13 | $ 4.69 | $ 5.41 | $ 4.69 |
The Company and Significant A_7
The Company and Significant Accounting Policies - Reconciliation of Basic and Diluted Income (Loss) Per Share (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2022 | Mar. 31, 2022 | Jun. 30, 2021 | Mar. 31, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Numerator: | ||||||
Net income (loss) attributable to common stockholders | $ 8,467 | $ 1,887 | $ 7,864 | $ 5,429 | $ 10,354 | $ 13,293 |
Denominator: | ||||||
Weighted average common shares outstanding, basic | 84,959,130 | 85,188,182 | 85,735,916 | 85,115,310 | ||
Basic earnings per share: | ||||||
Net income (loss) per share attributable to common stockholders | $ 0.10 | $ 0.09 | $ 0.12 | $ 0.16 | ||
Numerator: | ||||||
Net income (loss) attributable to common stockholders | $ 8,467 | $ 1,887 | $ 7,864 | $ 5,429 | $ 10,354 | $ 13,293 |
Denominator: | ||||||
Weighted average common shares outstanding, basic | 84,959,130 | 85,188,182 | 85,735,916 | 85,115,310 | ||
Dilutive securities: | ||||||
Stock options and restricted stock units | 2,026,687 | 2,588,857 | 2,067,262 | 2,266,905 | ||
Weighted average common shares outstanding, diluted | 86,985,817 | 87,777,039 | 87,803,178 | 87,382,215 | ||
Diluted earnings per share: | ||||||
Net income (loss) per share attributable to common stockholders | $ 0.10 | $ 0.09 | $ 0.12 | $ 0.15 |
The Company and Significant A_8
The Company and Significant Accounting Policies - Fair Value Assets and Liabilities Measured on Recurring Basis and Nonrecurring Basis (Detail) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2021 | Jun. 30, 2022 | |
Fair Value, Measurements, Recurring | Contingent Consideration | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Fair Value and Carrying Value on Liabilities | $ 114.9 | $ 77.4 |
Fair Value, Measurements, Recurring | Money Market Account | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Fair Value and Carrying Value on Assets | 88.3 | 11.9 |
Fair Value, Measurements, Recurring | Corporate Bonds and Notes | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Fair Value and Carrying Value on Assets | 66.9 | |
Fair Value, Measurements, Recurring | Asset-Backed Securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Fair Value and Carrying Value on Assets | 7.4 | |
Fair Value, Measurements, Recurring | Level 1 | Money Market Account | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Fair Value and Carrying Value on Assets | 88.3 | 11.9 |
Fair Value, Measurements, Recurring | Level 2 | Corporate Bonds and Notes | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Fair Value and Carrying Value on Assets | 66.9 | |
Fair Value, Measurements, Recurring | Level 2 | Asset-Backed Securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Fair Value and Carrying Value on Assets | 7.4 | |
Fair Value, Measurements, Recurring | Level 3 | Contingent Consideration | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Fair Value and Carrying Value on Liabilities | 114.9 | $ 77.4 |
Fair Value, Measurements, Nonrecurring | FCC Licenses | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Fair Value and Carrying Value on Assets | 0.7 | |
Total Gains (Losses) | (0.1) | |
Fair Value, Measurements, Nonrecurring | Level 3 | FCC Licenses | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Fair Value and Carrying Value on Assets | $ 0.7 |
The Company and Significant A_9
The Company and Significant Accounting Policies - Summary of Amortized Cost and Unrealized (Gains) Losses of Available for Sale Securities (Details) $ in Thousands | 6 Months Ended |
Jun. 30, 2022 USD ($) | |
Corporate Bonds and Notes | |
Amortized Cost | |
Due within a year | $ 37,259 |
Due after one year | 31,680 |
Total | 68,939 |
Unrealized gains (losses) | |
Due within a year | (398) |
Due after one year | (1,605) |
Total | (2,003) |
Asset-backed Securities [Member] | |
Amortized Cost | |
Due after one year | 7,389 |
Total | 7,389 |
