Here’s the good news when it comes to Beasley Media Group‘s Q2 2025 earnings report: the radio station owner’s net loss declined to $154,180 (-$0.09 per diluted share) from $276,020 (-$0.18) in the second quarter of 2024. However, it appears that expense controls are to thank, as the net revenue and adjusted EBITDA each saw notable declines in Q2. A surprise transaction in its home market is also a likely factor.
Ahead of the company’s 11am Eastern earnings call on Wednesday, publicly traded Beasley shared that in Q2, its net revenue fell to $53 million from $60.4 million — down 12.3%, or 11.1% on a same-station basis.
“This decrease reflects continued softness in the traditional audio advertising market,” the company said. This was partially offset by growth in “high-margin owned-and-operated digital revenue,” which CEO Caroline Beasley declared a core focus “as we shift away from agency-driven business toward more scalable and profitable direct revenue streams.”
This ties to her declaration that Beasley Media Group is taking a cue from Townsquare Media and Saga Communications by seeking to better monetize its digital platforms, boldly saying that the company founded by her father, George Beasley, seeks to become a digital-first company in the coming months and quarters. Doing so is essential for survival in today’s media marketplace, Caroline Beasley said in an interview on Borrell Associates’ Local Marketing Trends podcast.
Digital revenue now accounts for over 25% of total revenue.
Speaking to Streamline Publishing’s Radio Ink following the distribution of the podcast, Ms. Beasley commented, “Digital-first is our guiding strategy moving forward. As traditional radio advertising dollars soften, our focus remains on expanding the digital side of our business – an area that continues to grow. This is what our clients and listeners want and expect from us, and we are committed to delivering it. The industry is evolving, and we are evolving with it. While our traditional broadcast properties will continue to play an important role in our portfolio, our focus must remain on the future – embracing digital innovation and new technologies that complement our core business. That is where the industry is headed, and we intend to be there.”
The company is building a product that will allow advertisers to buy digital, and eventually over-the-air, inventory entirely online, aiming to simplify transactions and appeal to smaller advertisers. Looking ahead to 2035, Beasley also predicted physical facilities will give way to cloud-based operations, and AI will be embedded in every aspect of the business.
Looking closer at the Q2 2025 earnings report, operating income fell to $2.9 million, from $5.4 million, while adjusted EBITDA declined to $4.7 million, from $8.8 million in the year-ago quarter.
In prepared comments ahead of the Q2 earnings call for investors, as there are no analysts reporting to Yahoo! Finance on Beasley, Caroline Beasley said, “Our second quarter results reflect continued progress in reshaping our business for long-term profitability. While top-line performance was impacted by advertising softness and ongoing sales execution challenges, we are encouraged by the growth in our high-margin digital offerings and the positive impact of our aggressive cost reduction efforts.”
So, how did Beasley manage to trim its net loss in Q2 on diminished revenue and adjusted EBITDA? “We remain committed to disciplined capital and cost management, while investing in our differentiated content, digital infrastructure, and self-service platforms,” Caroline Beasley said. “With a leaner operating structure, a sharper focus on local and digital-first revenue streams, and an accelerated product roadmap—including the introduction of new products and our new self-serve platform launching in Q3—we believe Beasley is better positioned than ever to capture emerging opportunities and deliver sustainable value for our stockholders.”
Importantly, “as part of our efforts to strengthen our balance sheet and streamline our portfolio,” Beasley agreed to sell Class C2 WPBB-FM 98.7 in the Tampa-St. Petersburg market to K-LOVE parent Educational Media Foundation. That transaction is valued at $8 million, with a $400,000 deposit being held by Beasley Media Group’s broker of record, Michael Bergner of Bergner & Co.
Then, there is a mystery deal that transpired before the end of Q2 2025 — the sale of five stations in Beasley’s home market of Fort Myers-Naples. A company spokesperson confirmed the deal has been made, with details not coming until Caroline was to speak about the sale until the quarterly earnings call.
The Southwest Florida radio stations Beasley is selling are comprised of WRXK-FM “96 KRock,” Adult-oriented Tropical WWCN-FM “Playa 99.3,” Top 40 WXKB “B103.9,” Gold-based Adult Contemporary WJPT-FM “Sunny 106.3,” and Sports Talk WBCN-AM 770, an ESPN Radio affiliate.
Beasley has been competing in the Southwest Florida radio marketplace against privately held operators Fort Myers Broadcasting Co. (and related entity Sun Broadcasting) and Renda Broadcasting, and opposite iHeartMedia.
Looking ahead, Digital is expected to be between 25% and 30% of total revenue as CEO Beasley and CFO Lauren Burrows Coleman stressed that the dollar generators it can control are building in strength. Alas, “softness” in local and national agency business is impacting some 40% of the total revenue; local represents 15% of the dollars, while national is responsible for 20% of the revenue.
In Q3, pacing are down in the high-single-digits, ex-political.
— Additional reporting by Cameron Coats and Dana Schaeffer.
