Townsquare Media Inc (TSQ) 2025 Q2 法說會逐字稿

Good morning, and welcome to Townsquare Media's second-quarter 2025 conference call. As a reminder, today's call is being recorded, and your participation implies consent to such recording. (Operator Instructions)

早安，歡迎參加 Townsquare Media 2025 年第二季電話會議。再次提醒，今天的通話將會被錄音，您的參與即表示您同意被錄音。（操作說明）

With that, I would like to introduce the first speaker for today's call, Claire Yenicay, Executive Vice President. You may begin.

接下來，我謹介紹今天電話會議的第一位發言人，執行副總裁克萊爾‧耶尼凱。你可以開始了。

Thank you, operator, and good morning to everyone. Thank you for joining us today for Townsquare's second-quarter financial update. With me on the call today are Bill Wilson, our CEO; and Stu Rosenstein, our CFO and Executive Vice President.

謝謝接線員，大家早安。感謝您今天參加 Townsquare 第二季財務更新會議。今天和我一起參加電話會議的有我們的執行長比爾威爾遜，以及我們的財務長兼執行副總裁斯圖羅森斯坦。

Please note that during this call, we may make statements that provide information other than historical information, including statements relating to the company's future expectations, plans and prospects. These statements are considered forward-looking statements under the Safe Harbor provision of the Private Securities Litigation Reform Act of 1995 and are subject to risks and uncertainties that could cause actual results to differ materially from these statements.

請注意，在本次電話會議中，我們可能會發表一些除歷史資訊以外的聲明，包括與公司未來預期、計劃和前景相關的聲明。這些聲明屬於 1995 年《私人證券訴訟改革法案》安全港條款下的前瞻性聲明，存在風險和不確定性，可能導致實際結果與這些聲明有重大差異。

These statements reflect the company's beliefs based on current conditions but are subject to certain risks and uncertainties, including those that are detailed in the company's annual report on Form 10-K filed with the SEC.

這些聲明反映了公司基於當前情況的看法，但存在某些風險和不確定性，包括公司向美國證券交易委員會提交的 10-K 表格年度報告中詳細列出的風險和不確定性。

During this call, we may discuss certain non-GAAP financial measures, including adjusted EBITDA. Such non-GAAP financial measures should be used in conjunction with all the information contained in the quarterly, year-end and current reports available on our website. I also encourage all participants to go to our corporate website and download our investor presentation, as Bill will reference some of those slides during our discussion this morning.

在本次電話會議中，我們可能會討論某些非GAAP財務指標，包括調整後的EBITDA。此類非公認會計準則財務指標應與我們網站上提供的季度報告、年度報告和當前報告中包含的所有資訊結合使用。我也鼓勵所有參與者訪問我們公司的網站並下載我們的投資者演示文稿，因為比爾將在今天早上的討論中引用其中的一些幻燈片。

At this time, I would like to turn the call over to Bill Wilson.

此時，我想把電話交給比爾威爾森。

Thank you, Claire, and thank you all for joining us today. It's great to reconnect with everyone. We are very pleased to share with you this morning that our second quarter results met or exceeded the total net revenue and adjusted EBITDA guidance that we provided on our last call.

謝謝克萊爾，也謝謝各位今天蒞臨現場。很高興能和大家重新聯絡。今天早上我們非常高興地與大家分享，我們第二季度的業績達到或超過了我們在上次電話會議上給出的總淨收入和調整後 EBITDA 預期。

We are proud that the execution of our digital-first local media strategy has allowed us to deliver solid and consistent results, while also producing strong cash flow even during these uncertain and challenging macroeconomic times.

我們很自豪，我們以數位優先的本地媒體策略的執行，使我們能夠取得穩健而持續的業績，即使在當前不確定和充滿挑戰的宏觀經濟時期，也能產生強勁的現金流。

Due to our robust local presence and holistic set of local and digital marketing solutions available to our local clients, we were able to successfully navigate the revenue pressures caused by April's Liberation Day and achieve our total net revenue guidance, while continuing to carefully manage our expense base and deliver adjusted EBITDA above our second quarter guidance.

由於我們在當地擁有強大的影響力，並能為當地客戶提供全面的本地和數位行銷解決方案，我們成功應對了四月份解放日帶來的收入壓力，實現了總淨收入目標，同時繼續謹慎地控制支出，並實現了高於第二季度預期的調整後 EBITDA。

In the second quarter, our guidance was that total net revenue would be negative 2% to negative 4% year-over-year, and it finished right in line with our expectations, down approximately negative 2% with and without political. We also provided guidance that second quarter adjusted EBITDA would be negative 1% to negative 5% year-over-year, and our actual EBITDA result was better at 1%-plus year-over-year, above the high end of our guidance and achieving year-over-year growth, and excluding political, our EBITDA was 4%-plus over Q2 2024.

第二季度，我們的預期是總淨收入年減 2% 至 4%，最終結果與我們的預期完全一致，無論是否考慮政治因素，都下降了約 2%。我們還預測，第二季調整後 EBITDA 將同比下降 1% 至 5%，而我們實際的 EBITDA 結果更好，同比增長 1% 以上，高於我們預測的上限，實現了同比增長。如果排除政治因素，我們的 EBITDA 比 2024 年第二季成長了 4% 以上。

Additionally, our net leverage ticked down to 4.58 times. By now, it should be very clear that Townsquare has transformed from a legacy broadcast company into a digital-first local media company and that our digital platform and digital execution sets us apart from others in local media.

此外，我們的淨槓桿率小幅下降至 4.58 倍。現在應該很清楚，Townsquare 已經從一家傳統的廣播公司轉型為數位優先的本地媒體公司，我們的數位平台和數位執行力使我們從本地媒體中脫穎而出。

In 2024, approximately 52% of our company's total net revenue and 50% of our total segment profit was generated from our digital solutions. In the first six months of 2025, our total digital revenue grew 4%-plus year-over-year, and as a result, our digital revenue in the first half of 2025 expanded to be a very significant 55% of our total net revenue, which as highlighted on Slide 11, is industry-leading at more than 2 times the industry average.

2024 年，我們公司約 52% 的總淨收入和 50% 的總部門利潤來自我們的數位化解決方案。2025 年上半年，我們的數位收入年增 4% 以上，因此，2025 年上半年的數位收入佔總淨收入的比例顯著增長至 55%，正如第 11 頁幻燈片所示，這一比例是行業平均水平的 2 倍以上，處於行業領先地位。

Total digital segment profit increased a very strong 9%-plus year-over-year in the first six months of the year, with a strong profit margin of 27%. Digital's year-to-date contribution grew to 56% of our total segment profit. As we have consistently stated for many years, digital is and will continue to be Townsquare's growth engine and the area where we focus the bulk of our investment capital going forward, consistent with our strategy of being a digital-first local media company and further differentiating us from others in local media.

今年上半年，數位業務部門總利潤年增超過 9%，利潤率高達 27%。今年迄今為止，數位化業務對我們總利潤的貢獻成長至 56%。正如我們多年來一直強調的那樣，數位化是並將繼續是 Townsquare 的成長引擎，也是我們未來投資資本重點投入的領域，這與我們成為一家以數位化為先的本地媒體公司的策略相一致，並進一步使我們與其他本地媒體公司區分開來。

Let's dive into the results of our two digital divisions, starting with the fastest-growing business for Townsquare, Ignite, our digital advertising business. Q2 was a challenging quarter across the board due to pauses and concerns in advertising following April's Liberation Day announcement as well as DOGE cuts impacting government-related advertising, even impacting our consistent digital advertising growth engine.

讓我們深入了解我們兩個數位部門的業績，首先從 Townsquare 成長最快的業務 Ignite（我們的數位廣告業務）開始。由於 4 月解放日公告發布後廣告業出現停滯和擔憂，以及 DOGE 削減影響了政府相關廣告，甚至影響了我們持續的數位廣告成長引擎，第二季度對所有方面來說都是一個充滿挑戰的季度。

Despite the challenging advertising marketplace. However, we still delivered growth in the second quarter, with digital advertising revenue increasing 2%-plus year-over-year. From January through April, our digital advertising segment delivered strong mid-to high single-digit revenue growth rates.

儘管廣告市場充滿挑戰。然而，我們在第二季度仍然實現了成長，數位廣告收入較去年同期成長超過 2%。從1月到4月，我們的數位廣告業務實現了強勁的中高個位數營收成長率。

The impact of Liberation Day was felt in May onward as digital advertising campaigns are of longer duration, and therefore, most of April was already booked by Liberation Day. Although, we didn't quite achieve the mid-single-digit growth rate that we had anticipated when we last reported in early May, we're pleased that we were still able to deliver growth in this division. Our programmatic business was the strongest component of digital advertising in the quarter, making up approximately 60% of the segment's revenue with strong organic growth opportunities, and we expect it will continue to be our primary growth driver.

