Entravision Communications Corp (EVC) 2022 Q4 法說會逐字稿

Good day, and welcome to the Entravision Fourth Quarter and Full Year 2022 Earnings Conference Call. (Operator Instructions) Please note, this event is being recorded.

美好的一天，歡迎來到 Entravision 第四季度和 2022 年全年收益電話會議。 （操作員說明）請注意，正在記錄此事件。

I would now like to turn the conference over to Kimberly Esterkin in Investor Relations. Please go ahead.

我現在想將會議轉交給投資者關係部的 Kimberly Esterkin。請繼續。

Thank you, operator. Good afternoon, everyone, and welcome to Entravision's Fourth Quarter and Full Year 2022 Earnings Conference Call. Joining me today are Chris Young, Interim Chief Executive Officer and Chief Financial Officer; and Jeffery Liberman, President and Chief Operating Officer.

謝謝你，運營商。大家下午好，歡迎來到 Entravision 的第四季度和 2022 年全年收益電話會議。今天加入我的是臨時首席執行官兼首席財務官 Chris Young；總裁兼首席運營官 Jeffery Liberman。

Before we begin, I must inform you that this conference call will contain forward-looking statements that are subject to risks and uncertainties that could cause actual results to differ. Please refer to Entravision's SEC filings for a list of risks and uncertainties that could impact actual results.

在我們開始之前，我必須通知您，本次電話會議將包含前瞻性陳述，這些陳述受到可能導致實際結果不同的風險和不確定性的影響。請參閱 Entravision 向美國證券交易委員會提交的文件，了解可能影響實際結果的風險和不確定性列表。

This call is the property of Entravision Communications Corporation. Any redistribution, retransmission or rebroadcast of this call in any form without the expressed written consent of Entravision Communications Corporation is strictly prohibited.

此電話是 Entravision Communications Corporation 的財產。未經 Entravision Communications Corporation 明確書面同意，嚴禁以任何形式重新分發、重新傳輸或重新廣播此電話。

Also, this call will include non-GAAP financial measures. The company has provided a reconciliation of these non-GAAP financial measures to the most comparable GAAP measures in today's press release. The press release is available on the company's website and was filed with the SEC on Form 8-K.

此外，此次電話會議還將包括非 GAAP 財務指標。公司在今天的新聞稿中提供了這些非 GAAP 財務指標與最具可比性的 GAAP 指標的對賬。該新聞稿可在公司網站上查閱，並已通過 8-K 表格提交給美國證券交易委員會。

I will now turn the call over to Chris Young.

我現在將把電話轉給 Chris Young。

Thank you, Kimberly, and good afternoon, everyone. We appreciate you joining us for Entravision's fourth quarter and full year 2022 earnings call.

謝謝你，金伯利，大家下午好。感謝您加入我們參加 Entravision 的第四季度和 2022 年全年財報電話會議。

Before we begin, I want to note that it has been 2 months since the sudden and tragic passing of our Founder and CEO, Walter Ulloa. Walter's vision was to build a leading global advertising solutions, media and technology company. In pursuing that vision, Entravision built a strong leadership team that has transformed our media portfolio, expanded our geographic reach to 40 countries and achieved tremendous growth.

在我們開始之前，我想指出，距離我們的創始人兼首席執行官 Walter Ulloa 突然不幸去世已經過去了 2 個月。 Walter 的願景是建立一家領先的全球廣告解決方案、媒體和技術公司。在追求這一願景的過程中，Entravision 建立了一支強大的領導團隊，該團隊轉變了我們的媒體組合，將我們的地理覆蓋範圍擴大到 40 個國家，並取得了巨大的增長。

During this period of transition, Entravision's Board of Directors has entrusted me with the role of interim CEO in addition to maintaining my duties as CFO. The Board is currently engaged in a search for the full-time CEO. We are moving forward, and we are as focused as ever on the successful execution of our long-term strategy to deliver value for our partners and shareholders.

在此過渡期間，Entravision 的董事會委託我擔任臨時 CEO，同時繼續擔任 CFO。董事會目前正在物色全職首席執行官。我們正在向前邁進，我們一如既往地專注於成功執行我們的長期戰略，為我們的合作夥伴和股東創造價值。

Let's begin by discussing our full year results, which were very strong. Total revenue of $956.2 million for 2022 was up 26% year-over-year and represented a new company record. Digital, which comprised 78% of our total revenue, increased by 35% compared to 2021. Television and radio segment revenues, which made up the remaining 22% of consolidated revenue, were down 1% and up 11%, respectively, year-over-year.

