Sign in
CC

Clear Channel Outdoor Holdings, Inc. (CCO)·Q3 2025 Earnings Summary

Executive Summary

  • Q3 2025 revenue was $405.64M (+8.1% YoY), beating S&P Global consensus of $402.03M; Adjusted EBITDA was $132.52M (+9.5% YoY) and AFFO was $30.47M (+62.5% YoY). S&P Global EBITDA (definition differs from company’s Adjusted EBITDA) came in at $126.10M vs a $130.95M consensus, a modest miss, largely reflecting debt-extinguishment/items not in Adjusted EBITDA . Values retrieved from S&P Global.
  • FY25 guidance tightened: consolidated revenue to $1.584–$1.599B (from $1.570–$1.600B), AFFO raised to $85–$95M; Adjusted EBITDA held at $490–$505M; Q4 revenue outlook set at $441–$456M .
  • Segment momentum: America revenue $309.96M (+5.9% YoY) and Airports revenue $95.61M (+16.1% YoY), with strong digital and programmatic, notable strength in New York and San Francisco .
  • Balance sheet catalysts: $2.05B senior secured notes issuance/refinancing extended maturities to 2031/2033; next scheduled maturities in 2028; liquidity of $366M (cash $155M, revolvers $211M). Spain divestiture agreement (€115M) and Brazil sale ($15M) further de-risk and support deleveraging .

What Went Well and What Went Wrong

What Went Well

  • “We delivered consolidated revenue growth of 8.1%, reflecting strong performance across both our America and Airports segments…growth in digital and programmatic sales” — CEO Scott Wells .
  • New York roadside inventory performing ahead of internal projections and “on track to be cash flow positive in year one,” underpinning the MTA contract impact and national/local sales strength .
  • Corporate cost discipline: Corporate expenses down 3.3% YoY and Adjusted Corporate expenses down 6.4% YoY in Q3; continued track to $50M corporate cost savings from Investor Day plan .

What Went Wrong

  • Loss from continuing operations widened to $(49.59)M, driven by a $43.75M loss on extinguishment of debt tied to the August refinancing; higher site lease expense from the MTA contract also pressured America margins .
  • S&P-defined EBITDA modestly missed consensus (actual $126.10M vs $130.95M consensus), despite company Adjusted EBITDA growth; definitional differences and one-time debt items contributed to the divergence. Values retrieved from S&P Global.
  • Regional softness: LA and the entertainment vertical were laggards in 2025, though management expects a rebound over time; static revenue continues to trail digital given advertiser flexibility and faster activation in digital formats .

Financial Results

Consolidated Metrics (USD Millions)

MetricQ1 2025Q2 2025Q3 2025
Revenue ($USD Millions)$334.18 $402.81 $405.64
Loss from Continuing Operations ($USD Millions)$(55.30) $6.33 $(49.59)
Adjusted EBITDA ($USD Millions)$79.26 $128.56 $132.52
AFFO ($USD Millions)$(22.86) $27.82 $30.47

Segment Results (USD Millions)

MetricQ1 2025Q2 2025Q3 2025
America Revenue$254.19 $303.11 $309.96
America Segment Adjusted EBITDA$87.87 $127.60 $133.44
Airports Revenue$79.98 $99.69 $95.61
Airports Segment Adjusted EBITDA$14.31 $24.35 $21.87

KPIs

KPIQ1 2025Q2 2025Q3 2025
America Digital Revenue ($USD Millions)$89.6 $113.8 $113.1
Airports Digital Revenue ($USD Millions)$49.3 $63.5 $57.9
America National Sales (% of segment revenue)34.3% 33.7% 36.5%
Airports National Sales (% of segment revenue)64.6% 59.3% 63.8%
Consolidated CapEx ($USD Millions)$13.23 $12.83 $13.24

Guidance Changes

MetricPeriodPrevious Guidance (Aug 5, 2025)Current Guidance (Nov 6, 2025)Change
Consolidated Revenue ($USD Billions)FY 2025$1.570–$1.600 $1.584–$1.599 Narrowed/raised midpoint
America Revenue ($USD Billions)FY 2025$1.180–$1.200 $1.189–$1.199 Narrowed
Airports Revenue ($USD Millions)FY 2025$390–$400 $394–$399 Narrowed
Loss from Continuing Ops ($USD Millions)FY 2025N/A$(100)–$(90) Introduced
Adjusted EBITDA ($USD Millions)FY 2025$490–$505 $490–$505 Maintained
AFFO ($USD Millions)FY 2025$75–$85 $85–$95 Raised
CapEx ($USD Millions)FY 2025$60–$70 $60–$70 Maintained
Consolidated Revenue ($USD Millions)Q4 2025N/A$441–$456 New
America Revenue ($USD Millions)Q4 2025N/A$322–$332 New
Airports Revenue ($USD Millions)Q4 2025N/A$119–$124 New