解放日的影響從五月開始顯現，因為數位廣告活動的持續時間更長，因此四月的大部分時間已經被解放日預訂一空。儘管我們未能完全實現 5 月初上次報告時預期的個位數中段成長率，但我們很高興仍然能夠在該部門實現成長。本季度，我們的程式化業務是數位廣告中最強勁的組成部分，約佔該業務板塊收入的 60%，並擁有強勁的自然成長機會，我們預計它將繼續成為我們的主要成長動力。

As a reminder, our programmatic platform provides our customers with precise targeted solutions, giving them the ability to reach a high percentage of their potential customers across desktop, mobile, connected TV, e-mail, paid search and social media platforms utilizing display, video and native executions.

再次提醒，我們的程式化平台為客戶提供精準的定向解決方案，使他們能夠透過展示廣告、影片廣告和原生廣告等方式，在桌面、行動裝置、連網電視、電子郵件、付費搜尋和社群媒體平台上觸及大部分潛在客戶。

We essentially act as a full-service digital agency for our clients from providing campaign strategies, creative services to buying inventory, optimizing campaigns and providing real-time reporting and analytics as well as insights, providing a level of service that is often not available in the markets we operate.

我們本質上是一家為客戶提供全方位服務的數位代理商，從提供行銷活動策略、創意服務到購買廣告位、優化行銷活動，以及提供即時報告、分析和洞察，我們提供的服務水準在我們所處的市場中往往是無法獲得的。

In addition, we are simply able to afford a more cost-effective campaign to our clients than most of our competitors, given our scale across our 74 market footprint and our in-house proprietary demand-side trading desk is integrated with more than 15 digital advertising buying platforms with access to all major advertising exchanges and therefore, more than 250 billion impressions per day.

此外，鑑於我們在 74 個市場中的規模優勢，以及我們內部專有的需求方交易平台與 15 多個數位廣告購買平台集成，並可訪問所有主要廣告交易平台，因此每天可獲得超過 2500 億次的曝光量，我們能夠為客戶提供比大多數競爭對手更具成本效益的廣告活動。

Our local owned and operated digital business includes locally sold advertising, aka, traditional feet on the street selling of our own 400 local websites and mobile apps, and that was strong in both the second quarter and year-to-date periods.

我們本地擁有和經營的數位業務包括本地銷售廣告，也就是傳統的街頭銷售方式，銷售我們自己的 400 個本地網站和行動應用程序，這在第二季度和年初至今的業績都很強勁。

However, our overall digital inventory has been negatively impacted by declining search engine traffic, which I'm sure you're aware of has been the case for all web publishers at scale. Therefore, any remnant unsold inventory that we sell via exchanges was negatively impacted, thereby muting our strong directly sold local digital growth.

然而，由於搜尋引擎流量下降，我們的整體數位資產受到了負面影響，我相信您也知道，這種情況對所有大規模網路出版商都是如此。因此，我們透過交易所出售的任何剩餘未售庫存都受到了負面影響，從而抑制了我們強勁的本地直接銷售數位成長。

We continue to see these search referral trends in Q3. Therefore, we expect Q3's digital advertising revenue growth to be in line and consistent with Q2's performance. The digital revenue that we sell directly to advertisers by our in-house sales teams both programmatic digital solutions at our differentiated owned and operated digital solutions continue to grow and improve from Q2 to Q3, but remnant revenue tied directly to search traffic will continue to decline, leading to an overall Q3 growth rate roughly in line with Q2's growth rate.

我們在第三季繼續觀察到這些搜尋推薦趨勢。因此，我們預計第三季數位廣告收入成長將與第二季的表現保持一致。我們內部銷售團隊直接向廣告商銷售的數位收入（包括程式化數位解決方案和我們差異化的自有及營運數位解決方案）從第二季到第三季持續成長和改​​善，但與搜尋流量直接相關的剩餘收入將繼續下降，導致第三季的整體成長率與第二季的成長率大致持平。

As we've shared previously on calls, we are confident that our third-party media partnership model launched in early 2024 will be a meaningful growth driver for our digital advertising business in future years. I am very pleased to share with you that we added Renda Media as our newest media partner. In total, we now have 6 local media partners under this new division, reaching 19 incremental markets that do not overlap with our own footprint, and we have only scratched the surface of this opportunity.

正如我們之前在電話會議上分享的那樣，我們相信，我們在 2024 年初推出的第三方媒體合作模式，將在未來幾年成為我們數位廣告業務的重要成長動力。我非常高興地告訴大家，我們新增了 Renda Media 作為我們最新的媒體合作夥伴。目前，我們在這個新部門下共有 6 家本地媒體合作夥伴，涵蓋了 19 個與我們自身業務範圍不重疊的新增市場，而我們僅僅觸及了這個機會的冰山一角。

Because of our media partnership strategy, we're able to enter new markets to offer programmatic digital advertising solutions without having to acquire radio broadcast assets in order to do so. In this capital-light model, we partner with others in local media and handle all the major components of the digital advertising solution, including managing the creative, buying, optimization, and customer support of the digital campaigns and very importantly affectively training our partner sales team to sell our solutions.

由於我們採取了媒體合作策略，我們能夠進入新市場，提供程序化數位廣告解決方案，而無需為此收購廣播資產。在這種輕資本模式下，我們與當地媒體的其他公司合作，負責數位廣告解決方案的所有主要組成部分，包括管理數位廣告活動的創意、購買、優化和客戶支持，以及非常有效地培訓我們的合作夥伴銷售團隊來銷售我們的解決方案。

In 2025, as I shared on our last call, I expect this initiative will add approximately $6 million of revenue at approximately a 20% margin for the full year. As I shared on our last two earnings calls, I expect that in 5 years or less, this division can grow to be at least $50 million of revenue for Townsquare at approximately a 20% profit margin.

正如我在上次電話會議上分享的那樣，我預計到 2025 年，這項計劃將增加約 600 萬美元的收入，全年利潤率約為 20%。正如我在最近兩次財報電話會議上分享的那樣，我預計在 5 年或更短的時間內，該部門可以為 Townsquare 帶來至少 5000 萬美元的收入，利潤率約為 20%。

Ultimately, our goal with this initiative is to become the chosen provider of digital programmatic advertising to broadcasters and digital agencies and local media outside of the major cities. We are proud and honored to now have 6 strong partners in this division, and we expect that number to grow in 2026 and beyond.

最終，我們透過這項計劃的目標是成為主要城市以外的廣播公司、數位代理商和地方媒體首選的數位程式化廣告提供者。我們很自豪也很榮幸，目前該部門擁有 6 位實力雄厚的合作夥伴，我們預計到 2026 年及以後，合作夥伴的數量還會繼續增長。

Let's now turn to our second digital business, which is our subscription-based digital marketing solutions SaaS business, Townsquare Interactive. We are very pleased to share that we are having a fantastic profit year at Townsquare Interactive, which we expect will continue for the remainder of the year.

現在讓我們來看看我們的第二個數位業務，即我們基於訂閱的數位行銷解決方案 SaaS 業務 Townsquare Interactive。我們非常高興地宣布，Townsquare Interactive 今年盈利頗豐，預計這一勢頭將在今年餘下的時間裡持續下去。

In the first six months of 2025, segment profit has increased 19%-plus year-over-year, an increase of nearly $2 million. This is an excellent result as year-to-date profit margins expanded to 33% as opposed to the customary 28% profit margin we're used to seeing. This increase in Townsquare Interactive's profit margin is largely due to three causes.

2025 年上半年，該部門利潤年增 19% 以上，成長近 200 萬美元。這是一個非常好的結果，因為今年迄今為止的利潤率擴大到了 33%，而不是我們通常看到的 28% 的利潤率。Townsquare Interactive利潤率的增加主要歸因於以下三個原因。

Number one, the restructuring of our customer service model in 2023 that allowed us to grow more efficiently. Number two, changes to our sales structure late last year and early this year have led to both a smaller sales team, which is temporary, but importantly, a more productive sales team. Let me elaborate a bit on that.

第一，我們在 2023 年對客戶服務模式進行了重組，這使我們能夠更有效率地發展。第二，去年底和今年年初我們對銷售結構的調整，使得銷售團隊規模縮小（這是暫時的），但更重要的是，銷售團隊的效率提高了。讓我再詳細解釋一下。

After careful evaluation, we determined that we needed to restructure our sales team to align culture and incentives with our goals, which is consistent and strong profit growth. The restructure include changes to the compensation structure as well as the intentional reduction of sales personnel correlated to raising the bar of baseline level of sales expectations.