讓我們首先討論我們非常強勁的全年業績。 2022 年的總收入為 9.562 億美元，同比增長 26%，創下了公司的新紀錄。數字業務占我們總收入的 78%，與 2021 年相比增長了 35%。電視和廣播業務收入佔綜合收入的其餘 22%，同比分別下降 1% 和增長 11% -年。

Consolidated adjusted EBITDA was also a record $103.1 million for the year, up 17% over last year. Free cash flow totaled $63.3 million for the year or a conversion rate of 61% of our consolidated adjusted EBITDA. For the year, earnings per share were $0.21 compared to $0.34 in 2021.

全年經合併調整後的 EBITDA 也達到創紀錄的 1.031 億美元，比去年增長 17%。全年自由現金流總計 6330 萬美元，換算率為我們綜合調整後 EBITDA 的 61%。全年每股收益為 0.21 美元，而 2021 年為 0.34 美元。

With such stellar annual performance, in February, our Board of Directors approved an increase in our dividend, doubling the dividend from $0.025 per share to $0.05 per share. This increase returns the quarterly dividend payment to pre-pandemic levels.

憑藉如此出色的年度業績，我們的董事會在 2 月份批准增加股息，將股息從每股 0.025 美元增加一倍至每股 0.05 美元。這一增長使季度股息支付恢復到大流行前的水平。

With that as a background on the year, I'll now turn the call over to Jeff Liberman, Entravision's President and Chief Operating Officer, to speak further on the fourth quarter. Jeff?

以此作為今年的背景，我現在將電話轉給 Entravision 總裁兼首席運營官傑夫利伯曼，就第四季度作進一步發言。傑夫？

Thank you, Chris. Like most of our management team, I've been part of Entravision for over 2 decades working side-by-side with Walter. Walter and I worked together since Entravision became a publicly listed company on the New York Stock Exchange in August of 2000. Having known Walter for such a long time, I can say with certainty, he would be proud of our financial results we are reporting today.

謝謝你，克里斯。像我們管理團隊的大多數人一樣，我在 Entravision 工作了 2 多年，與 Walter 並肩工作。自 2000 年 8 月 Entravision 在紐約證券交易所上市以來，Walter 和我一直在合作。認識 Walter 這麼久，我可以肯定地說，他會為我們今天報告的財務業績感到自豪.

Let's begin with our largest revenue segment, Digital, which similar to the full year, comprised 78% of fourth quarter's revenue. Digital revenue was $230.1 million for the fourth quarter, improving 30% year-over-year.

讓我們從我們最大的收入部門 Digital 開始，它與全年相似，佔第四季度收入的 78%。第四季度數字收入為 2.301 億美元，同比增長 30%。

Entravision now provides a full suite of digital marketing services in 40 countries, including traditional brand awareness solutions along with transactional performance-based services. In the United States, our digital solution complements our existing television and audio offering with results-driven services for local clients. These services include digital audio, lead generation, OTT digital video solutions and branded content production.

Entravision 現在在 40 個國家/地區提供全套數字營銷服務，包括傳統的品牌知名度解決方案以及基於交易績效的服務。在美國，我們的數字解決方案補充了我們現有的電視和音頻產品，為當地客戶提供以結果為導向的服務。這些服務包括數字音頻、潛在客戶開發、OTT 數字視頻解決方案和品牌內容製作。

Outside the U.S., Entravision has achieved strong results based on our unique and extensive audience reach and superior technology. By partnering with premier digital platforms such as Meta, Spotify, TikTok and Twitter, our solutions-based sales organization provides cutting-edge results for our clients in developing countries where these platforms have yet to have the reach they have established in the United States.

在美國以外，Entravision 憑藉我們獨特而廣泛的受眾群體和卓越的技術取得了強勁的業績。通過與 Meta、Spotify、TikTok 和 Twitter 等主要數字平台合作，我們基於解決方案的銷售組織為發展中國家的客戶提供前沿成果，這些平台尚未達到在美國建立的影響力。

All of our digital companies experienced growth. Smadex, our programmatic ad platform once again performed well during the quarter with revenue improving 29% year-over-year as we grew our business across multiple verticals, most notably gaming apps. Entravision Lat Am, which is our business previously known as Entravision Cisneros Interactive also delivered strong results for the fourth quarter, with revenue increasing approximately 7% over the prior year, driven largely by a commercial representation partnership with Meta.