Unrealized gains (losses) | |
Due after one year | (47) |
Total | $ (47) |
The Company and Significant _10
The Company and Significant Accounting Policies - Summary of Changes in Contingent Consideration (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Asset Acquisition, Contingent Consideration [Line Items] | ||
Payment to sellers | $ (43,606) | |
Cisneros Interactive | ||
Asset Acquisition, Contingent Consideration [Line Items] | ||
Beginning balance | 114,900 | |
Payment to sellers | (43,600) | |
(Gain) loss recognized in earnings | 6,100 | |
Ending balance | $ 77,400 |
The Company and Significant _11
The Company and Significant Accounting Policies - Summary of Components of AOCI (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2022 | Mar. 31, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Accumulated Other Comprehensive Income Loss [Line Items] | |||||
Balance, Beginning | $ (977) | $ (977) | |||
Other comprehensive income (loss) | $ (1,721) | (380) | |||
Income tax (expense) benefit | 428 | 97 | |||
Total other comprehensive income (loss) | (1,293) | (283) | $ (310) | (1,576) | $ 28 |
Balance, Ending | (2,553) | (2,553) | |||
Foreign Currency Translation | |||||
Accumulated Other Comprehensive Income Loss [Line Items] | |||||
Balance, Beginning | (1,300) | (1,300) | (1,300) | ||
Other comprehensive income (loss) | (43) | ||||
Total other comprehensive income (loss) | (43) | ||||
Balance, Ending | (1,343) | (1,300) | (1,343) | ||
Marketable Securities | |||||
Accumulated Other Comprehensive Income Loss [Line Items] | |||||
Balance, Beginning | 40 | 323 | 323 | ||
Other comprehensive income (loss) | (1,678) | (380) | |||
Income tax (expense) benefit | 428 | 97 | |||
Total other comprehensive income (loss) | (1,250) | (283) | |||
Balance, Ending | (1,210) | 40 | (1,210) | ||
Accumulated Other Comprehensive Income (Loss) | |||||
Accumulated Other Comprehensive Income Loss [Line Items] | |||||
Balance, Beginning | (1,260) | (977) | (977) | ||
Balance, Ending | $ (2,553) | $ (1,260) | $ (2,553) |
Revenues - Summary of Revenues
Revenues - Summary of Revenues Disaggregated by Major Source (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Disaggregation Of Revenue [Line Items] | ||||
Total revenue | $ 221,695 | $ 178,410 | $ 418,867 | $ 327,290 |
Digital Advertising | ||||
Disaggregation Of Revenue [Line Items] | ||||
Total revenue | 174,378 | 130,223 | 328,089 | 231,705 |
Broadcast Advertising | ||||
Disaggregation Of Revenue [Line Items] | ||||
Total revenue | 35,347 | 36,438 | 66,804 | 70,113 |
Spectrum Usage Rights | ||||
Disaggregation Of Revenue [Line Items] | ||||
Total revenue | 1,674 | 1,109 | 3,209 | 3,953 |
Retransmission Consent | ||||
Disaggregation Of Revenue [Line Items] | ||||
Total revenue | 9,038 | 9,286 | 18,233 | 18,933 |
Other | ||||
Disaggregation Of Revenue [Line Items] | ||||
Total revenue | $ 1,258 | $ 1,354 | $ 2,532 | $ 2,586 |
Revenues - Summary of Disaggreg
Revenues - Summary of Disaggregation of Broadcast Advertising Revenue by Sales Channel (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Disaggregation Of Revenue [Line Items] | ||||
Total revenue | $ 221,695 | $ 178,410 | $ 418,867 | $ 327,290 |
Advertising | ||||
Disaggregation Of Revenue [Line Items] | ||||
Total revenue | 35,347 | 36,438 | 66,804 | 70,113 |
Advertising | Local Direct | ||||
Disaggregation Of Revenue [Line Items] | ||||
Total revenue | 6,009 | 5,729 | 11,430 | 10,969 |
Advertising | Local Agency | ||||
Disaggregation Of Revenue [Line Items] | ||||
Total revenue | 13,017 | 15,219 | 25,570 | 28,407 |
Advertising | National Agency | ||||
Disaggregation Of Revenue [Line Items] | ||||
Total revenue | $ 16,321 | $ 15,490 | $ 29,804 | $ 30,737 |
Revenues - Summary of Disaggr_2
Revenues - Summary of Disaggregation of Revenue by Geographical Region Based on Location of Sales Office (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Disaggregation of Revenue [Line Items] | ||||