經過仔細評估，我們決定需要重組銷售團隊，使企業文化和激勵機制與我們的目標（即持續強勁的利潤成長）保持一致。此次重組包括調整薪酬結構，以及有意減少銷售人員，同時提高銷售預期基準水準。

Since the start of the year, we have not been able to fill vacancies quickly enough on our sales team to offset this attrition, which has led to much smaller sales team and thus lower sales velocity overall. However, sales productivity has improved dramatically as the number of sales units and revenue per sales rep has increased as anticipated, generating higher profit with improved profit margins.

自年初以來，我們一直未能及時填補銷售團隊的空缺，以抵消人員流失，這導致銷售團隊規模大幅縮小，從而整體銷售速度下降。然而，銷售效率大幅提高，銷售單位數量和每位銷售代表的收入如預期般增加，從而產生了更高的利潤和更高的利潤率。

The third cause of improved profit margin is due to the business deploying AI solutions to improve efficiency. Thus, we remain very confident that the changes we have made both to our customer service and sales models, along with continued deployment of AI solutions are setting Townsquare Interactive up for the next decade of efficient and profitable growth and success. However, as I just mentioned and also highlighted on our last call in May, with the smaller sales teams come smaller sales velocity and therefore, muted revenue performance in the short term.

利潤率提高的第三個原因是企業部署人工智慧解決方案來提高效率。因此，我們仍然非常有信心，我們對客戶服務和銷售模式所做的改變，以及人工智慧解決方案的持續部署，將使 Townsquare Interactive 在未來十年實現高效、盈利的成長和成功。然而，正如我剛才提到的，也是我們在五月的上次電話會議中強調的，銷售團隊規模較小，銷售速度也較慢，因此短期內收入表現會較為平淡。

In the second quarter, Townsquare Interactive revenue increased 1%-plus year-over-year, marking the third consecutive quarter of year-over-year revenue growth. We expect Q3 revenue at Townsquare Interactive to be roughly inline with Q2's $18.8 million and as we continue to backfill our sales team with more productive members, we currently expect Q4 revenue to increase over Q3 revenue.

第二季度，Townsquare Interactive 的營收年增超過 1%，這是該公司連續第三個季度營收年增。我們預計 Townsquare Interactive 第三季的營收將與第二季的 1,880 萬美元大致持平，隨著我們繼續為銷售團隊補充更多高效的成員，我們目前預計第四季的營收將比第三季的營收有所成長。

Strong profit growth will continue in the second half of the year as we expect profit margins to remain above 30%. Thus, as I mentioned on our May call, I expect our profit performance at TSI in 2025 to be one of the best in the division's 12-year history and setting us up for a strong 2026 and beyond. As you have heard me consistently state, I am very confident that Townsquare Interactive is on track and set up for long-term profitable growth and success, and I believe that our 2025 expected profit performance is a great proof point of that.

下半年利潤將持續保持強勁成長，我們預計利潤率將維持在 30% 以上。因此，正如我在五月的電話會議上提到的那樣，我預計 TSI 在 2025 年的盈利表現將是該部門 12 年曆史上最好的表現之一，並為我們 2026 年及以後的強勁發展奠定基礎。正如我一直所說，我對 Townsquare Interactive 的發展前景充滿信心，相信它已走上正軌，並已做好長期盈利增長和成功的準備，而且我相信，我們 2025 年的預期盈利表現就是最好的證明。

Turning to our third and final business segment, broadcast local radio. As you're all aware, we view local radio as an extremely valuable asset with significant cash flow properties, unparalleled consumer reach and an important local connection to our audience and clients. However, radio is not a growth driver for Townsquare. In the second quarter, broadcast advertising net revenue, excluding political, performed exactly as we telegraphed on our last call and declined negative 8% ex-political year-over-year and in line with Q1's performance.

接下來是我們的第三個也是最後一個業務板塊——當地廣播電台。如大家所知，我們認為本地廣播是一項極其寶貴的資產，它具有可觀的現金流、無與倫比的消費者覆蓋範圍以及與我們的聽眾和客戶之間重要的本地聯繫。然而，廣播並不是 Townsquare 的成長動力。第二季度，除政治廣告外，廣播廣告淨收入的表現與我們上次電話會議中預測的完全一致，年減 8%，與第一季的表現一致。

As we have stated for several years, but I feel it is important to reinforce, we take the view that broadcast is a mature cash cow business that will continue to decline going forward as businesses will continue to share shift from traditional advertising to digital advertising. Thankfully, we are often the beneficiary when share shifting occurs as we often have the most comprehensive set of digital advertising solutions available in our markets. Townsquare is differentiated and different.

正如我們多年來一直強調的那樣，但我認為有必要再次強調，我們認為廣播電視是一個成熟的搖錢樹行業，隨著企業繼續從傳統廣告轉向數位廣告，廣播電視行業將繼續衰落。值得慶幸的是，當市場佔有率發生轉移時，我們往往是受益者，因為我們通常擁有市場上最全面的數位廣告解決方案。Townsquare 與眾不同。

As a result of our talented team and organically building our own technology platforms and solutions over the past 15 years in-house, Townsquare's digital profit margins are in line with our traditional broadcast profit margins and thus, our overall profit margin profile is stable as a result of the advertising share shift from broadcast to digital. Despite broadcast revenue declines and Liberation Day and macro headwinds, we outperformed the industry in both first and second quarter, gaining local and national broadcast market share according to Miller Kaplan estimate.

由於我們擁有才華橫溢的團隊，並且在過去 15 年中自主研發了我們的技術平台和解決方案，Townsquare 的數字利潤率與我們傳統的廣播利潤率保持一致，因此，由於廣告份額從廣播轉向數字，我們的整體利潤率保持穩定。儘管廣播收入下降，加上解放日和宏觀經濟的不利因素，但我們在第一季和第二季都跑贏了產業，根據 Miller Kaplan 的估計，我們在地方和全國廣播市場份額方面都取得了進步。

In fact, in June our local market spot share as measured by Miller Kaplan increased to an all-time high of 39%. With our differentiated local content on our local radio broadcast, we believe that we will continue to gain broadcast and total market share across our market footprint, while also generating a solid profit as we carefully manage expenses to maintain a strong broadcast profit margin. In fact, in Q2, our broadcast profit margin ex-political was approximately 30%, which is stronger than Q2 2024 profit margin.

事實上，根據 Miller Kaplan 的測量，我們在 6 月的本地市場現貨份額增長至歷史新高 39%。憑藉我們在本地廣播中提供的差異化本地內容，我們相信我們將繼續在我們的市場範圍內獲得廣播和總市場份額，同時透過謹慎控制支出以保持強勁的廣播利潤率，從而創造可觀的利潤。事實上，第二季我們剔除政治節目後的廣播利潤率約為 30%，高於 2024 年第二季的利潤率。

As we look out to the back half of 2025, we expect to see digital advertising trends consistent with our Q2 performance with continued strength in programmatic and direct sales of our owned and operated 400-plus websites and mobile apps, partially offset by ongoing headwinds tied to audience size as a result of declines in search referral traffic. As I already noted, I expect Q3 revenue at Townsquare Interactive to be in line with Q2's revenue, and I expect Q4 to grow over Q3.

展望 2025 年下半年，我們預計數位廣告趨勢將與我們第二季的業績保持一致，我們自有營運的 400 多個網站和行動應用程式的程式化和直接銷售將繼續保持強勁勢頭，但部分會被搜尋推薦流量下降導致的受眾規模持續下降所帶來的不利因素所抵消。正如我之前提到的，我預計 Townsquare Interactive 第三季的營收將與第二季的營收持平，我預計第四季將比第三季成長。

We anticipate similar ex-political performance in our Broadcast segment in Q3 and Q4 with declines in line with the first half of negative 8%, although Q4 is currently pacing slightly better than the first three quarters of the year.

我們預計第三季和第四季廣播業務的非政治類節目表現與上半年持平，降幅為-8%，儘管第四季目前的成長速度略好於今年前三個季度。

As a result, and as Stu will share, we are narrowing our full-year revenue and adjusted EBITDA guidance range and both yet will remain within the original parameters we set at the start of the year. Importantly, our business model continues to generate strong cash flow, which we have been applying towards organic investment in our business and debt paydown, which we will continue to do for the remainder of the year.

因此，正如 Stu 將要分享的那樣，我們將縮小全年收入和調整後 EBITDA 的預期範圍，但兩者都將保持在年初設定的原始參數範圍內。重要的是，我們的商業模式持續產生強勁的現金流，我們已將這些現金流用於業務的有機投資和償還債務，我們將在今年餘下的時間裡繼續這樣做。

Now I'll hand the call over to Stu to discuss our financial results and guidance in more details. All yours, Stu, take it away.

