This has been a week of major developments at Beasley Broadcast Group. The broadcaster climbs comfortably into the top 10 of U.S. radio ownership groups (as measured by revenue) after closing its $240 million purchase of Greater Media. Also, the interim tag has been pulled from the title of CEO Caroline Beasley; and the company recorded a positive third quarter in 2016.
Beasley on Wednesday reported Q3 net revenue of $27.7 million compared to $26.3 million in Q3 2015. That’s an increase of about 5.6%. The results are from the 52 radio stations Beasley was operating at the end of September. It will gain 18 radio stations from Great Media, which is expected to double Beasley’s revenue base. Beasley will count 69 radio stations in 16 markets after several divestitures to comply with FCC local market ownership caps.
Also, Caroline Beasley will become CEO effective Jan. 1, according to the company. She had been interim CEO since the announced medical leave of founder and former CEO George Beasley in March. George Beasley will continue to serve as the broadcaster’s chairman of the board. In another front office move, the company announced that Marie Tedesco, who joined the company in 1991, has been named chief financial officer.
“The company is now performing at a high level and delivering strong operating revenue and cash flow,” Caroline Beasley said on an earnings call, attributing the revenue gains to strength in auto and retail advertising and political spending.
Tedesco said Beasley’s station operating expenses decreased by about $100,000. She credited its revenue increase to performance at the group’s Tampa-St. Petersburg, Charlotte and Fayetteville, N.C., clusters.
Caroline Beasley, who recalled the company’s beginnings as a single radio station in 1961, welcomed former Greater Media employees to the Beasley ranks. She described the acquisition as “a transformational growth opportunity” for Beasley.
The purchase of Greater Media increased Beasley’s broadcast portfolio by approximately 40 percent and will more than double its audience reach, the company says. As part of the FCC required divestiture, Beasley is selling four radio stations in Charlotte to Emmis Communications for $24 million, Caroline Beasley said. Three of those belonged to Greater Media.
Beasley Still Bullish on Radio (July 2016)