Total revenue | $ 221,695 | $ 178,410 | $ 418,867 | $ 327,290 |
U.S. | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 59,069 | 54,132 | 111,340 | 106,605 |
Latin America | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 127,669 | 118,346 | 242,838 | 209,114 |
Asia | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 18,895 | 36,074 | ||
Rest of the World | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | $ 16,062 | $ 5,932 | $ 28,615 | $ 11,571 |
Revenues - Summary of Deferred
Revenues - Summary of Deferred Revenue (Detail) $ in Thousands | 6 Months Ended |
Jun. 30, 2022 USD ($) | |
Revenue from Contract with Customer [Abstract] | |
Beginning Balance | $ 5,942 |
Increase | 7,163 |
Decrease | (5,942) |
Ending Balance | $ 7,163 |
Leases - Additional Information
Leases - Additional Information (Detail) $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Sep. 30, 2022 USD ($) | Jun. 07, 2022 ft² | Jun. 30, 2022 USD ($) ft² | Jun. 30, 2021 USD ($) | Jun. 30, 2022 USD ($) ft² | Jun. 30, 2021 USD ($) | |
Lessee Lease Description [Line Items] | ||||||
Payment of operating lease termination fee | $ 200 | |||||
Remaining term description of leases | The Company’s existing leases have remaining terms of less than one year up to 28 years. | |||||
Weighted average remaining lease term | 9 years 1 month 6 days | 9 years 7 months 6 days | 9 years 1 month 6 days | 9 years 7 months 6 days | ||
Weighted average discount rate | 6.30% | 6.30% | 6.30% | 6.30% | ||
Lease cost | $ 3,073 | $ 2,819 | $ 5,971 | $ 5,539 | ||
Santa Monica | ||||||
Lessee Lease Description [Line Items] | ||||||
Area under operating leases for corporate headquarters | ft² | 38,000 | 16,000 | 16,000 | |||
Operating lease extended expire date | Jan. 31, 2034 | |||||
Operating lease amended date | Jun. 07, 2022 | |||||
Los Angeles | ||||||
Lessee Lease Description [Line Items] | ||||||
Area under operating leases for corporate headquarters | ft² | 41,000 | 41,000 | ||||
Lease termination date | Sep. 30, 2022 | |||||
Direct Operating Expenses | ||||||
Lessee Lease Description [Line Items] | ||||||
Lease cost | $ 1,500 | 1,400 | $ 3,000 | 2,800 | ||
Selling, General and Administrative Expenses | ||||||
Lessee Lease Description [Line Items] | ||||||
Lease cost | 1,400 | 1,200 | 2,700 | 2,400 | ||
Corporate Expenses | ||||||
Lessee Lease Description [Line Items] | ||||||
Lease cost | $ 200 | $ 200 | $ 300 | $ 300 | ||
Scenario Forecast | ||||||
Lessee Lease Description [Line Items] | ||||||
Payment of operating lease termination fee | $ 400 | |||||
Maximum | ||||||
Lessee Lease Description [Line Items] | ||||||
Remaining term of leases | 28 years |
Leases - Summary of Expected Fu
Leases - Summary of Expected Future Payments Related to Lease Liabilities (Detail) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Leases [Abstract] | ||
Remainder of 2022 | $ 4,272 | |
2023 | 6,205 | |
2024 | 5,045 | |
2025 | 4,600 | |
2026 | 3,015 | |
2027 and thereafter | 11,510 | |
Total minimum payments | 34,647 | |
Less amounts representing interest | (7,748) | |
Present value of minimum lease payments | 26,899 | |
Less current operating lease liabilities | (6,097) | $ (7,304) |
Long-term operating lease liabilities | $ 20,802 | $ 20,988 |
Leases - Summary of Lease Payme
Leases - Summary of Lease Payments and Supplemental Non-Cash Disclosures (Detail) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Leases [Abstract] | ||
Operating cash flows from operating leases | $ 5,146 | $ 5,329 |
Non-cash additions to operating lease assets | $ 2,998 | $ 4,352 |
Leases - Summary of Components
Leases - Summary of Components of Lease Expense (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Leases [Abstract] | ||||
Operating lease cost | $ 2,208 | $ 2,051 | $ 4,373 | $ 4,204 |
Variable lease cost | 274 | 438 | 592 | 566 |
Short-term lease cost | 591 | 330 | 1,006 | 769 |
Total lease cost | $ 3,073 | $ 2,819 | $ 5,971 | $ 5,539 |