現在我將把電話交給Stu，讓他更詳細地討論我們的財務表現和指導。都給你了，Stu，拿去吧。

Thank you, Bill, and good morning, everyone. It's great to speak with you today. We're very pleased to report that once again, our second quarter results met our revenue guidance and exceeded our adjusted EBITDA guidance.

謝謝你，比爾，大家早安。今天能和你交談真是太好了。我們非常高興地宣布，第二季業績再次達到營收預期，並超越調整後 EBITDA 預期。

Second quarter net revenue, excluding political, declined 1.6% year-over-year and 2.3% in total to net revenue of $115.4 million on the higher side of our guidance range of $114 million to $116 million. Second quarter adjusted EBITDA increased with and without political to $26.4 million, which was above our guidance range of $25 million to $26 million. This represented year-over-year adjusted EBITDA growth of 0.7% and 3.8%, excluding political, and we experienced margin expansion as adjusted EBITDA margins increased from 22.2% in Q2 of 2024 to 22.9% in Q2 of this year.

第二季淨收入（不含政治支出）年減 1.6%，總營收下降 2.3%，淨收入為 1.154 億美元，高於我們先前預測的 1.14 億美元至 1.16 億美元區間。第二季調整後的 EBITDA（無論是否考慮政治因素）成長至 2,640 萬美元，高於我們先前 2,500 萬美元至 2,600 萬美元的預期範圍。不計政治因素，這代表著同比調整後 EBITDA 增長 0.7% 和 3.8%，我們實現了利潤率擴張，調整後 EBITDA 利潤率從 2024 年第二季度的 22.2% 增長到今年第二季度的 22.9%。

Townsquare Interactive, our subscription Digital Marketing Solutions segment continued to demonstrate growth in the second quarter. As expected and we previously telegraphed, Townsquare Interactive's Q2 net revenue increased 1.4% year-over-year. We are thrilled to share that as expected, Townsquare Interactive delivered another quarter of very strong profit growth in the second quarter with Q2 segment profit increasing 15% year-over-year or segment profit growth of approximately $800,000.

我們的訂閱式數位行銷解決方案部門 Townsquare Interactive 在第二季度持續保持成長動能。正如我們之前預測的那樣，Townsquare Interactive 在第二季淨收入年增 1.4%。我們很高興地宣布，正如預期的那樣，Townsquare Interactive 在第二季度再次實現了強勁的利潤增長，第二季度業務利潤同比增長 15%，即業務利潤增長約 80 萬美元。

Segment profit margins were very strong at 33% in Q2 of 2025, and for the full-year, we expect Townsquare Interactive's profit margin to remain above 30%. In 2025, we are very confident in our expectation that we will deliver strong profit growth for our Townsquare Interactive business, which is very beneficial after the profit losses in 2023 and 2024. As Bill noted, we're very pleased with this Townsquare Interactive's strong performance -- profit performance.

2025 年第二季度，各業務部門的利潤率非常強勁，達到 33%。我們預計 Townsquare Interactive 全年的利潤率將維持在 30% 以上。2025 年，我們非常有信心實現 Townsquare Interactive 業務的強勁利潤成長，這在經歷了 2023 年和 2024 年的利潤虧損之後，將是非常有利的。正如比爾所指出的，我們對 Townsquare Interactive 的強勁業績——盈利業績——感到非常滿意。

Q2 broadcast advertising net revenue decreased in line with our expectations, which was similar to first quarter broadcast revenue decline. In the second quarter, broadcast revenue declined 7.8%, excluding political and 9.2% in total, each as compared to the prior year. Importantly, broadcast segment profit margins increased year-over-year to approximately 30% with and without political as we continue to work hard to manage our broadcast expense base in the face of revenue decline.

第二季廣播廣告淨收入下降，與我們的預期一致，與第一季廣播收入下降類似。第二季度，廣播收入（不包括政治節目）年減 7.8%，總營收年減 9.2%。重要的是，儘管收入下降，但我們仍在努力控制廣播支出，因此無論是否包含政治內容，廣播業務的利潤率都同比增長至約 30%。

Our second quarter net income was $2 million or $0.09 per diluted share as compared to net loss of $3.26 per diluted share in the prior year period. We'd like to remind you that any benefit or provision for income taxes included on the face of the income statement is for GAAP financial statement purposes only. We maintained significant tax attributes, including approximately $96 million of federal NOL carryforwards and other substantial tax shields related to the tax amortization of our intangible assets. We continue to believe that we will not be a material cash taxpayer until approximately 2028.

我們第二季淨收入為 200 萬美元，即每股攤薄收益 0.09 美元，而去年同期每股攤薄虧損為 3.26 美元。我們想提醒您，損益表上列出的任何所得稅收益或準備金僅用於符合公認會計原則的財務報表目的。我們保留了重要的稅務優勢，包括約 9,600 萬美元的聯邦淨營業虧損結轉以及與無形資產稅收攤銷相關的其他重大稅收優惠。我們仍然認為，大約在 2028 年之前，我們不會成為重要的現金納稅人。

As Bill highlighted, and I would again like to emphasize, we consistently generate strong cash flow. We generated $10 million of cash flow from operations in the first half of 2025, roughly equal to the prior year. In the second quarter, we repaid another $10 million of debt, including the $7 million balance on the revolver, our first amortization payment of $2.9 million.

正如比爾所強調的，我也想再次強調，我們持續產生強勁的現金流。2025 年上半年，我們的經營活動產生了 1,000 萬美元的現金流，與前一年大致持平。第二季度，我們償還了 1000 萬美元的債務，其中包括 700 萬美元的循環貸款餘額，以及 290 萬美元的第一筆攤銷款項。

Since the February refinancing, we have repaid $13 million of our debt. In addition, our cash this year has been used to fund $29 million of interest payments, $7 million of dividend payments and $28 million of fees associated with our February refinancing.

自從二月的再融資以來，我們已經償還了 1,300 萬美元的債務。此外，我們今年的現金也用於支付 2,900 萬美元的利息、700 萬美元的股息以及與 2 月再融資相關的 2,800 萬美元費用。

With $467 million of total debt outstanding and $3 million of cash at June 30, our net leverage ticked down to 4.58 times. As always, our number one priority is to invest in our local businesses through organic internal investments that support our revenue and profit growth, particularly our digital growth engines.

截至 6 月 30 日，公司未償債務總額為 4.67 億美元，現金為 300 萬美元，淨槓桿率小幅下降至 4.58 倍。一如既往，我們的首要任務是透過有機內部投資來投資本地企業，從而支持我們的收入和利潤成長，特別是我們的數位成長引擎。

We plan to continue to invest in our digital product technology, sales, content, support teams, specifically our Townsquare Interactive and Digital Ignite businesses to maintain our strong competitive advantage in markets outside the top 50 cities. In addition, we plan to use our excess cash flow to reduce our debt through both mandatory and voluntary debt repayments and, of course, support our high-yielding dividend.

我們計劃繼續投資我們的數位產品技術、銷售、內容、支援團隊，特別是我們的 Townsquare Interactive 和 Digital Ignite 業務，以保持我們在前 50 大城市以外的市場中強大的競爭優勢。此外，我們計劃利用多餘的現金流，透過強制性和自願性債務償還來減少債務，當然，也要支持我們高收益的股利。

Our Board has approved our next quarterly dividend payable on November 3 to shareholders of record as of October 27. The dividend of $0.20 per share equates to $0.80 per share on an annualized basis and implies an annual payment of approximately $13 million based on our current share count and a dividend yield of approximately 12% based on current share prices. We believe our strong cash flow characteristics will allow us to continue to invest in our business, support our dividend and allow us to delever going forward.

董事會已批准將於 11 月 3 日向 10 月 27 日登記在冊的股東派發下一季股利。每股 0.20 美元的股息按年計算為每股 0.80 美元，根據我們目前的股份數量，這意味著每年約 1300 萬美元的股息支付，根據目前的股價，股息收益率約為 12%。我們相信，我們強勁的現金流狀況將使我們能夠繼續投資於我們的業務，支持我們的股息，並使我們能夠在未來降低槓桿率。

Turning now to our third quarter outlook. We expect third quarter net revenue to be between $106.5 million and $108.5 million. As previously detailed on this call, we expect Townsquare Ignite, our digital advertising business, to grow in line with Q2's growth rate.

現在來看我們第三季的展望。我們預計第三季淨收入將在 1.065 億美元至 1.085 億美元之間。正如先前在本次電話會議中詳細介紹的那樣，我們預計我們的數位廣告業務 Townsquare Ignite 將與第二季的成長率保持一致。

Townsquare Interactive to have approximately the same revenue in Q3 as it generated in Q2 with continued strong profit performance and broadcast revenue ex-political to decline in line with Q1 and Q2's performance. We expect third quarter adjusted EBITDA to be between $22 million and $23 million.