Earnings Call Themes & Trends

TopicPrevious Mentions (Q-2, Q-1)Current Period (Q3 2025)Trend
AI/Technology & MeasurementKantar study: OOH outperforms CTV/digital; rollout of In-Flight Insights attribution; programmatic integration [30 in list]Advertisers in tech/AI driving NorCal demand; airports impact study; industry effort for next-gen Geopath measurement Strengthening adoption and measurement sophistication
Macro/Ad EnvironmentQ3 revenue guide ~90% contracted; anticipated strong H2 Momentum building into Q4/2026; national better vs prior years; pipeline strong; 90% of Q4 guidance under contract Improving momentum, national mix improving
Regional TrendsSan Francisco recovery; Northeast strength; some regions lagging New York and San Francisco strong; LA/entertainment vertical lagging Mixed; key markets strong, LA weak
Capital Structure/DeleveragingRevolvers extended to 2030; debt buybacks; notes priced, maturities pushed [26 in list]$2.05B secured notes; maturities to 2031/2033; annual cash interest ~$390–$400M; next maturities in 2028 Maturities extended; deleveraging priority
Strategic Portfolio ActionsOngoing Europe/LatAm sales; Brazil/Spain processes Spain sale agreement (€115M); Brazil sale closed ($15M); proceeds for debt reduction Completion nearing; U.S.-focused pure-play

Management Commentary

  • CEO: “We are at a pivotal moment…favorable industry trends, irreplaceable premium inventory and strong digital capabilities…expected to fuel Adjusted EBITDA growth…accelerate our cash flow flywheel and enable further debt paydown.”
  • CEO on New York inventory: “We’re ahead of our internal projections…on track to be cash flow positive in year one.”
  • CFO: “We ended the quarter with liquidity of $366 million…completed a $2.05 billion senior secured note offering…maintained essentially flat annualized cash interest [and] increased our weighted average time to maturity to 4.8 years.”
  • CEO: “We now have 90% of our Q4 revenue guidance under contract, and our business pipeline remains strong.”

Q&A Highlights

  • Ad market momentum and mix: National demand improved vs prior years; strength in NorCal (tech/AI) and New York; political ads not a contributor in Q3 .
  • Strategic alternatives: Board remains open to pathways to create shareholder value; no comment on market speculation .
  • Balance sheet and cash: Target minimum cash $50–$75M; excess cash prioritized for debt paydown; Spain proceeds intended for debt reduction .
  • Segment margins and costs: America margin compression from MTA site leases; airports margins low-20s% supported by digital and national sales; capex timing-driven, not tariff-driven .
  • Measurement and pricing: Positive feedback on In-Flight Insights; industry working on next-gen measurement; upfront renewals showing “solid increases” .

Estimates Context

MetricQ3 2025 ConsensusQ3 2025 ActualBeat/Miss
Revenue ($USD Millions)$402.03*$405.64 Beat
EPS (Primary, $USD)-0.03396*N/A (company emphasized loss from continuing operations) N/A
EBITDA ($USD Millions, S&P-defined)$130.95*$126.10*Miss
Adjusted EBITDA ($USD Millions)N/A$132.52 N/A

Values retrieved from S&P Global.
Note: Company reports Adjusted EBITDA; S&P-defined EBITDA may differ due to treatment of non-operating items and adjustments.

Key Takeaways for Investors

  • Revenue beat with strong Airports (+16.1% YoY) and resilient America (+5.9% YoY); digital/programmatic and national mix supported the outperformance .
  • FY25 guidance tightened/higher midpoint and AFFO raised; Q4 guide established—sets a near-term catalyst path if execution continues (90% contracted) .
  • Debt profile derisked: maturities extended to 2031/2033, next maturities 2028; continued focus on deleveraging with asset-sale proceeds (Spain) and cash generation .
  • America margin headwind from MTA site leases should ease after lapping; New York inventory already cash-flow-positive trajectory helps 2026 leverage impact .
  • Airports’ premium positioning and digital growth underpin elevated margins; national demand remains robust across banking/tech .
  • Regional dispersion matters: monitor LA and entertainment vertical recovery; NorCal and New York are current drivers .
  • Near-term: trade the beat/tightened guide and deleveraging narrative; medium-term: U.S. pure-play focus, digital conversion, measurement tools, and targeted cost-outs support Adjusted EBITDA growth and AFFO scaling .