我們所有的數字公司都經歷了增長。 Smadex，我們的程序化廣告平台在本季度再次表現良好，收入同比增長 29%，因為我們在多個垂直領域（尤其是遊戲應用程序）發展業務。 Entravision Lat Am，這是我們以前稱為 Entravision Cisneros Interactive 的業務，在第四季度也取得了強勁的業績，收入比上年增長約 7%，這主要是由於與 Meta 的商業代表合作夥伴關係推動的。

Entravision Asia known formally as MediaDonuts, saw revenue improved 72% year-over-year. Revenue growth was largely driven by success with Twitter and TikTok, along with the strong performance of our mobile user acquisition operation, now servicing 11 countries in Southeast Asia.

Entravision Asia 的正式名稱為 MediaDonuts，收入同比增長 72%。收入增長主要得益於 Twitter 和 TikTok 的成功，以及我們移動用戶獲取業務的強勁表現，目前服務於東南亞 11 個國家。

Turning to Africa. Entravision Africa, known formally as 365 Digital, achieved a 92% increase in revenue for the fourth quarter compared to the prior year, driven by our TikTok relationship.

轉向非洲。 Entravision Africa，正式名稱為 365 Digital，在我們與 TikTok 的關係的推動下，第四季度的收入比去年同期增長了 92%。

Beyond enhancing our digital product offerings, we continue to broaden our sales leadership. In December, Smadex welcomed Phil Gontier as our Chief Revenue Officer. Phil is the former Head of Mobile for Twitter in Europe, the Middle East and Africa. He will continue to accelerate Smadex's global revenue growth by leading our sales team around the world.

除了增強我們的數字產品供應外，我們還繼續擴大我們的銷售領導地位。 12 月，Smadex 迎來了 Phil Gontier 擔任我們的首席營收官。 Phil 是 Twitter 在歐洲、中東和非洲的前移動主管。他將通過領導我們遍布全球的銷售團隊，繼續加速 Smadex 的全球收入增長。

Let's now turn to the television segment which comprised 15% of revenue for the fourth quarter. Television revenue was $45.8 million in Q4, up 14% compared to the prior year's period, benefiting from strong political advertising revenue. Excluding the 3 discontinued Univision affiliates, Washington D.C., Tampa and Orlando, total television revenue was up 38% year-over-year. Excluding these 3 affiliate markets and the incremental political revenue, core television revenue decreased 9%; national core revenue decreased 21%; and local core revenue increased 3% year-over-year. Retransmission revenue for the quarter totaled $8.9 million, which was down 1% year-over-year, mainly due to the discontinued Univision affiliates. Operating cash flow margin for our television division was 50% for the quarter.

現在讓我們來看看電視部門，該部門佔第四季度收入的 15%。得益於強勁的政治廣告收入，第四季度電視收入為 4580 萬美元，較上年同期增長 14%。不包括 3 個已停業的 Univision 附屬公司，華盛頓特區、坦帕和奧蘭多，電視總收入同比增長 38%。排除這 3 個附屬市場和增量政治收入，核心電視收入下降 9%；全國核心收入下降 21%；本地核心收入同比增長 3%。本季度的轉播收入總計 890 萬美元，同比下降 1%，這主要是由於停止運營的 Univision 附屬公司。本季度我們電視部門的經營現金流量利潤率為 50%。

Political revenue totaled $19.1 million in the fourth quarter, bringing our total political revenue to a record $32.1 million for the year. Out of this total, television generated $14.8 million of political revenue in Q4 and $25.2 million for the year.

第四季度政治收入總計 1910 萬美元，使我們全年的政治收入總額達到創紀錄的 3210 萬美元。其中，電視在第四季度產生了 1480 萬美元的政治收入，全年產生了 2520 萬美元。

Lastly, our audio segment comprised the remaining 7% of fourth quarter consolidated revenue. Audio revenue totaled approximately $20.4 million for the fourth quarter, an increase of 26% year-over-year, again, largely driven by political ad revenue. Excluding incremental political revenue of $4.2 million in the fourth quarter of 2022, core audio revenue increased 2% versus the fourth quarter of 2021. Even more impressive was our audio operating cash flow margin, which was a record 43% in the quarter.

最後，我們的音頻部分佔第四季度合併收入的剩餘 7%。第四季度的音頻收入總計約為 2040 萬美元，同比增長 26%，同樣主要受政治廣告收入的推動。不包括 2022 年第四季度 420 萬美元的增量政治收入，核心音頻收入比 2021 年第四季度增長了 2%。更令人印象深刻的是我們的音頻運營現金流利潤率，本季度達到創紀錄的 43%。

I want to thank our entire team around the world for a strong fourth quarter and year, and we'll now turn the call back to Chris to discuss the quarterly financials and first quarter pacing in further detail.