Segment Information - Additiona
Segment Information - Additional Information (Detail) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 Unit | Jun. 30, 2021 | Jun. 30, 2022 Unit Segment Station Country | Jun. 30, 2021 | |
Segment Reporting Information [Line Items] | ||||
Number of reportable segments | Segment | 3 | |||
Number of business units | Unit | 4 | 4 | ||
Percentage of revenue generated from outside the United States | 73% | 70% | 73% | 67% |
Digital | Minimum | ||||
Segment Reporting Information [Line Items] | ||||
Number of countries in operation | Country | 30 | |||
Television | ||||
Segment Reporting Information [Line Items] | ||||
Number of stations owned | 49 | |||
Audio | ||||
Segment Reporting Information [Line Items] | ||||
Number of stations owned | 45 |
Segment Information - Separate
Segment Information - Separate Financial Data for Each of Company's Operating Segment (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Dec. 31, 2021 | |
Segment Reporting Information [Line Items] | |||||
Net revenue | $ 221,695 | $ 178,410 | $ 418,867 | $ 327,290 | |
Cost of revenue | 144,965 | 109,030 | 274,856 | 193,786 | |
Direct operating expenses | 29,596 | 28,336 | 57,419 | 54,897 | |
Selling, general and administrative expenses | 17,775 | 13,106 | 33,814 | 26,959 | |
Depreciation and amortization | 6,263 | 5,074 | 12,658 | 10,258 | |
Operating income (loss) | 13,441 | 16,239 | 17,607 | 27,608 | |
Corporate expenses | 8,520 | 7,345 | 17,244 | 14,503 | |
Change in fair value of contingent consideration | 976 | 6,076 | |||
Impairment charge | 112 | 1,438 | |||
Foreign currency (gain) loss | 993 | (309) | 146 | 277 | |
Other operating (gain) loss | (834) | (523) | (953) | (2,436) | |
Interest expense | (2,334) | (1,856) | (4,170) | (3,573) | |
Interest income | 722 | 83 | 1,128 | 223 | |
Dividend income | 11 | 2 | 14 | 4 | |
Income (loss) before income taxes | 11,840 | 14,468 | 14,579 | 24,262 | |
Capital expenditures | 1,891 | 1,115 | 3,408 | 2,628 | |
Total assets | $ 840,203 | $ 840,203 | $ 851,342 | ||
Percentage change in net revenue | 24% | 28% | |||
Percentage change in direct operating expenses | 4% | 5% | |||
Percentage change in selling, general and administrative expenses | 36% | 25% | |||
Percentage change in depreciation and amortization | 23% | 23% | |||
Percentage change in segment operating profit (loss) | 1% | 3% | |||
Percentage change in corporate expenses | 16% | 19% | |||
Percentage change in impairment charge | (100.00%) | (100.00%) | |||
Percentage change in foreign currency (gain) loss | (47.00%) | ||||
Percentage change in other operating (gain) loss | (59.00%) | (61.00%) | |||
Percentage change in operating income (loss) | 17% | (36.00%) | |||
Percentage change in interest expense | 26% | 17% | |||
Percentage change in interest income | 770% | 406% | |||
Percentage change in dividend income | 450% | 250% | |||
Percentage change in income (loss) before income taxes | 18% | (40.00%) | |||
Operating Segments | |||||
Segment Reporting Information [Line Items] | |||||
Operating income (loss) | $ 23,096 | 22,864 | $ 40,120 | 41,390 | |
Corporate, Non-Segment | |||||
Segment Reporting Information [Line Items] | |||||
Corporate expenses | 8,520 | 7,345 | 17,244 | 14,503 | |
Digital | |||||
Segment Reporting Information [Line Items] | |||||
Cost of revenue | 144,965 | 109,030 | 274,856 | 193,786 | |
Direct operating expenses | 7,843 | 6,238 | 14,976 | 11,139 | |
Selling, general and administrative expenses | 9,419 | 5,789 | 17,521 | 11,738 | |
Depreciation and amortization | 2,644 | 1,613 | 5,321 | 3,194 | |
Capital expenditures | 1,092 | 538 | 1,861 | 874 | |
Total assets | $ 350,725 | $ 350,725 | 309,347 | ||
Percentage change in cost of revenue | 33% | 42% | |||
Percentage change in direct operating expenses | 26% | 34% | |||
Percentage change in selling, general and administrative expenses | 63% | 49% | |||
Percentage change in depreciation and amortization | (64.00%) | (67.00%) | |||
