Friday, March 04, 2022
Salem Media (SALM)
On Track For A Good Year
Salem Media Group is America’s leading radio broadcaster, Internet content provider, and magazine and book publisher targeting audiences interested in Christian and family-themed content and conservative values. In addition to its radio properties, Salem owns Salem Radio Network, which syndicates talk, news and music programming to approximately 2700 affiliates; Salem Radio Representatives, a national radio advertising sales force; Salem Web Network, a leading Internet provider of Christian content and online streaming; and Salem Publishing, a leading publisher of Christian themed magazines. Salem owns and operates 115 radio stations, with 73 stations in the nation’s top 25 top markets – and 25 in the top 10. Each of our radio properties has a full portfolio of broadcast and digital marketing opportunities.
Michael Kupinski, Director of Research, Noble Capital Markets, Inc.
Andres Miranda Lopez, Research Associate, Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
Solid Q4 results. Fourth-quarter revenues of $69.1 million were stronger than our $64.8 million, growing a remarkable 7.2% year-over-year. The Publishing segment was the main driver of revenue growth, generating $6.5 million in revenue, a 27.1% increase YoY. Adjusted EBITDA was $10.8 million compared to our $9.6 million estimate, a 9.3% upside variance.
Continuing the digital path. Digital revenue comprised roughly 29% of total revenues, ten years ago that figure was only 12%. The newest channel of digital revenues, Podcast revenues, were $1.6 million in the quarter, a notable result to end its first year of existence. Management intends to expand the company’s digital footprint through its different platforms …
This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).
*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision.