我要感謝我們在世界各地的整個團隊在第四季度和今年的強勁表現，我們現在將電話轉回克里斯，進一步詳細討論季度財務和第一季度的節奏。

Thanks, Jeff.

謝謝，傑夫。

Revenue for Q4 2022 totaled $296.3 million, an increase of 27% from the fourth quarter of 2021. As Jeff just mentioned in the segment breakouts, for our Digital segment, revenue totaled $230.1 million in the fourth quarter, up 30% year-over-year and up 20% on a pro forma basis as compared to Q4 of 2021. For our TV segment, total revenue was $45.8 million in the fourth quarter, up 14% year-over-year. Lastly, for our audio segment, revenue totaled $20.4 million in the fourth quarter, which was up 26% compared to Q4 2021.

2022 年第四季度的收入總計 2.963 億美元，比 2021 年第四季度增長 27%。正如傑夫剛剛在細分市場中提到的那樣，對於我們的數字部門，第四季度的收入總計 2.301 億美元，同比增長 30%與 2021 年第四季度相比，預計同比增長 20%。對於我們的電視業務，第四季度的總收入為 4580 萬美元，同比增長 14%。最後，對於我們的音頻部門，第四季度的收入總計為 2040 萬美元，與 2021 年第四季度相比增長了 26%。

Operating expenses in the fourth quarter of 2022 totaled $57.2 million, up 19% from $48.1 million in the prior year period, primarily due to our variable expenses related to revenue growth and increases in salaries. Corporate expenses increased by 101% to $22.6 million for the quarter compared to $11.2 million in the same quarter of last year. The primary driver was severance expense incurred upon the passing of our late Chief Executive Officer, increases in noncash stock-based compensation and an increase in salaries.

2022 年第四季度的運營費用總計 5720 萬美元，比去年同期的 4810 萬美元增長 19%，這主要是由於我們與收入增長和工資增長相關的可變費用。與去年同期的 1120 萬美元相比，本季度公司支出增長 101% 至 2260 萬美元。主要驅動因素是我們已故首席執行官去世後產生的遣散費、非現金股票薪酬的增加以及薪水的增加。

Consolidated adjusted EBITDA totaled $36.5 million for the fourth quarter, up 11% from $32.9 million in the prior year period. Free cash flow, as defined in our earnings release, was $19.3 million compared to $30.9 million in the prior year quarter or a conversion rate of 53% of adjusted EBITDA.

第四季度合併調整後的 EBITDA 總計 3650 萬美元，比去年同期的 3290 萬美元增長 11%。我們的收益發布中定義的自由現金流為 1930 萬美元，而去年同期為 3090 萬美元，或調整後 EBITDA 的轉換率為 53%。

Net income attributable to common stockholders was a negative $1.6 million compared to $3.9 million recorded in the prior year period. Diluted earnings per share for the fourth quarter 2022 were a negative $0.02 compared to a positive $0.04 per share in the same period last year.

歸屬於普通股股東的淨收入為負 160 萬美元，而去年同期為 390 萬美元。 2022 年第四季度稀釋後每股收益為負 0.02 美元，而去年同期為正 0.04 美元。

With that said, it is important to note that we incurred a total of $18.8 million in onetime charges that impacted net income in the fourth quarter and $27.7 million that impacted the full year. These charges included the following: an increase in fair value contingent consideration of $7.4 million for the quarter and $14.2 million for the full year, resulting from the outperformance of our various digital platforms compared to original expectations; $4.6 million in noncash charges related to the acceleration of Mr. Ulloa's unvested RSUs upon his death; $4.3 million in cash severance charges also primarily relating to Mr. Ulloa's passing; $1.6 million in noncash impairment charges relating to our broadcasting assets; and finally, foreign currency losses of approximately $900,000 in the quarter and $3 million for the full year.