Percentage change in segment operating profit (loss) | 26% | 30% | |||
Digital | Operating Segments | |||||
Segment Reporting Information [Line Items] | |||||
Operating income (loss) | $ 9,507 | 7,553 | $ 15,415 | 11,848 | |
Digital | Advertising and Retransmission Consent | |||||
Segment Reporting Information [Line Items] | |||||
Net revenue | $ 174,378 | 130,223 | $ 328,089 | 231,705 | |
Percentage change in net revenue | 34% | 42% | |||
Television | |||||
Segment Reporting Information [Line Items] | |||||
Direct operating expenses | $ 14,488 | 15,203 | $ 28,771 | 30,172 | |
Selling, general and administrative expenses | 5,238 | 4,313 | 10,195 | 9,228 | |
Depreciation and amortization | 2,808 | 3,107 | 5,701 | 6,323 | |
Capital expenditures | 676 | 430 | 1,136 | 1,461 | |
Total assets | $ 384,087 | $ 384,087 | 433,303 | ||
Percentage change in direct operating expenses | (5.00%) | (5.00%) | |||
Percentage change in selling, general and administrative expenses | 21% | 10% | |||
Percentage change in depreciation and amortization | (10.00%) | (10.00%) | |||
Percentage change in segment operating profit (loss) | 14% | (24.00%) | |||
Television | Operating Segments | |||||
Segment Reporting Information [Line Items] | |||||
Operating income (loss) | $ 9,839 | 11,434 | $ 18,573 | 24,425 | |
Television | Advertising and Retransmission Consent | |||||
Segment Reporting Information [Line Items] | |||||
Net revenue | $ 32,373 | 34,057 | $ 63,240 | 70,148 | |
Percentage change in net revenue | (5.00%) | (10.00%) | |||
Audio | |||||
Segment Reporting Information [Line Items] | |||||
Direct operating expenses | $ 7,265 | 6,895 | $ 13,672 | 13,586 | |
Selling, general and administrative expenses | 3,118 | 3,004 | 6,098 | 5,993 | |
Depreciation and amortization | 811 | 354 | 1,636 | 741 | |
Capital expenditures | 123 | 147 | 411 | 293 | |
Total assets | $ 105,391 | $ 105,391 | $ 108,692 | ||
Percentage change in direct operating expenses | 5% | (1.00%) | |||
Percentage change in selling, general and administrative expenses | 4% | (2.00%) | |||
Percentage change in depreciation and amortization | (129.00%) | 121% | |||
Percentage change in segment operating profit (loss) | 3% | 20% | |||
Audio | Operating Segments | |||||
Segment Reporting Information [Line Items] | |||||
Operating income (loss) | $ 3,750 | 3,877 | $ 6,132 | 5,117 | |
Audio | Advertising and Retransmission Consent | |||||
Segment Reporting Information [Line Items] | |||||
Net revenue | $ 14,944 | $ 14,130 | $ 27,538 | $ 25,437 | |
Percentage change in net revenue | 6% | 8% |
Acquisitions - Additional Infor
Acquisitions - Additional Information (Detail) - USD ($) | 1 Months Ended | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||||||||
Nov. 01, 2021 | Sep. 01, 2021 | Jul. 01, 2021 | Oct. 13, 2020 | Apr. 30, 2022 | Jan. 31, 2022 | Jun. 30, 2022 | Sep. 30, 2021 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Mar. 31, 2022 | |
Business Acquisition [Line Items] | ||||||||||||
Change in fair value of contingent consideration | $ 976,000 | $ 6,076,000 | ||||||||||
Net revenue | 221,695,000 | $ 178,410,000 | $ 418,867,000 | $ 327,290,000 | ||||||||
Cisneros Interactive Noncontrolling Ownership | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Noncontrolling interest | 49% | |||||||||||
Cisneros Interactive | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Business acquisition date | Oct. 13, 2020 | |||||||||||
Ownership interest acquired | 100% | 51% | ||||||||||
Aggregate cash consideration | $ 29,900,000 | |||||||||||
Business acquisition description of acquired entity | Subject to the terms of the Put and Call Agreement, if certain minimum EBITDA targets are met, the Sellers had the right (the “Put Option”), between March 15, 2024 and June 13, 2024, to cause the Company to purchase all (but not less than all) the remaining 49% of the issued and outstanding shares of Cisneros Interactive stock at a purchase price to be based on a pre-determined multiple of six times Cisneros Interactive’s 12-month EBITDA in the preceding calendar year. The Sellers also had the right to exercise the Put Option upon the occurrence of certain events, between March 2022 and April 2024. | |||||||||||