Townsquare Interactive 第三季的營收將與第二季大致相同，獲利能力持續強勁，但除政治內容外的廣播收入將與第一季和第二季的表現一致下降。我們預計第三季調整後 EBITDA 將在 2,200 萬美元至 2,300 萬美元之間。

For the full year, as Bill highlighted, given the impact Liberation Day had on advertising growth in 2025, we are now narrowing our revenue range so that revenue will be between $435 million and $440 million, which is still within our original revenue guide.

正如比爾所強調的那樣，考慮到解放日對 2025 年廣告成長的影響，我們現在將全年的收入範圍縮小到 4.35 億美元至 4.4 億美元之間，這仍然在我們最初的收入指導範圍內。

As a result, we are also narrowing our adjusted EBITDA range to be between $90 million and $94 million, also within our original EBITDA guide. As a reminder, embedded in this guidance is the loss of political revenue of $10 million to $11 million as we typically get between $2 million and $3 million of political revenue in non-election years.

因此，我們也把調整後的 EBITDA 範圍縮小到 9,000 萬美元至 9,400 萬美元之間，這也符合我們最初的 EBITDA 指導目標。需要提醒的是，該指導方針中已考慮到政治收入將損失 1000 萬至 1100 萬美元，因為我們在非選舉年通常會獲得 200 萬至 300 萬美元的政治收入。

With that, I will now turn the call back over to Bill.

接下來，我將把通話轉回給比爾。

Thank you, Stu. Well done, as always. Thanks to everyone for taking the time to be updated on Townsquare's Q2 results this morning. We greatly appreciate it.

謝謝你，Stu。一如既往，做得好。感謝大家今天早上抽空了解 Townsquare 第二季的業績。我們非常感謝。

I'd like to close today's call by reiterating our confidence in our digital-first local media strategy, our focus on markets outside of the top 50 in the United States, the strength of our digital solutions and the long-term profitable growth potential of our digital platforms. It is also worth noting and highlighting just a few of our successes in Q2 as well as year-to-date.

在今天的電話會議結束之際，我想重申我們對以數位優先的本地媒體策略的信心，我們對美國前 50 大市場以外的市場的關注，我們數位解決方案的實力，以及我們數位平台的長期盈利增長潛力。值得一提的是，我們在第二季以及今年迄今為止也取得了一些成功。

Our differentiated digital advertising platform continues to deliver growth in the face of uncertainty and macro volatility. Our mature cash cow broadcast advertising platform continues to generate a solid profit and Q2 broadcast profit margins are actually up year-over-year due to solid expense management.

面對不確定性和宏觀經濟波動，我們差異化的數位廣告平台持續成長。我們成熟的搖錢樹廣播廣告平台繼續產生穩定的利潤，由於有效的費用控制，第二季度廣播廣告利潤率實際上比去年同期增長了。

Townsquare Interactive is driving incredible profit growth in 2025 with margins north of 30%. We continue to strong cash flow and after refinancing our January-February, which extended our maturity profile to 2030, we have already repaid $13 million of our debt through June, while maintaining our high-yielding dividend, delivering attractive current returns to our shareholders.

Townsquare Interactive 預計 2025 年利潤將實現驚人的成長，利潤率將超過 30%。我們現金流依然強勁，在1月至2月進行再融資後，將我們的到期日延長至2030年，截至6月，我們已經償還了1300萬美元的債務，同時保持了高收益股息，為股東帶來了可觀的當前回報。

Most importantly, we are confident in our ability to build shareholder value for our investors through long-term net revenue, profit and cash flow growth, net leverage reduction and future dividend payments. As always, we wouldn't have the confidence in our long-term success without the Townsquare team's effort, passion and commitment that is directly driving our growth and innovation each and every day. I could not be more appreciative of our team and their tremendous work.

最重要的是，我們有信心透過長期淨收入、利潤和現金流成長、淨槓桿率降低和未來的股息支付，為我們的投資者創造股東價值。一如既往，如果沒有 Townsquare 團隊的努力、熱情和奉獻，我們就不會對自身的長期成功充滿信心，正是這些努力、熱情和奉獻每天都在直接推動著我們的成長和創新。我無比感激我們的團隊及其所付出的巨大努力。

With that, operator, at this time, please open the line for any and all questions.

接線員，現在請開通線路，接受大家的提問。

Thank you. Ladies and gentlemen, we will now begin the question-and-answer session. (Operator Instructions)

謝謝。女士們、先生們，現在開始問答環節。（操作說明）

Michael Kupinski, Noble Capital.

Michael Kupinski，Noble Capital。

All right, good morning, everyone. Thank you for taking my questions. I was wondering, Bill, can you provide a little more color on the search engine referral traffic trends that you were talking about? Do you think that this is going to change the trajectory of the digital advertising outlook that you have in your presentation regarding the outlook for -- over the course of the next several years?

好了，大家早安。謝謝您回答我的問題。比爾，我想請教一下，你能否更詳細地介紹一下你剛才提到的搜尋引擎推薦流量趨勢？您認為這會改變您在演講中對未來幾年數位廣告前景的展望嗎？

Hey, good morning, Michael, as always, thank you for the question. Yes, so the great news for us is that our direct sales in digital advertising is very strong. Our programmatic is -- was close to double digits, high single digits. As I noted earlier, our direct sales of our owned and operated 400-plus local websites and mobile apps is strong as well in the high single digits and pacing quite well for the back half of the year is both programmatic and direct sales of our owned and operated websites.

嗨，早上好，邁克爾，和往常一樣，謝謝你的提問。是的，對我們來說的好消息是，我們在數位廣告領域的直接銷售額非常強勁。我們的程式化廣告投放量接近兩位數，接近個位數。正如我之前提到的，我們自有運營的 400 多個本地網站和行動應用程式的直接銷售額也表現強勁，達到了較高的個位數，而且今年下半年，無論是程序化銷售還是自有運營網站的直接銷售，都保持著相當不錯的增長勢頭。

As we noted, the referral traffic, and I'm sure you've been seeing this across the board at any publisher at scale, the search engine traffic referral has come down, and it's come down more meaningfully in Q2 and Q3 and what we expect in Q4 than the beginning of the year. I'm sure you've seen when you go into Google or other search engines, there's the AI results and in essence, the organic blue links are pushed down and therefore, all publishers across the web are facing this challenge.

正如我們所指出的，推薦流量（我相信您已經在任何大規模出版商中普遍看到了這一點）——搜尋引擎推薦流量——已經下降，而且在第二季度和第三季度下降得更為明顯，我們預計第四季度的下降幅度將比年初更大。我相信你一定在谷歌或其他搜尋引擎中看到過，人工智慧搜尋結果會把自然搜尋結果（藍色連結）擠到後面，因此，網路上的所有出版商都面臨著這項挑戰。

For us, our indirect revenue, so any revenue that is not sold directly by our sales team, and again, our sales team is doing a great job in monetizing it directly has come down meaningfully in Q2, and we expect that to continue for some period of time. That's where we are. In terms of our total growth trajectory, in terms of the next three to four years, I think this will be a temporary setback. Obviously, programmatic, as you may recall, is 60% of our total digital advertising.

對我們來說，我們的間接收入（即任何非由我們的銷售團隊直接銷售的收入，再次強調，我們的銷售團隊在直接實現收入變現方面做得非常出色）在第二季度大幅下降，我們預計這種情況將持續一段時間。這就是我們目前的處境。就我們未來的整體成長軌跡而言，我認為這將是一個暫時的挫折，至少在未來三到四年內是如此。顯然，正如您可能記得的那樣，程序化廣告占我們數位廣告總額的 60%。

In Q2, we did $42.5 million in digital advertising. Just under $27 million of that was in the programmatic space, which had no impact here. Then the other 40% is comprised of our owned and operated and the direct sales there are strong. The remnant or indirect has come down, but as it relates to the next two to three years, we're still very confident in our growth trajectory of digital advertising. It will still be the fastest-growing part of our company with a really strong profit margin.

第二季度，我們的數位廣告支出為 4,250 萬美元。其中近 2,700 萬美元用於程式化廣告領域，但這並未對此事件產生影響。其餘 40% 由我們自有和經營的門市組成，這些門市的直接銷售額非常強勁。剩餘部分或間接部分有所下降，但就未來兩到三年而言，我們仍然對數位廣告的成長軌跡充滿信心。它仍將是我們公司成長最快的部分，而且利潤率非常高。

I'll pause there, Michael, and turn it back to you for any follow-ups on that or other questions you may have.