話雖如此，值得注意的是，我們產生了總計 1880 萬美元的一次性費用，這些費用影響了第四季度的淨收入，2770 萬美元影響了全年。這些費用包括以下內容：本季度公允價值或有對價增加 740 萬美元，全年增加 1,420 萬美元，這是由於我們各種數字平台的表現優於原先預期； 460 萬美元的非現金費用與 Ulloa 先生去世後未歸屬的 RSU 的加速有關； 430 萬美元的現金遣散費也主要與 Ulloa 先生的去世有關；與我們的廣播資產相關的 160 萬美元非現金減值費用；最後，本季度外匯損失約為 900,000 美元，全年損失為 300 萬美元。

Excluding these onetime charges, adjusted EPS was $0.19 in the fourth quarter and $0.52 for the full year. Cash paid for income taxes was $5.5 million for the fourth quarter compared to $0.6 million in the same quarter of last year. For the year, cash paid for income taxes totaled $16.9 million in 2022 compared to $4.1 million paid in 2021.

不包括這些一次性費用，第四季度調整後的每股收益為 0.19 美元，全年為 0.52 美元。第四季度支付所得稅的現金為 550 萬美元，而去年同期為 60 萬美元。全年，2022 年支付所得稅的現金總額為 1690 萬美元，而 2021 年支付的現金為 410 萬美元。

Net interest expense was $2.5 million for the quarter, up 57% from $1.6 million in the same quarter of last year. Cash capital expenditures for Q4 totaled $3.6 million bringing our full year capital expenditures to $11.5 million for 2022, up from $5.8 million in 2021.

本季度的淨利息支出為 250 萬美元，比去年同期的 160 萬美元增長了 57%。第四季度的現金資本支出總計 360 萬美元，使我們 2022 年的全年資本支出達到 1150 萬美元，高於 2021 年的 580 萬美元。

Turning to our balance sheet. Cash and marketable securities as of December 31, 2022, totaled $155.2 million. Total debt was $213 million, our total leverage, as defined in our credit agreement, was 1.3x as of the end of fourth quarter. Net of total cash and marketable securities, our total net leverage was 0.5x.

轉向我們的資產負債表。截至 2022 年 12 月 31 日，現金和有價證券總計 1.552 億美元。截至第四季度末，總債務為 2.13 億美元，我們的信貸協議中定義的總槓桿率為 1.3 倍。扣除總現金和有價證券後，我們的總淨槓桿率為 0.5 倍。

Turning to our pacings for the first quarter of 2023. As of today, revenue from our digital segment is currently pacing at a plus 21% over the prior year. Our TV segment is pacing a minus 3% over the prior year period, with core TV revenue excluding political booked thus far in the quarter pacing at a plus 2%. Lastly, our audio segment is pacing a minus 3% over the prior year period with core audio revenue excluding political pacing at a minus 1%. All in, our total revenue compared to last year is pacing at a plus 16%.

談到我們 2023 年第一季度的步伐。截至今天，我們數字部門的收入目前比上一年增長 21%。我們的電視業務比去年同期增長了負 3%，本季度迄今為止不包括政治預訂在內的核心電視收入增長了 2%。最後，我們的音頻部分比上年同期增長了負 3%，不包括政治節奏的核心音頻收入增長了負 1%。總而言之，我們的總收入與去年相比增長了 16%。

As we look ahead to the remainder of 2023, despite the prevailing choppy macroeconomic conditions, Entravision remains well positioned for another year of growth as we continue to expand our operations globally. With the benefit of a solid balance sheet, strong cash flow generation and a talented management team, you can expect us to continue to seek out opportunities that will further enhance the digital offerings we provide to our growing global customer base.

展望 2023 年剩餘時間，儘管宏觀經濟形勢普遍動盪，但隨著我們繼續在全球範圍內擴大業務，Entravision 仍有望實現又一年的增長。憑藉穩健的資產負債表、強大的現金流生成和才華橫溢的管理團隊，您可以期待我們繼續尋找機會，進一步增強我們為不斷增長的全球客戶群提供的數字產品。

Beyond acquisitions or strategic investments, you should also expect to see continued growth from our digital platform. Our strengthening relationship and overall business model with Meta in particular continues to be validated through the recently announced launch of operations for this platform in Honduras, El Salvador, Ghana, Iceland and Mongolia over the past 12 months.

除了收購或戰略投資，您還應該期待看到我們數字平台的持續增長。過去 12 個月，我們最近宣佈在洪都拉斯、薩爾瓦多、加納、冰島和蒙古啟動該平台的運營，這進一步驗證了我們與 Meta 加強的關係和整體業務模式。

To summarize, 2022 was an amazing year of growth for Entravision that was unfortunately capped off by the sudden death of our Co-Founder, Chairman and CEO, Walter Ulloa. As we continue to reflect on Walter's loss, I want to take a moment to thank all of our stakeholders, including our employees, our Board and our shareholders for your support during this difficult time. A significant part of Walter's legacy was his installment of highly talented leaders across all of Entravision's business platforms, and through their leadership, we will continue to succeed.

