Salem Media Group, Inc. Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

Segment Data (Tables)

Segment Data (Tables)

9 Months Ended

Sep. 30, 2022

The table below presents financial information for each operating segment as of September 30, 2022 and 2021 based on the composition of our operating segments:


	Broadcast			Digital Media			Publishing			Unallocated Corporate Expenses			Consolidated

	(Dollars in thousands)
Three Months Ended September 30, 2022
Net revenue	$	51,136		$	10,189		$	5,537		$	—		$	66,862
Operating expenses		41,178			8,333			6,542			4,840			60,893

Net operating income (loss) before legal settlement, debt modification costs, depreciation, amortization, impairments, and net (gain) loss on the disposition of assets	$	9,958		$	1,856		$	(1,005	)	$	(4,840	)	$	5,969
Legal settlement		3,825			—			—			—			3,825
Debt modification costs		—			—			—			2			2
Depreciation		1,483			927			76			251			2,737
Amortization		4			293			—			—			297
Impairment of indefinite-lived long-term assets other than goodwill		7,725			—			—			—			7,725
Impairment of goodwill		—			—			—			—			—
Net (gain) loss on the disposition of assets		166			1			—			—			167

Net operating income (loss)	$	(3,245	)	$	635		$	(1,081	)	$	(5,093	)	$	(8,784	)

Three Months Ended September 30, 2021
Net revenue	$	49,591		$	10,645		$	5,747		$	—		$	65,983
Operating expenses		37,463			8,269			5,213			4,284			55,229

Net operating income (loss) before debt modification costs, depreciation, amortization, and net (gain) loss on the disposition of assets	$	12,128		$	2,376		$	534		$	(4,284	)	$	10,754

Debt modification costs		—			—			—			2,347			2,347
Depreciation		1,539			965			43			241			2,788
Amortization		4			375			48			—			427
Net (gain) loss on the disposition of assets		(10,505	)		(148	)		22			24			(10,607	)

Net operating income (loss)	$	21,090		$	1,184		$	421		$	(6,896	)	$	15,799


	Broadcast			Digital Media			Publishing			Unallocated Corporate Expenses			Consolidated

	(Dollars in thousands)
Nine Months Ended September 30, 2022
Net revenue	$	152,020		$	31,293		$	14,840		$	—		$	198,153
Operating expenses		120,837			25,079			16,441			14,431			176,788

Net operating income (loss) before legal settlement, debt modification costs, depreciation, amortization, change in the estimated fair value of contingent earn-out consideration, impairments, and net (gain) loss on the disposition of assets	$	31,183		$	6,214		$	(1,601	)	$	(14,431	)	$	21,365
Legal settlement		4,776			—			—			—			4,776
Debt modification costs		—			—			—			250			250
Depreciation		4,669			2,847			245			776			8,537
Amortization		12			951			—			—			963
Change in the estimated fair value of contingent earn-out consideration		—			(5	)		—			—			(5	)
Impairment of indefinite-lived long-term assets other than goodwill		11,660			—			—			—			11,660
Impairment of goodwill		127			—			—			—			127
Net (gain) loss on the disposition of assets		(8,491	)		—			—			30			(8,461	)

Net operating income (loss)	$	18,430		$	2,421		$	(1,846	)	$	(15,487	)	$	3,518

Nine Months Ended September 30, 2021
Net revenue	$	140,422		$	30,603		$	18,093		$	—		$	189,118
Operating expenses		106,968			25,280			16,844			12,764			161,856

Net operating income (loss) before debt modifications costs, depreciation, amortization, and net (gain) loss on the disposition of assets	$	33,454		$	5,323		$	1,249		$	(12,764	)	$	27,262

Debt modification costs		—			—			—			2,347			2,347
Depreciation		4,667			2,606			134			711			8,118
Amortization		12			1,204			337			—			1,553
Net (gain) loss on the disposition of assets		(10,187	)		(83	)		(306	)		24			(10,552	)

Net operating income (loss)	$	38,962		$	1,596		$	1,084		$	(15,846	)	$	25,796


	Broadcast		Digital Media		Publishing		Unallocated Corporate		Consolidated

	(Dollars in thousands)
As of September 30, 2022
Inventories, net	$	—		—		1,457		—		1,457
Property and equipment, net		62,528		7,958		592		8,939		80,017
Broadcast licenses		305,775		—		—		—		305,775
Goodwill		2,622		19,793		1,446		—		23,861
Amortizable intangible assets, net		216		1,286		—		—		1,502
As of December 31, 2021
Inventories, net	$	—	$	—	$	960	$	—	$	960
Property and equipment, net		61,694		8,447		746		8,452		79,339
Broadcast licenses		320,008		—		—		—		320,008
Goodwill		2,750		19,790		1,446		—		23,986
Amortizable intangible assets, net		229		2,215		—		—		2,444