iHeartMedia, a major player in the AM and FM radio industry with 870 stations and a growing digital presence, experienced a 6 percent increase in podcast revenue, reaching $139.6 million in the fourth quarter. This growth was driven by heightened demand from advertisers, although operating expenses also rose due to content and profit-sharing costs.
Overall, the company reported a total revenue of $1.118 billion, up 4.8 percent from the previous year. CFO Rich Bressler noted that iHeartMedia’s net debt stood at $4.52 billion, the lowest in the company’s history.
During an earnings call, iHeartMedia CEO Bob Pittman discussed the rise of video podcasts, a format that has gained traction with platforms like Spotify and YouTube. While some consumers are shifting towards video content, Pittman emphasized that the majority still prefer audio podcasts for their convenience and immersive experience.
iHeartMedia has established itself as a leading global podcast network, offering popular shows like On Purpose with Jay Shetty and Stuff You Should Know. With 685 million downloads/views in January, the company outperformed other hosting platforms and media outlets in the industry.
The company also syndicates popular radio shows featuring personalities like Ryan Seacrest, Steve Harvey, and political commentators like Sean Hannity. Pittman mentioned that iHeartMedia is open to incorporating video content into their podcasts if there is demand from consumers.
Looking ahead, iHeartMedia expects a slight decline in revenue for the first quarter and anticipates flat revenue growth in 2025 without the boost from political advertising. The company recently implemented cost-cutting measures, including laying off 5 percent of its workforce, to streamline operations and focus on digital growth.
In conclusion, iHeartMedia continues to evolve its business model to adapt to changing consumer preferences and technological advancements in the media industry.
Source link