總而言之，2022 年是 Entravision 增長驚人的一年，不幸的是，我們的聯合創始人、董事長兼首席執行官 Walter Ulloa 突然去世。在我們繼續反思沃爾特的損失之際，我想花點時間感謝我們所有的利益相關者，包括我們的員工、董事會和股東，感謝你們在這個困難時期給予的支持。沃爾特遺產的一個重要部分是他在 Entravision 的所有業務平台上安裝了一批才華橫溢的領導者，通過他們的領導，我們將繼續取得成功。

With that, we'll open up the call to questions. Operator?

有了這個，我們將打開問題的電話。操作員？

(Operator Instructions) The first question today comes from Michael Kupinski from NOBLE Capital Markets.

（操作員說明）今天的第一個問題來自 NOBLE Capital Markets 的 Michael Kupinski。

Congratulations on a great quarter. A couple of questions. Chris, can you update us on -- now that you've rolled up some of the earn-outs, are there any additional possible earn-outs that may be coming up for some of the past acquisitions?

祝賀一個偉大的季度。幾個問題。克里斯，你能告訴我們最新情況嗎——既然你已經積累了一些收益，過去的一些收購是否還有其他可能的收益？

There are earn-outs that are coming up as far as payments are concerned. We'll have about a $30 million payment in April. And in addition to that, there will be something in the low single digits as far as the payment is concerned, also in April. And then that's it for the year.

就付款而言，即將出現收益。我們將在 4 月份收到大約 3000 萬美元的付款。除此之外，就付款而言，4 月份也會有一些低個位數的東西。然後就是這一年。

Got you. And then can you talk a little bit about the M&A environment? I know that you have been making acquisitions. Can you talk a little bit about that?

明白了然後你能談談併購環境嗎？我知道你一直在進行收購。你能談談嗎？

Yes, it's been busy on that front. I mean we've got a pipeline that's pretty robust, and we continue to work through it. And again, you're not talking transformative, you're talking about smaller deals that will be complementary to our existing digital portfolio.

是的，它在這方面一直很忙。我的意思是我們有一個非常強大的管道，我們將繼續通過它進行工作。再一次，你不是在談論變革，而是在談論將與我們現有的數字產品組合互補的較小交易。

Got you. And then if you want to just chat a little bit about Cisneros, we see some deceleration in the rate of revenue growth there. Can you just kind of give us an update on what's going on with Facebook, Latin America? And I know it sounds like you're adding some additional markets there. Can you just kind of give us a flavor of what -- and maybe some color on what's going on?

明白了然後，如果你只想聊聊 Cisneros，我們會發現那裡的收入增長率有所放緩。您能否向我們介紹一下拉丁美洲 Facebook 的最新動態？我知道這聽起來像是你在那裡增加了一些額外的市場。你能給我們介紹一下嗎 - 也許是關於正在發生的事情的一些顏色？

I mean it's still in growth mode, right? So Cisneros Lat Am in Q3 did plus 10. Q4, they did a plus 7. We're looking to do a little better than plus 7 in that pace that we gave after Q1. So it's still a relatively stable region of the world for Facebook. And of course, we've got the new markets that we're also working on that will be incremental growth on top of that.

我的意思是它仍處於增長模式，對嗎？所以 Cisneros Lat Am 在第三季度做了 10 分。第四季度，他們做了 7 分。我們希望在 Q1 之後我們給出的速度比 7 分更好一點。所以對於 Facebook 來說，它仍然是世界上一個相對穩定的區域。當然，我們也有我們也在努力的新市場，這將是最重要的增量增長。

And Chris, I don't know if you can give us this, but if you can just chat a little bit about pacing is obviously still very strong, 21% first quarter. What's driving that? Is it some of the new markets? And if you can just talk to us a little bit about what percentage of the new markets are driving the 21% growth.

克里斯，我不知道你能不能給我們這個，但如果你能談談節奏顯然仍然非常強勁，第一季度為 21%。是什麼推動了它？是一些新市場嗎？如果你能和我們談談有多少新市場推動了 21% 的增長。

(inaudible) Sorry, I didn't mean to talk over you. The new markets aren't really contributing to the growth. If you took that plus $21 million and factored in -- if you took the plus 16 pace that we talked about and factored in the acquisitions on a pro forma basis, that looks more like a plus 11. But it's clearly -- we've got a minus 3 on the broadcast side. We've got a plus 21-ish on the digital side. It's all about digital carrying through the growth right now. We've got a broadcast environment that's choppy, National has gotten soft on us. Local is still pretty resilient. With that said, we're still pushing ahead. And -- but clearly, digital is driving the show as far as our growth is concerned at this point.

