Cumulus Media CEO Lew Dickey told analysts today that the company’s RFP for ratings service for its 100+ ranked markets will come to a “formal conclusion” within the next two weeks, which leaves open the possibility that there won’t actually be a contract signed.
Meanwhile, Cumulus reported that Q3 revenues were down 5% to $80 million. Dickey emphasized that cash revenue was only down 4.1%, while barter dropped 21.6%, since the company has been moving away from barter deals. Station operating income (SOI) declined 8.7% to $29.2 million. On a pro forma basis, revenues were down 4.5% and 8.5%.
“We’re currently operating in one of the most challenging environments that I’ve seen in 24 years in the radio business,” said Dickey, while insisting that the radio business is still “fundamentally very sound.” See the related story for Dickey’s comments on what needs to change.
What about now? Cumulus Media indicated to Wall Street that Q4 is pacing down 9-11%.