Redeemable noncontrolling interest | 30,800,000 | |||||||||||
Accounts receivables assets acquired, fair value | 50,500,000 | |||||||||||
Gross amount account receivables asset acquired | 54,000,000 | |||||||||||
Amount due under contract expected to be uncollectible | 3,500,000 | |||||||||||
Increase in other assets | 2,100,000 | |||||||||||
Increase in deferred tax | 300,000 | |||||||||||
Decrease in goodwill | $ 1,800,000 | |||||||||||
Gain Loss on Acquisition of Minority Interest | $ 0 | |||||||||||
Accelerated earn-out based on EBITDA | $ 14,700,000 | |||||||||||
Earn-out based on EBITDA | $ 28,900,000 | |||||||||||
Fair value of the contingent consideration recognized | $ 84,400,000 | 54,500,000 | $ 54,500,000 | |||||||||
Contingent consideration current | 24,200,000 | 24,200,000 | ||||||||||
Contingent consideration noncurrent liabilities | 30,300,000 | 30,300,000 | ||||||||||
Change in fair value of contingent consideration | 500,000 | 1,000,000 | ||||||||||
Net revenue | 124,900,000 | 114,900,000 | 237,400,000 | 203,400,000 | ||||||||
Net Income | $ 5,200,000 | 5,300,000 | $ 10,300,000 | 8,500,000 | ||||||||
Remaining ownership interest acquired | 49% | 49% | 49% | |||||||||
Business combination consideration, transferred | $ 10,000,000 | |||||||||||
Cisneros Interactive | Maximum | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Period of discounted cost of debt rate | 3 years | |||||||||||
Business combination consideration, transferred | $ 10,000,000 | |||||||||||
Cisneros Interactive | Maximum | Discount Rate | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Discounted cost of debt rate | 0.072 | |||||||||||
Cisneros Interactive | Minimum | Discount Rate | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Discounted cost of debt rate | 0.065 | |||||||||||
Cisneros Interactive | Put Option | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Agreed future ownership Interest acquired | 49% | |||||||||||
Cisneros Interactive | Call Option | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Agreed future ownership Interest acquired | 49% | |||||||||||
Business acquisition description of acquired entity | Additionally, subject to the terms of the Put and Call Agreement, the Company had the right (the “Call Option”), in calendar year 2024, to purchase all (but not less than all) the remaining 49% of the issued and outstanding shares of Cisneros Interactive stock at a purchase price to be based on a pre-determined multiple of six times of Cisneros Interactive’s 12-month EBITDA in calendar year 2023. | |||||||||||
MediaDonuts | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Business acquisition date | Jul. 01, 2021 | |||||||||||
Ownership interest acquired | 100% | 100% | 100% | |||||||||
Aggregate cash consideration | $ 15,100,000 | |||||||||||
Accounts receivables assets acquired, fair value | 9,900,000 | |||||||||||
Gross amount account receivables asset acquired | 10,200,000 | |||||||||||
Amount due under contract expected to be uncollectible | $ 300,000 | |||||||||||
Period of discounted cost of debt rate | 3 years | |||||||||||
Fair value of the contingent consideration recognized | $ 19,100,000 | $ 19,100,000 | ||||||||||
Contingent consideration current | 5,500,000 | 5,500,000 | ||||||||||
Contingent consideration noncurrent liabilities | 13,600,000 | 13,600,000 | ||||||||||
Change in fair value of contingent consideration | 1,700,000 | 3,300,000 | ||||||||||
Net revenue | 18,900,000 | 36,100,000 | ||||||||||
Net Income | $ 600,000 | $ 3,200,000 | ||||||||||
Business combination consideration, transferred | $ 17,100,000 | |||||||||||
Decrease in purchase consideration | $ 1,200,000 | |||||||||||