邁克爾，我就先說到這裡，如果你還有其他問題，或是想繼續追問，請你回答。

I really appreciate all the color there. Just overall, it just seems like your Q3 guide is a little softer than what you had hoped, I think. Is that just advertisers seem to be a little bit hesitant? Or are they cutting back due to economic uncertainty? I was just trying to give us -- since you have a little read on the local economies, I was just wondering if you can give us your color on what you're hearing from advertisers in general?

我非常喜歡那裡的色彩。總的來說，我覺得你的第三季業績指引比你預期的要寬鬆一些。是不是廣告商似乎有點猶豫不決？還是他們是因為經濟狀況不明朗而削減開支？我只是想給我們一些資訊——因為你對當地經濟略知一二，所以我想問你從廣告商那裡聽到的總體情況？

Yes, you're correct. I'd say, they're cautious, but still spending, placing more short term or in month versus out months. We've definitely been seeing that since April, and that continues. I'd say, probably the biggest change from the beginning of the year when we provided our guidance on the year-end 2024 call is the search engine traffic and the impact to our indirect remnant revenue, and that's muted our overall digital advertising growth.

是的，你說得對。我認為，他們雖然謹慎，但仍在消費，更多地進行短期或按月投資，而不是按月投資。從四月開始，我們就明顯看到了這種情況，而且這種情況還在繼續。我認為，與年初我們在 2024 年底電話會議上給出的業績指引相比，最大的變化可能是搜尋引擎流量及其對我們間接剩餘收入的影響，這抑制了我們整體數位廣告的成長。

I would have expected in Q3 on a normal standpoint, mid-to high single-digit digital advertising growth. As I just said, in Q2, we grew 2% because of the search engine referral headwind, and we expect the same in Q3, but we have so many other tailwinds when you're thinking longer term. Obviously, our programmatic business from just straight up organic growth is doing extremely well, as I just noted, close to double-digit growth in Q2 and pacing onward.

從正常角度來看，我原本預期第三季數位廣告成長率會達到個位數中高水準。正如我剛才所說，第二季我們成長了 2%，這是由於搜尋引擎推薦帶來的不利影響，我們預計第三季也會如此，但從長遠來看，我們還有很多其他利好因素。顯然，正如我剛才提到的，我們僅憑自然增長就實現的程序化業務表現非常出色，第二季度接近兩位數的增長，並且還在持續增長。

Then obviously, with the Media Partnership division, I noted on our last call as well as just reiterated now, we expect about $6 million of total revenue there this year. Very modest as it relates to our overall digital advertising, but we obviously just noted, we signed up another partner, Renda Broadcasting, adding another 6 markets, so we're in 19 markets. We've got great partners.

然後，很顯然，媒體合作部門，正如我在上次電話會議上提到的，現在也再次重申，我們預計今年該部門的總收入約為 600 萬美元。就我們整體的數位廣告而言，這非常有限，但正如我們剛才提到的，我們又簽下了一位合作夥伴 Renda Broadcasting，新增了 6 個市場，所以我們現在涵蓋了 19 個市場。我們擁有優秀的合作夥伴。

The majority of these partners are not yet generating revenue. We're, in essence, we've got Summit, who we've talked about in prior calls and Steel City. Those are the two primary ones who are generating 2025 revenue. These other ones will come on board in 2026.

這些合作夥伴中的大多數目前尚未產生收入。從本質上講，我們有 Summit（我們在之前的電話會議中談過）和 Steel City。這兩家公司是2025年收入的主要貢獻者。其他幾艘將於 2026 年投入使用。

As I noted, thinking over the next five years, we're very confident that this media partnership division could be at a minimum of $50 million of top line revenue at a 20% profit margin, so adding $10 million of profit over that time. Our overall perspective on digital advertising long term, which was your original question, is incredibly bullish.

正如我之前提到的，展望未來五年，我們非常有信心，這個媒體合作部門的營收至少可以達到 5,000 萬美元，利潤率為 20%，也就是說，在此期間將增加 1,000 萬美元的利潤。我們對數位廣告的長期發展前景（也就是你最初提出的問題）整體看法非常樂觀。

As always, there's going to be challenges that come up. Right now, that challenges the indirect remnant sales. I think based on us being a significant local publisher at scale, some of this will work itself over time, but in terms of 2025, I'd say, you are correct. It's muted the overall health and growth of our direct sales and digital advertising until you peel back the onion and see why that is.

和以往一樣，總是會遇到各種挑戰。目前，這給間接剩餘商品銷售帶來了挑戰。我認為，鑑於我們是一家規模可觀的本地出版商，隨著時間的推移，其中一些問題會迎刃而解，但就 2025 年而言，我認為你是對的。它抑制了我們直銷和數位廣告的整體健康和成長，直到你深入剖析它，才會明白其中的原因。

I'll turn it back to you.

我會把它還給你。

Bill, you just answered four, five and six of my questions. I appreciate that very much. I'll let others ask questions. Thank you.

比爾，你剛才回答了我的第四、第五和第六個問題。我非常感謝。我會讓其他人提問。謝謝。

Thank you, Michael, as always. Have a great day.

謝謝你，邁克爾，一如既往。祝你有美好的一天。

Patrick Sholl, Barrington Research.

Patrick Sholl，巴林頓研究公司。

Hi, thanks for taking the question. Maybe if I could just ask another question about the referral traffic headwind. Just a couple of years ago, I think you had a -- well, is the magnitude of this kind of similar in size to, I think, the change in like social media referral traffic algorithm? Is it a similar impact?

您好，感謝您回答這個問題。或許我可以再問一個關於引薦流量逆風的問題。就在幾年前，我想你們有過一次——嗯，這次變革的規模是否與社群媒體推薦流量演算法的改變類似呢？影響是否類似？

Yeah, hey, good morning, Pat, great to hear from you as always. Yes, you are correct. I think it was 18 months ago, a couple of years ago, the algorithm, particularly on the social media platforms was updated. It's always being updated, as you're aware. That definitely muted traffic directly from places like Facebook to publishers, including ourselves, so this is very similar in that. The good news for us is based on different strategies and the talented team we have, our search engine traffic after declining quite a bit significantly, plateaued and then started to grow again.

是啊，嘿，早上好，帕特，很高興一如既往地收到你的消息。是的，你說得對。我想大概是18個月前，或是幾年前，演算法，特別是社群媒體平台上的演算法進行了更新。如您所知，它一直在更新。這無疑會降低 Facebook 等平台直接流向出版商（包括我們自己）的流量，所以這種情況與此非常相似。對我們來說的好消息是，憑藉不同的策略和我們擁有的優秀團隊，我們的搜尋引擎流量在大幅下降後趨於平穩，然後又開始成長。

I expect that same type of behavior with the search engine referral traffic over time, but I do expect it to continue to decline through the remainder of this year and potentially into the beginning of next year with this change in terms of AI and search engines. I think we'll find other ways as we always have, because when you think about it, just taking a macro step back, we're one of the largest publishers of local content in the United States.

我預計隨著時間的推移，搜尋引擎推薦流量也會出現同樣的趨勢，但隨著人工智慧和搜尋引擎的變化，我預計今年剩餘時間以及明年年初，搜尋引擎推薦流量將繼續下降。我認為我們會像以往一樣找到其他方法，因為從宏觀角度來看，我們是美國最大的本地內容出版商之一。

As we've talked about consistently on these calls for many years now, these are really news deserts, these 74 markets that we're in. I'd say, they're significantly underserved from a journalistic and news and information and entertainment standpoint.

正如我們多年來在這些電話會議上一直在談論的那樣，我們所處的這 74 個市場實際上是新聞沙漠。我認為，從新聞報導、資訊和娛樂的角度來看，他們遠遠沒有得到應有的服務。

As we've talked about previously, many of our markets don't have a local television station. A large percentage have had newspapers completely go away, not only stop printing, but actually don't even have an online presence. I share all of that because we are -- and I've shared this before, we have the largest local audience in our markets, we believe, from an online perspective. That is incredibly differentiated. It's one of the reasons that we continually talk about what a difference it is operating outside the top 50 markets and what a major point of differentiation and major competitive advantage for Townsquare that is.

正如我們之前討論過的，我們很多市場都沒有本地電視台。很大一部分的報紙已經完全消失，不僅停止印刷，而且實際上連網路平台都沒有了。我之所以分享這些，是因為我們——而且我以前也分享過——我們相信，從網路角度來看，我們在各自的市場中擁有最大的本地受眾群體。這真是天壤之別。這也是我們不斷強調在排名前 50 的市場之外運營與在前 50 大市場之外運營有多麼不同，以及這對於 Townsquare 來說是多麼重要的差異化優勢和競爭優勢的原因之一。

I still believe, given that we are -- we've talked about this before, we reached 70% of the adult population through mobile apps and websites. That's still consistent even with this drop in search engine and referral traffic. We've talked about the fact that we reached 50%, 5-0 of people just through our AM and FM broadcast on average in our 74 markets. The emotional connection, the scale and reach is unparalleled.

