Townsquare Media, Inc. (NYSE: TSQ) released its second-quarter financial results for 2025, reporting an increase in Adjusted EBITDA of 0.7% year-over-year. The company’s digital advertising division, Townsquare Ignite, continues to be a significant growth driver, with Digital net revenue increasing 2.1% in Q2 and 4.1% for the first half of the year. Digital represented 55% of total net revenue and 56% of segment profit in 1H’25.
For the second quarter, Townsquare’s total net revenue decreased by 2.3% year-over-year, driven primarily by a 9.2% drop in Broadcast Advertising. However, excluding political revenue, net revenue fell by just 1.6%. Adjusted EBITDA excluding political revenue grew by 3.8%, exceeding guidance expectations. The company also improved its net income by $50.9 million, from a loss of $48.9 million in Q2 2024 to a net income of $2.0 million in Q2 2025.
In the first half of 2025, Townsquare repurchased $10 million of debt, contributing to its strong financial position. The company’s digital segments continued to outperform, with Digital Advertising net revenue up 4.8% year-over-year and Subscription Digital Marketing Solutions net revenue growing by 2.8%. Digital’s segment profit also increased by 9.4%, highlighting Townsquare’s successful focus on digital growth.
The company’s board of directors declared a quarterly cash dividend of $0.20 per share, reflecting its ongoing commitment to shareholder value. The dividend will be paid on November 3, 2025, to shareholders of record on October 27, 2025.
Financial Summary:
Q2 2025 vs Q2 2024:
Total net revenue: -2.3%, excluding political: -1.6%
Adjusted EBITDA: +0.7%, excluding political: +3.8%
Net income: $2.0 million, up $50.9 million year-over-year
Digital net revenue: +2.1%
Broadcast Advertising revenue: -9.2%
Repurchased $9.9 million of Senior Secured Credit Facility debt
First Half of 2025 vs 2024:
Total net revenue: -1.7%, excluding political: -1.1%
Adjusted EBITDA: +1.8%
Digital net revenue: +4.1%
Broadcast Advertising revenue: -9.2%
Debt and Cash Flow:
Townsquare’s strong cash flow generation continues, supporting its debt repayment efforts. The company has repurchased a total of $13 million of debt since February 2025, maintaining significant flexibility moving forward. As of June 30, 2025, the company had $3.2 million in cash and cash equivalents, with outstanding indebtedness totaling $467.1 million.
The board’s approval of a $0.20 per share quarterly dividend reaffirms Townsquare’s strong financial health and commitment to delivering value to its shareholders.
Segment Performance:
Digital Advertising (Townsquare Ignite):
Q2 net revenue: $42.5 million, +2.4% year-over-year
First half net revenue: $79.3 million, +4.8% year-over-year
Segment profit increased by 4.1%
Subscription Digital Marketing Solutions (Townsquare Interactive):
Q2 net revenue: $18.8 million, +1.4% year-over-year
First half net revenue: $37.8 million, +2.8% year-over-year
Segment profit increased by 15.2%
Broadcast Advertising:
Q2 net revenue: $48.7 million, -9.2% year-over-year
First half net revenue: $90.0 million, -9.2% year-over-year
Segment profit decreased by 8.4% in Q2, and 12.0% in the first half
Debt Reduction:
Townsquare continued to reduce its debt load, repurchasing $9.9 million of its Senior Secured Credit Facility debt in Q2. In total, the company has repurchased $13 million in debt since its February refinancing.
The company’s financial flexibility and continued focus on debt reduction provide a solid foundation for future growth.
Key Guidance:
For Q3 2025, Townsquare expects net revenue to be between $106.5 million and $108.5 million and Adjusted EBITDA between $22.0 million and $23.0 million. For the full year 2025, net revenue is projected to be between $435 million and $440 million, with Adjusted EBITDA expected to range between $90 million and $94 million.