Business combination, contingent earn-out payments | 7,400,000 | |||||||||||
Total purchase price for acquisition, including fair value of contingent consideration | 36,200,000 | |||||||||||
Acquisition fees and costs | $ 500,000 | $ 700,000 | ||||||||||
Fair value of contingent consideration recognized | $ 20,300,000 | |||||||||||
MediaDonuts | Maximum | Discount Rate | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Discounted cost of debt rate | 0.067 | |||||||||||
MediaDonuts | Minimum | Discount Rate | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Discounted cost of debt rate | 0.058 | |||||||||||
365 Digital | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Business acquisition date | Nov. 01, 2021 | |||||||||||
Ownership interest acquired | 100% | 100% | 100% | |||||||||
Aggregate cash consideration | $ 1,900,000 | |||||||||||
Purchase price adjusted based on EBITDA | $ 3,500,000 | |||||||||||
Accounts receivables assets acquired, fair value | 1,100,000 | |||||||||||
Gross amount account receivables asset acquired | 1,100,000 | |||||||||||
Fair value of the contingent consideration recognized | $ 3,800,000 | $ 3,800,000 | ||||||||||
Contingent consideration current | 1,200,000 | 1,200,000 | ||||||||||
Contingent consideration noncurrent liabilities | 2,600,000 | 2,600,000 | ||||||||||
Change in fair value of contingent consideration | (1,200,000) | 1,800,000 | ||||||||||
Net revenue | 2,800,000 | 4,900,000 | ||||||||||
Net Income | $ 0 | $ 100,000 | ||||||||||
Total purchase price for acquisition, including fair value of contingent consideration | 5,500,000 | |||||||||||
Fair value of contingent consideration recognized | $ 2,000,000 | |||||||||||
365 Digital | Maximum | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Period of discounted cost of debt rate | 3 years | |||||||||||
365 Digital | Maximum | Discount Rate | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Discounted cost of debt rate | 0.083 | |||||||||||
365 Digital | Minimum | Discount Rate | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Discounted cost of debt rate | 0.076 |
Acquisitions - Summary of Purch
Acquisitions - Summary of Purchase Price Allocation (Detail) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 | Nov. 01, 2021 | Jul. 01, 2021 | Oct. 13, 2020 |
Business Acquisition [Line Items] | |||||
Goodwill | $ 73,273 | $ 71,708 | |||
Cisneros Interactive | |||||
Business Acquisition [Line Items] | |||||
Cash | $ 8,700 | ||||
Accounts receivable | 50,500 | ||||
Other assets | 8,300 | ||||
Intangible assets subject to amortization | 41,700 | ||||
Goodwill | 10,500 | ||||
Current liabilities | (48,100) | ||||
Deferred tax | (10,900) | ||||
Redeemable noncontrolling interest | $ (30,800) | ||||
MediaDonuts | |||||
Business Acquisition [Line Items] | |||||
Cash | $ 4,300 | ||||
Accounts receivable | 9,900 | ||||
Other assets | 1,800 | ||||
Intangible assets subject to amortization | 22,800 | ||||
Goodwill | 13,400 | ||||
Current liabilities | (10,100) | ||||
Deferred tax | (4,200) | ||||
Debt | $ (1,700) | ||||
365 Digital | |||||
Business Acquisition [Line Items] | |||||
Cash | $ 500 | ||||
Accounts receivable | 1,100 | ||||
Intangible assets subject to amortization | 2,200 | ||||
Goodwill | 3,700 | ||||
Current liabilities | (1,400) | ||||
Deferred tax | $ (600) |
Acquisitions - Summary of Intan
Acquisitions - Summary of Intangible Assets Subject to Amortization Acquired (Detail) - USD ($) $ in Millions | Nov. 01, 2021 | Jul. 01, 2021 | Oct. 13, 2020 |
Cisneros Interactive | Publisher Relationships | |||
Finite-Lived Intangible Assets [Line Items] | |||
Estimated Fair Value, Intangible Asset | $ 34.4 | ||
Weighted average life (in years), Intangible Assets | 10 years | ||
Cisneros Interactive | Advertiser Relationships | |||
Finite-Lived Intangible Assets [Line Items] | |||
Estimated Fair Value, Intangible Asset | $ 5.2 | ||
Weighted average life (in years), Intangible Assets | 4 years | ||
