Shares of Urban One, Inc. UONE have increased 3.5% since reporting results for the second quarter of 2026, outperforming the S&P 500 index’s 1.3% return. Over the past month, Urban One shares have risen 8.2% compared with a 2.8% return in the S&P 500.
Earnings & Revenue Performance
Urban One reported second-quarter net revenues of $85.76 million, down 6.4% from $91.63 million a year earlier. The company’s net loss attributable to common stockholders narrowed 90.9% to $7.07 million from $77.9 million in the year-ago quarter, while the basic and diluted loss per share narrowed to $1.58 from $17.41 in the prior-year quarter. The per-share figures were retroactively adjusted for the 1-for-10 reverse stock split completed on Jan. 22, 2026.
The operating loss narrowed 90.7% to $11.24 million from $120.68 million in the prior-year quarter, largely reflecting substantially lower impairment charges. Adjusted EBITDA decreased 16% to $11.72 million from $13.96 million in the prior-year quarter, while broadcast and digital operating income fell 13.7% to $22.15 million from $25.66 million a year ago.
Urban One, Inc. Price, Consensus and EPS Surprise
Radio One, Inc. price-consensus-eps-surprise-chart | Radio One, Inc. Quote
Other Key Business Metrics
Radio Broadcasting revenues decreased 3.9% to $35.28 million from $36.69 million in the prior-year quarter, reflecting weaker demand from local and national advertisers. Reach Media revenues declined 10.6% to $4.75 million from $5.32 million in the prior-year quarter, primarily because of lower syndicated revenues. Digital revenues fell 8.4% to $9.4 million from $10.25 million as reduced advertising spending weighed on direct revenue streams, including diversity, equity and inclusion-focused campaigns.
Cable Television revenues decreased 7.4% to $37.12 million from $40.07 million in the prior-year quarter, driven by subscriber churn and lower advertising sales. Cable advertising revenues fell 9.6% to $20.77 million, while affiliate fees declined 4.5% to $16.29 million. Radio advertising revenues dropped 10.1% to $34.73 million, although political advertising increased to $1.243 million from $254,000. Event and other revenues rose 35% to $3.34 million.
Segment adjusted EBITDA was $6.29 million for Radio Broadcasting, down from $6.94 million in the prior-year quarter. Cable Television’s contribution fell to $14.21 million from $18.06 million. Reach Media’s loss improved to $1.03 million from $1.65 million, while Digital’s loss narrowed to $92,000 from $146,000.
Management Commentary
Chief executive Alfred C. Liggins III said that the second-quarter results showed improvement from the first quarter, with slower revenue decline rates. Urban One’s local radio revenues, as measured by Miller Kaplan, fell 10.1% compared with a 7.8% contraction in its markets. National radio revenues declined 1.5%, narrower than the market’s 4.6% decrease. Including local digital operations, radio revenues decreased 4.9%.
Management said that Reach Media remained in a turnaround, affected by a weak advertising market, the loss of important clients and rebuilding of its sales team. The company continued to emphasize collections of receivables, operating cash flow and control of discretionary vendor spending.
Factors Influencing Results
Operating expenses declined 54.3% year over year to $96.996 million, mainly because impairment charges fell 89.1% to $14.16 million from $130.08 million in the prior-year quarter. The second quarter included $13.9 million of goodwill impairment and $0.3 million of long-lived asset impairment related to Reach Media. Notably, the prior-year period included $130.1 million of Radio FCC license impairment.
Selling, general and administrative expenses decreased 8.7% to $45.20 million, while programming and technical costs increased 3.9% to $29.77 million, primarily because of higher radio royalty expenses. Interest expenses declined 78.7% to $2.07 million due to lower debt balances and effective rates.
Outlook
Urban One lowered its 2026 adjusted EBITDA forecast to the mid-$50 million range from the previous $60 million, citing current market conditions. Radio revenues for the third quarter edged down 2.8% when the results were released.
Other Developments
Urban One completed the sales of Charlotte stations WMXG and WLNK-FM on June 1 for $0.7 million and $4.2 million, respectively, recording a $4.67-million gain. It also repurchased $23.5 million of 2031 Second Lien Notes at 42.0% of par. After quarter-end, Urban One sold KZMJ for $6 million and completed its $22-million acquisition of Service Broadcasting Group, including Dallas stations KKDA and KRNB.
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Radio One, Inc. (UONE): Free Stock Analysis Report
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