iHeartMedia (IHRT) Q3 2026 Earnings Report

The call was mixed. Podcasting, digital audio excluding podcasting, Audio and Media Services, Audiograph development, and planned programmatic growth showed strong momentum. However, these positives were balanced by the Multiplatform Group revenue and EBITDA declines, political advertising shortfalls, faster-than-expected programmatic migration, macroeconomic uncertainty, higher expenses, negative free cash flow, and substantial leverage.

For Q4, iHeartMedia expects adjusted EBITDA between $135 million and $185 million, including approximately $100 million net negative impact of noncash marketing, consolidated revenue to be up mid single digits, free cash flow of approximately $130 million, and October revenue to be up mid teens at approximately flat ex political year over year; Digital Audio Group revenue is expected to be up mid teens, podcasting revenue up approximately 20%, digital ex-podcasting up high single digits, Multiplatform Group revenue approximately down low single digits, and Audio and Media Services Group revenue up approximately 30%. For the full year, adjusted EBITDA guidance is $550 million to $600 million and free cash flow guidance is $50 million, with approximately $200 million of overall programmatic revenue in 2026, up approximately 50% from $135 million in 2025, interest expense of $440 million, capital expenditures of approximately $90 million, cash restructuring expenses of approximately $50 million, and minimal cash taxes this year for the next few years as long as the current tax laws are in effect; this is expected to avoid approximately $150 to $200 million of cash taxes over the next 3 years. In 2027, total programmatic revenue is expected to be approximately $400 million, including approximately $100 million of incremental broadcast radio programmatic revenue, with about $40 million of trade and barter rolling off in 2027 and this expected to be completely resolved by Q1, at the latest Q2.