Cisneros Interactive | Trade Name | |||
Finite-Lived Intangible Assets [Line Items] | |||
Estimated Fair Value, Intangible Asset | $ 1.7 | ||
Weighted average life (in years), Intangible Assets | 2 years 6 months | ||
Cisneros Interactive | Non-Compete Agreements | |||
Finite-Lived Intangible Assets [Line Items] | |||
Estimated Fair Value, Intangible Asset | $ 0.4 | ||
Weighted average life (in years), Intangible Assets | 4 years | ||
MediaDonuts | Publisher Relationships | |||
Finite-Lived Intangible Assets [Line Items] | |||
Estimated Fair Value, Intangible Asset | $ 16.9 | ||
Weighted average life (in years), Intangible Assets | 10 years | ||
MediaDonuts | Advertiser Relationships | |||
Finite-Lived Intangible Assets [Line Items] | |||
Estimated Fair Value, Intangible Asset | $ 3.7 | ||
Weighted average life (in years), Intangible Assets | 4 years | ||
MediaDonuts | Trade Name | |||
Finite-Lived Intangible Assets [Line Items] | |||
Estimated Fair Value, Intangible Asset | $ 2 | ||
Weighted average life (in years), Intangible Assets | 5 years | ||
MediaDonuts | Non-Compete Agreements | |||
Finite-Lived Intangible Assets [Line Items] | |||
Estimated Fair Value, Intangible Asset | $ 0.2 | ||
Weighted average life (in years), Intangible Assets | 4 years | ||
365 Digital | Publisher Relationships | |||
Finite-Lived Intangible Assets [Line Items] | |||
Estimated Fair Value, Intangible Asset | $ 1.7 | ||
Weighted average life (in years), Intangible Assets | 9 years | ||
365 Digital | Advertiser Relationships | |||
Finite-Lived Intangible Assets [Line Items] | |||
Estimated Fair Value, Intangible Asset | $ 0.2 | ||
Weighted average life (in years), Intangible Assets | 4 years | ||
365 Digital | Trade Name | |||
Finite-Lived Intangible Assets [Line Items] | |||
Estimated Fair Value, Intangible Asset | $ 0.2 | ||
Weighted average life (in years), Intangible Assets | 5 years | ||
365 Digital | Non-Compete Agreements | |||
Finite-Lived Intangible Assets [Line Items] | |||
Estimated Fair Value, Intangible Asset | $ 0.1 | ||
Weighted average life (in years), Intangible Assets | 4 years |
Acquisitions - Reconciliation o
Acquisitions - Reconciliation of Changes in Redeemable Noncontrolling Interests (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended |
Jun. 30, 2021 | Jun. 30, 2021 | |
Business Acquisition [Line Items] | ||
Net income attributable to redeemable noncontrolling interest | $ 2,612 | $ 4,185 |
Cisneros Interactive | ||
Business Acquisition [Line Items] | ||
Beginning balance | 34,858 | 33,285 |
Net income attributable to redeemable noncontrolling interest | 2,612 | 4,185 |
Ending balance | $ 37,470 | $ 37,470 |
Acquisitions - Schedule of Unau
Acquisitions - Schedule of Unaudited Pro Forma Information (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended |
Jun. 30, 2021 | Jun. 30, 2021 | |
MediaDonuts | ||
Pro Forma: | ||
Total revenue | $ 190,456 | $ 348,933 |
Net income (loss) attributable to common stockholders | $ 9,459 | $ (16,048) |
Basic and diluted earnings per share: | ||
Net income (loss) per share, attributable to common stockholders, basic | $ 0.11 | $ 0.19 |
Net income (loss) per share, attributable to common stockholders, diluted | $ 0.11 | $ 0.18 |
Weighted average common shares outstanding, basic | 85,188,182 | 85,115,310 |
Weighted average common shares outstanding, diluted | 87,777,039 | 87,382,215 |
365 Digital | ||
Pro Forma: | ||
Total revenue | $ 179,008 | $ 328,239 |
Net income (loss) attributable to common stockholders | $ 7,904 | $ (13,356) |
Basic and diluted earnings per share: | ||
Net income (loss) per share, attributable to common stockholders, basic | $ 0.09 | $ 0.16 |
Net income (loss) per share, attributable to common stockholders, diluted | $ 0.09 | $ 0.15 |
Weighted average common shares outstanding, basic | 85,188,182 | 85,115,310 |
Weighted average common shares outstanding, diluted | 87,777,039 | 87,382,215 |