我仍然相信，鑑於我們——我們以前也討論過這個問題——我們已經透過行動應用程式和網站覆蓋了 70% 的成年人口。即使搜尋引擎和推薦流量有所下降，這一結論仍然成立。我們已經討論過，在我們的 74 個市場中，僅透過 AM 和 FM 廣播，我們平均就能覆蓋 50%（5-0）的人群。情感連結、規模和影響力都是無與倫比的。

I do think, going back to your original question that although the search engine referral traffic is definitely down, which is impacting our indirect revenue, which is muting our overall digital advertising performance of our direct sales team, I do believe that at some point, I don't think it will be this year, but I do think it will plateau and then we'll be able to grow it again simply because not only we have a talented team, but we are literally in many of our markets, the primary source of news and information for that community. They will find us because we are there to serve them, and that's a core part of Townsquare's mission.

回到你最初的問題，我認為雖然搜尋引擎推薦流量確實下降了，這影響了我們的間接收入，也抑制了我們直銷團隊的整體數位廣告業績，但我相信在某個時候——雖然我認為不會是今年——它會趨於平穩，然後我們就能再次增長，原因很簡單，我們不僅擁有一支優秀的團隊，而且在許多市場，我們實際上是當地新聞和資訊的主要來源。他們會找到我們，因為我們是來為他們服務的，而這正是 Townsquare 使命的核心部分。

I'll turn it back to you, Pat.

派特，我把它還給你。

Thank you. Just a question on like the -- I guess, overall macro environment in your markets. You talked about the local advertisers being more cautious. I'm just curious with your advertising partners who are also interactive subscribers, you had mentioned in your guidance that you expect revenues from that to be flat sequentially.

謝謝。我有個問題，大概是關於你們市場的整體宏觀環境。你提到過本地廣告商會更加謹慎。我只是對你們的廣告合作夥伴（他們也是互動訂閱用戶）感到好奇，你們在指導意見中提到，預計這部分收入將環比持平。

I think just looking longer -- a little further out, I guess, can you just talk about like the confidence of like inflecting back into growth? Or is there a risk of these macro challenges creating a little bit more of a headwind on the top line for that segment again?

我認為，從更長遠的角度來看──我想，你能談談重新回到成長狀態的信心嗎？或者說，這些宏觀挑戰是否有可能再次對該業務板塊的營收造成更大的不利影響？

Yes. No, a great question, Pat. I'm very confident that we will be returning to growth on the revenue side. We're very proud of the team. As I said, this will be the -- from a Townsquare Interactive perspective, this will be, if not the highest, one of the largest year-over-year increases in profit in the division's 12 year-plus history. Even with this muted revenue performance, the profit performance is incredibly strong. I expect in 2026, for that revenue to return back to normal standards. We were, on average, doing $7 million to $10 million in revenue.

是的。不，帕特，你問得好。我非常有信心，我們的營收將會恢復成長。我們為這支隊伍感到非常自豪。正如我所說，從 Townsquare Interactive 的角度來看，這將是該部門 12 年多歷史上利潤同比增長幅度最大的一次，即使不是最高的，也是最大的一次。即使營收表現平平，獲利表現卻非常強勁。我預計到 2026 年，該收入將恢復到正常水平。我們的平均收入在 700 萬到 1000 萬美元之間。

Based on some of the AI technology and tools we've deployed, as I noted in our prepared remarks, we're operating at a very healthy profit margin in the low 30s, where we historically have been at like on an annual basis, 27% to 28% profit margin. Looking in the out years, I think we have a good potential possibility of still being at 30-plus profit margin with this -- with increased revenue growth. All of that feels quite good and bullish for Interactive.

正如我在事先準備好的演講稿中提到的，基於我們部署的一些人工智慧技術和工具，我們的利潤率非常健康，在 30% 左右，而我們以往的年利潤率大約在 27% 到 28% 之間。展望未來幾年，我認為我們很有可能在營收成長的前提下，繼續維持 30% 以上的利潤率。所有這些都讓Interactive Entertainment感到非常樂觀和振奮。

I noted on this call as well as last call, some of this was very purposeful. We made a conscious decision to raise the sales criteria and quota for our sales rep at Townsquare Interactive. Therefore, we flushed out the bottom performers by -- and we actually, I'd say, at least one third of our sales force was decreased starting in January through the time period we're operating in now. We're adding people back and the people we're adding back are much more productive with higher ROI and the people who remain the two third are incredibly more productive with higher ROI, and that's driving that profit performance.

我在這通通話以及上次通話中都注意到，其中一些行為是經過深思熟慮的。我們經過慎重考慮，決定提高 Townsquare Interactive 銷售代表的銷售標準和配額。因此，我們淘汰了業績最差的員工——實際上，我認為從一月到我們現在所處的時期，我們至少減少了三分之一的銷售人員。我們正在重新招募人，重新招募的人生產力更高，投資報酬率更高；而留下的三分之二的人生產力更是驚人地高，投資報酬率也更高，這正是利潤成長的驅動力。

Going to your overall question, like where does Interactive sit in? Are we concerned that if this macro situation we're navigating now. We're already seeing green shoots, and it's really about just building up our sales team, which will take time, but 2026 will be a revenue growth. Obviously, we're coming off great momentum of profit growth in 2025 at Townsquare Interactive.

回到你的整體問題，例如互動技術在產業中處於什麼位置？我們是否擔心我們目前正在應對的這種宏觀情況？我們已經看到一些正面的跡象，現在的關鍵在於壯大我們的銷售團隊，這需要時間，但2026年將會達到營收成長。顯然，Townsquare Interactive 在 2025 年的獲利成長勢頭強勁。

I'll just take -- you asked specifically about Interactive. Obviously, Michael's last question was about the environment. I will also share that in addition to the cautiousness, the good news is they're still placing dollars, obviously, advertisers. Obviously, digital advertising, the direct sales, as I said, was high single digits, muted down because of the remnant piece.

我就選你問的互動式版本吧。顯然，邁克爾的最後一個問題與環境有關。我還要補充一點，除了謹慎之外，好消息是廣告商們仍在投入資金。顯然，正如我所說，數位廣告和直接銷售額都只有個位數，由於剩餘部分的影響而下降。

We're still seeing that. We also -- we didn't talk about this in the prepared remarks. I didn't mention this with Michael's question, but with DOGE, there was significant advertising cuts. Things like the New Jersey Department of Motor Vehicles, things like many of our markets we were placing like health and community service ads. All of those got cut when the DOGE cuts came.

我們仍然看到這種情況。我們也——我們在準備好的演講稿中沒有談到這一點。我在回答邁克爾的問題時沒有提到這一點，但是狗狗幣的廣告投入大幅削減了。例如新澤西州機動車輛管理局，以及我們投放的許多市場廣告，例如健康和社區服務廣告。當狗狗幣削減時，所有這些項目都被砍掉了。

We're talking about millions and millions of dollars of broadcast and digital advertising that was actually either already placed or we knew was coming based on what happens each year that didn't come back. Again, that has a 2025 impact when you're looking at vis-a-vis 2024 and the broadcast decline that we had of negative 8x political. I think that again works itself out in 2026 by just replacing that with other dollars, be it broadcast or digital. That also has muted the 2025 revenue performance. But long term, we continue to be very bullish on the transformation of the company.

我們說的是數百萬美元的廣播和數位廣告，這些廣告要么已經投放，要么根據每年的情況我們知道它們即將投放，但最終都沒有兌現。同樣，考慮到 2024 年的廣播收視率下降了 8 倍（政治收視率下降了 8 倍），這將對 2025 年產生影響。我認為到 2026 年，這個問題會再次得到​​解決，只需用其他資金（無論是廣播還是數位資金）來替代即可。這也抑制了2025年的收入預期。但從長遠來看，我們仍然非常看好公司的轉型。

We're glad, obviously, for the last decade, our growth has been driven by Townsquare Interactive and Townsquare Ignite, and we love our broadcast business. We talk about the connection, the reach. Obviously, broadcast now is the number one reach medium, cord cutting continues to accelerate.

顯然，我們很高興在過去的十年裡，Townsquare Interactive 和 Townsquare Ignite 推動了我們的成長，我們也熱愛我們的廣播業務。我們談論的是聯繫，是影響力。顯然，廣播電視目前是覆蓋範圍最廣的媒體，用戶取消有線電視訂閱的趨勢仍在加速發展。

There's so many tailwinds for us from just the connectivity that the broadcast side, but we treat that as a traditional cash cow and the cash flow generation is incredible as it is for the overall company. That's why we're able to reward our shareholders, while they're being incredibly patient to unlock the long-term value with high-yielding dividend.