（聽不清）對不起，我不是故意要談論你的。新市場並沒有真正促進增長。如果你把那加上 2100 萬美元並考慮在內——如果你把我們談到的 16 倍以上的速度考慮在內，並在備考基礎上考慮到收購，那看起來更像是 11 倍。但很明顯——我們已經在廣播方面得到負 3 分。我們在數字方面有一個 plus 21-ish。這一切都是關於數字實現現在的增長。我們的廣播環境起伏不定，國家隊對我們態度軟弱。本地仍然非常有彈性。話雖如此，我們仍在推進。而且——但很明顯，就我們目前的增長而言，數字正在推動這場演出。

Got you. And then my next question was about national. If you can just kind of give us a flavor of national versus local in your core TV and audio as well.

明白了然後我的下一個問題是關於國家的。如果你能在你的核心電視和音頻中給我們一種國家與地方的味道。

Yes. For TV, local is a plus 1, but national is minus 18. And from all the channel checks that we've been doing, we're hearing the same numbers coming out of other folks in the space. So look, if you look at our top 3 category for broadcast, you got auto, which is pacing at a plus 10 for Q1; services, minus 3; and health care, plus 22. And then everything else is kind of a mixed bag.

是的。對於電視，本地是加 1，但國家是負 18。從我們一直在進行的所有頻道檢查中，我們聽到了來自該領域其他人的相同數字。所以看，如果你看一下我們的前 3 大廣播類別，你會看到汽車，它在第一季度的節奏是正 10；服務，負 3；和醫療保健，再加上 22。然後其他一切都是混合包。

So -- but clearly, look, this is a government-sponsored slowdown that this economy is seeing. And national, it's not that atypical for national to pull back because those branding campaigns are the first ones that go out with the tide, but local remains resilient.

所以 - 但很明顯，看，這是政府支持的經濟放緩。而全國性的，全國性的撤退並不少見，因為那些品牌宣傳活動是最先隨波逐流的，但地方性的仍然有彈性。

Got you. And then can you kind of give us a little thought about expense growth in the quarter?

明白了然後你能給我們一些關於本季度費用增長的想法嗎？

Yes. The expense growth in the fourth quarter, you're talking about radio is a little bit higher than usual because we are in the process of moving the radio folks here to corporate, so that drove it. And then TV was plus 5. You've got variable expenses associated with the revenue growth, while you've got variable expenses on both sides associated with the revenue growth.

是的。第四季度的費用增長，你說的是廣播比平時高一點，因為我們正在把這裡的廣播人員轉移到公司，所以這推動了它。然後電視加 5。你有與收入增長相關的可變支出，而雙方都有與收入增長相關的可變支出。

And can you talk about how we should look at that in terms of the run rate going into the first quarter?

你能談談我們應該如何看待第一季度的運行率嗎？

Yes, that will be a function of the revenue, right? We don't like to generally guide on expense, but there will be -- radio will look a little higher than usual because of that move that we're doing. TV will be a bit more subdued. And then digital is just purely a function of the revenue growth. So digital, you should expect to see double-digit growth on the expense front.

是的，這將是收入的函數，對吧？我們一般不喜歡在費用上提供指導，但由於我們正在採取的行動，無線電看起來會比平時高一點。電視會更柔和一些。然後數字只是收入增長的純粹功能。如此數字化，您應該期望在費用方面看到兩位數的增長。

The next question comes from Edward Reily with EF Hutton.

下一個問題來自 Edward Reily 和 EF Hutton。

The recent dividend increase is interesting. Just maybe wondering if you could talk about capital allocation priorities for 2023?

最近的股息增加很有趣。只是想知道您是否可以談談 2023 年的資本分配優先事項？

Yes. The dividend increase was just getting it back to pre-COVID levels. I think what we're going to do going forward is allocate capital towards M&A. That's kind of where it needs to be. Dividend is kind of where it needs to be as well. So the -- and we'll observe and monitor the debt accordingly with our operations. But we've got plenty of cash. We're going to generate plenty of free cash, and we're going to work to applying that to continued M&A opportunities.

