iHeartMedia Cuts 2026 Adjusted EBITDA Outlook to Approximately $550 Million to $600 Million

The Tip Desk · November 12, 2026 · 4 min read

Third-quarter revenue was $1.03 billion, up 3.3%, as the audio company lowered full-year Adjusted EBITDA to about $550 million to $600 million from about $800 million.

iHeartMedia, Inc. (IHRT) cut its full-year 2026 Adjusted EBITDA outlook to approximately $550 million to $600 million from about $800 million, and reduced Free Cash Flow guidance to about $50 million from about $200 million.

The number-one U.S. audio company reported third-quarter revenue of $1.03 billion, up 3.3% from a year earlier. Excluding political advertising, revenue rose 0.9%. Growth had been 4.7% in the second quarter and 9.6% in the first.

Consolidated Adjusted EBITDA was $170 million, down from $205 million a year earlier. GAAP operating income was $73 million, compared with a GAAP operating loss of $116 million in the year-ago quarter.

The Multiplatform Group was the main drag. Revenue fell 5% to $562 million, a wider drop than the 2% decline in the second quarter; excluding political, the decline was 7%. Segment Adjusted EBITDA fell 43% to $68 million, and margin compressed to 12.1%. The company said the revenue decline resulted primarily from lower broadcast spot and networks revenue reflecting advertiser uncertainty about consumer spending, partially offset by higher non-cash trade and barter revenue and political revenues in a midterm election year. Broadcast revenue decreased $19.2 million, or 4.5%. Networks decreased $13.7 million, or 12.0%. Sponsorship and events increased $2.5 million, or 5.4%.

Digital Audio Group revenue was $389 million, up 14%. Podcast revenue rose 24% to $174 million. Digital revenue excluding podcast rose 6% to $215 million. The company attributed the group’s increase to demand for digital and podcast advertising and to higher non-cash trade and barter revenue from strategic marketing initiatives. Segment Adjusted EBITDA was $127 million, down 2%, after a 14% increase in the second quarter. Margin was 32.8%. Operating expenses rose 23.6%, which the company said was driven primarily by higher variable content costs, including podcast profit share and third-party digital costs, and higher non-cash trade and barter expense.

Audio & Media Services Group revenue was $82 million, up 23%, or 3% excluding political. Segment Adjusted EBITDA rose 66% to $37 million, and margin expanded to 45.9%. The company said the increase was primarily due to political and digital revenues. Operating expenses were in line with the year-ago period.

Consolidated selling, general and administrative expenses increased $31.5 million, or 7.6%, driven primarily by a $48.9 million increase in non-cash trade and barter expense related to previously executed strategic marketing agreements, partially offset by lower share-based compensation and bonus expense. Direct operating expenses rose 4.8%, which the company said was driven primarily by higher variable content costs, including third-party digital costs and podcast profit share, partially offset by lower employee compensation from modernization initiatives and lower variable content costs related to the broadcast decline.

Cash provided by operating activities was $14 million, compared with cash used of $10 million a year earlier. Free Cash Flow was ($10) million. Cash on the balance sheet was $140 million as of September 30, 2026, and total available liquidity was $416 million. Total debt was $5.02 billion and net debt $4.68 billion.

Fourth-quarter 2026 consolidated revenue is expected to increase mid-single digits. Consolidated Adjusted EBITDA is expected to be approximately $135 million to $185 million. The company said the fourth-quarter guide includes approximately $100 million of net negative impact of non-cash marketing, calculated as about $80 million of trade and barter revenues offset by about $180 million of trade and barter expenses. Full-year programmatic revenue is still expected to be approximately $200 million, up about 50%.

The company said it expects to establish podcasting as a separate reporting segment in 2027 and to generate approximately $400 million of total programmatic revenue in 2027, including approximately $100 million of incremental broadcast radio programmatic revenue. Chairman and CEO Bob Pittman said the rollout of the AudioGraph platform has the potential to improve the broadcast radio business. President and COO Rich Bressler said many of the company’s revenue challenges are addressable.