僅從廣播方面的連接性就為我們帶來了許多利好，但我們將其視為傳統的搖錢樹，其現金流產生能力對整個公司來說都非常驚人。正因如此，我們才能回報股東，而他們也展現出極大的耐心，透過高收益股利釋放長期價值。

Hopefully, that gives you a sense of your question on Townsquare Interactive and our continued bullish outlook for the out years, including 2026. Then just a little bit more color on the macro environment, including those DOGE cuts and why we see where we are going into the back half of the year, we feel well situated while we're navigating these challenges.

希望這能讓您了解您對 Townsquare Interactive 的疑問，以及我們對未來幾年（包括 2026 年）的持續樂觀展望。然後，我們再稍微詳細地分析一下宏觀環境，包括 DOGE 指數的下調以及我們對下半年走勢的看法，我們感覺在應對這些挑戰方面處於有利地位。

Pat, I'll turn it back to you to see if you have any other follow-ups or additional questions.

派特，我把這個問題轉回給你，看看你是否有其他後續問題或疑問。

Oh, thank you. Excellent.

哦，謝謝。出色的。

Michael Kupinski, Noble Capital

Michael Kupinski，Noble Capital

Thank you. I just had a couple of quick follow-ups here, Bill. In regards to the promise of this -- of your Phoenix office was to open up your West Coast and since it was in a different time zone that you felt like it could really propel your business in the West Coast in some of the mountain states and so forth.

謝謝。比爾，我這裡還有幾個後續問題想問。關於您在鳳凰城設立辦事處的承諾——是為了開拓西海岸市場，由於它位於不同的時區，您覺得它能夠真正推動您在西海岸一些山區州等地的業務發展。

I was just wondering, if maybe give us an update on how the Phoenix office is working, maybe the staffing levels of the Phoenix office at this point and what your -- maybe your outlook and growth trajectory of that might be at this point?

我只是想問一下，能否給我們介紹一下鳳凰城辦事處的運作情況，例如目前的員工人數，以及您目前對該辦事處的展望和發展軌跡？

Great question, Michael. I'm glad you circled back around as always. Quite pleased with the Phoenix office. It was really two-fold. You mentioned the time zone aspect and super serving our West Coast clients, which is accurate. I'd say, the larger reason and rationale for the Phoenix office was also recruiting and talent pool. Obviously, Charlotte is where the headquarters of Townsquare Interactive is. It's our largest office by far in all of Townsquare with hundreds and hundreds of employees.

問得好，麥可。很高興你像往常一樣又回來了。對鳳凰城辦事處非常滿意。實際上有兩個方面。您提到了時區因素以及為西海岸客戶提供優質服務的重要性，這完全正確。我認為，在鳳凰城設立辦事處的更大原因和理由也是為了招募和人才儲備。顯然，Townsquare Interactive 的總部就位於夏洛特。這是Townsquare所有辦公地點中規模最大的，擁有數百名員工。

Then Phoenix, we're approaching 50. We're around 40 employees, plus or minus. Now we not only have salespeople there, but we have our service people there as well, which has been accelerating over the last 6 months. Quite pleased with the talent pool and the people we're recruiting into that office and also the benefits of having the West Coast side as well from a talent pool, but also, as you noted, from a time change.

然後是菲尼克斯，我們快到50歲了。我們大約有 40 名員工，上下浮動。現在我們不僅有銷售人員在那裡，還有服務人員在那裡，而且在過去的6個月裡，服務人員的數量一直在快速增加。我對人才庫以及我們正在招募到該辦公室的人員感到非常滿意，而且西海岸的人才庫也帶來了好處，正如您所指出的，時差也帶來了好處。

Quite pleased with Phoenix, quite pleased with Townsquare Interactive overall, as I just noted, we went through a really challenging period in '23 and '24. We rebuilt a complete service model. We redid the sales compensation and quotas at the beginning of this year. Now we -- as we look in the out years, we feel quite well positioned for growth. As I just said to Pat, expecting that $7 million to $10 million top line to come back next year with roughly $3 million-plus in profit.

我對 Phoenix 非常滿意，對 Townsquare Interactive 整體也非常滿意。正如我剛才提到的，我們在 2023 年和 2024 年經歷了一段非常具有挑戰性的時期。我們重建了一套完整的服務模式。今年年初，我們重新調整了銷售薪酬和銷售配額。現在，展望未來幾年，我們感覺自己已經為成長做好了充分準備。正如我剛才跟帕特說的那樣，預計明年營收將達到 700 萬至 1000 萬美元，利潤將達到 300 萬美元以上。

I'll pause there, Michael.

我就先說到這裡吧，麥可。

You mentioned the government advertising a couple of times. Can you -- is there a number that you had in terms of what did the government advertising contribute, for instance, in 2024?

你曾經幾次提到政府的廣告宣傳。您能否提供一個數據，例如，政府廣告在 2024 年的貢獻是多少？

Several million dollars. In the first half of this year, I didn't look at all of '24, but I was looking at year -- or at least first half of '25 and that's come down several million dollars. That's impacted not only broadcast, it has impacted digital advertising as well because these like health and community and as I mentioned, the Department of Health and traffic and human services and all of these that, in essence, throughout the counties and the states add up, and that's definitely been something that we had to overcome, and we knew those wouldn't be coming back because of the overall DOGE cuts across the board.

數百萬美元。今年上半年，我沒有查看整個 2024 年的數據，但我查看了 2025 年上半年的數據，結果顯示數據下降了數百萬美元。這不僅影響了廣播，也影響了數位廣告，因為像健康、社區以及我提到的衛生部、交通和公共服務部等等，本質上，這些部門遍布各縣和各州，加起來也是一筆不小的開支，這絕對是我們必須克服的難題，而且我們知道，由於州政府全面削減預算，這些開支不會再回來了。

It's definitely impacted our broadcast ex-political, negative 8, and it's definitely impacted digital advertising. We mentioned the search engine referral, but the DOGE cuts cut muted our growth there as well because as I noted, our direct sales of our programmatic business and our direct sales of our owned and operated were high single digits.

這肯定對我們的廣播電視（非政治類節目）產生了負面影響（負面評價為8），也肯定對數位廣告產生了影響。我們提到了搜尋引擎推薦，但 DOGE 的削減也抑制了我們在該領域的成長，因為正如我所指出的，我們程式化業務的直接銷售額和我們自有自營業務的直接銷售額都只有個位數。

I'd say, the health of that business is incredibly strong and the underpinning of our direct sales demonstrates that. It's these DOGE cuts and the search engine piece that's muting the growth, but quite honestly, as I said earlier, like we're quite proud of the team at Townsquare and their tenacity and passion.

我認為，該業務的健康狀況非常強勁，而我們直銷業務的穩健表現也證明了這一點。正是 DOGE 代幣削減和搜尋引擎優化等因素抑制了成長，但說實話，正如我之前所說，我們為 Townsquare 團隊的韌性和熱情感到非常自豪。

Even in this environment of uncertainty and cautiousness and these DOGE cuts and everything else, we still grew digital advertising and the direct sales team did that at a high single-digit rate. Quite pleased with them. I'll turn it back to you, Michael, for any other comments or questions.

即使在當前充滿不確定性和謹慎的環境下，以及狗狗幣貶值等種種因素的影響下，我們的數位廣告業務仍然實現了成長，直銷團隊也以接近兩位數的成長率實現了這一目標。非常滿意。邁克爾，我把這個問題交還給你，你還有什麼要補充或提問的嗎？

That's all I have. Thanks, Bill. I appreciate it.

這就是我全部的資料了。謝謝你，比爾。謝謝。

Always, Michael. Thank you. Great to hear from you.

永遠都是，麥可。謝謝。很高興收到你的來信。

Thank you. There are no further questions at this time. I will now turn the call over to Mr. Bill Wilson, please continue.

謝謝。目前沒有其他問題了。現在我將把電話交給比爾威爾森先生，請繼續。

Thank you, operator, and again, thank you all for joining us this morning to be updated not only on Q2's results, but also our outlook for the rest of the year, and we look forward to updating you again in three months. And if you have any questions in the meantime, as always, do not hesitate to reach out. Have a great day.

謝謝接線員，再次感謝各位今天上午收看我們的節目，了解第二季的業績以及我們對今年剩餘時間的展望。我們期待三個月後能再次與大家分享最新情況。如果您在此期間有任何疑問，請隨時與我們聯繫。祝你有美好的一天。

Ladies and gentlemen, this includes today's conference call. Thank you for your participation. You may disconnect. Have a great day.

女士們、先生們，這包括今天的電話會議。感謝您的參與。您可以斷開連線。祝你有美好的一天。