是的。股息的增加只是讓它回到了 COVID 之前的水平。我認為我們未來要做的是為併購分配資金。這就是它需要的地方。股息也是需要的地方。所以 - 我們將通過我們的運營相應地觀察和監控債務。但是我們有足夠的現金。我們將產生大量自由現金，我們將努力將其應用於持續的併購機會。

(Operator Instructions) The next question comes from David Marsh with Singular Research.

（操作員說明）下一個問題來自 Singular Research 的 David Marsh。

With regard to the M&A landscape, could you talk about your focus with regard to M&A? Is it new markets? Is it more focused internationally? Could you just talk about the landscape and what opportunities that you are seeing presenting themselves at this point?

關於併購領域，您能談談您對併購的關注點嗎？是新市場嗎？它更側重於國際嗎？你能談談目前的形勢和你看到的機會嗎？

Sure. Digital, international complementary to our existing digital footprint, not necessarily thinking geography by geography. In this day and age, technology is such that it could be in a different geography, but it's complementary to our existing infrastructure. So -- but that's our focus. We've got a lot of smart folks out of our Barcelona office who are helping us out with some opportunities that we're working on. And again, they're going to be complementary to our existing digital footprint.

當然。數字化、國際化是對我們現有數字足蹟的補充，不一定要按地域思考地域。在這個時代，技術可以在不同的地理位置，但它是對我們現有基礎設施的補充。所以 - 但這是我們的重點。我們的巴塞羅那辦公室有很多聰明人，他們正在幫助我們抓住一些我們正在努力的機會。同樣，它們將補充我們現有的數字足跡。

Not much along the lines of stuff here in the United States. There are 1 or 2 deals in the U.S. that we are looking at as well, again, on the digital landscape, but nothing really on the broadcast front at this time.

在美國這裡的東西並不多。在美國，我們也在關注數字領域的 1 或 2 筆交易，但目前在廣播方面還沒有真正的交易。

Anything in particular that might be on the table for divestiture here in the next 12 to 18 months?

在接下來的 12 到 18 個月裡，有什麼特別的事情可能會擺在桌面上剝離嗎？

No. It's steady as she goes as far as our asset base. So nothing that we're looking to sell.

不，就我們的資產基礎而言，它是穩定的。所以我們沒有要出售的東西。

And then just turning to the advertising side. I mean obviously, political will be down significantly from the first half of this year certainly and maybe even to the third quarter. But obviously, a big election year next year. Do you see political coming back? Are you starting to get some interest in terms of political ads for the back half of the year at this point already?

然後轉向廣告方面。我的意思是，很明顯，從今年上半年開始，政治肯定會大幅下降，甚至可能會持續到第三季度。但很明顯，明年是一個重要的選舉年。你看到政治回歸了嗎？你是否已經開始對今年下半年的政治廣告產生興趣了？

Yes, David, we are already starting to see some small buys that are coming through right now. We had a really robust political year last year. And we are anticipating that the presidential election year is going to be as good, if not better than what we delivered last year as we go forward. And we are going to see a ramp-up of that digital spending through each quarter of the year, but mostly in the fourth quarter coming this year.

是的，大衛，我們已經開始看到一些小額收購正在通過。去年我們的政治形勢非常強勁。我們預計，隨著我們的前進，總統選舉年即使不比去年更好，也不會比去年更好。我們將在今年每個季度看到數字支出的增加，但主要是在今年第四季度。

And California has got a Senate race coming up. The primaries for that are going to be really interesting. And that's something that we should expect to see in the second half of the year. It could be hyper, hyper competitive.

加利福尼亞州即將舉行參議院競選。初選將非常有趣。這是我們應該期望在今年下半年看到的事情。它可能是超級、超級競爭的。

This concludes our question-and-answer session. I would like to turn the conference back over to Chris Young for any closing remarks.

我們的問答環節到此結束。我想將會議轉回給 Chris Young 作閉幕詞。

Thanks again for joining us today. We look forward to sharing our progress with you on our Q1 earnings call in May. Betsy, with that, we'll sign off. Thank you all for your time. Appreciate it.

再次感謝您今天加入我們。我們期待在 5 月份的第一季度財報電話會議上與您分享我們的進展。 Betsy，有了這個，我們就結束了。謝謝大家的寶貴時間。欣賞它。

Thank you.

謝謝。

The conference has now concluded. Thank you for attending today's presentation. You may now disconnect.

會議現已結束。感謝您參加今天的演講。您現在可以斷開連接。