What changed in this filing

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Item 2. Management’s Discussion and Analysis

2026-08-14 compared with 2026-05-08 · 124 added, 77 removed, 169 unchanged (54% of the section changed)

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Future Factors include, among others, changes in national, regional and local economic conditions and advertising demand;

shifts in audience behavior and listening habits;

competition from traditional and non-traditional media, including digital, streaming and other online platforms;

shifts in audience behavior and listening habits competition from traditional and non traditional media;

including digital, streaming and other online platforms;

our ability to attract and retain advertising customers and to maintain or increase advertising rates;

adverse changes in interest rates and interest rate relationships;

our financial leverage, our ability to comply with debt covenants, and service our indebtedness;

our ability to maintain sufficient liquidity following the repayment and termination of our Credit Agreement;

our ability to obtain additional financing on acceptable terms, if needed;

and the impact of reduced committed borrowing capacity on our ability to pursue acquisitions, capital allocation initiatives or other strategic opportunities;

dependence on key personnel;

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geopolitical conflicts, including conflicts in regions where we or our advertisers conduct business, the effects of widespread outbreak of illness or disease, inflation or deflation;

our belief that our cash flow from operations will be sufficient to meet debt service requirements for payments of interest and scheduled payments of principal under our Credit Agreement if we borrow in the future;

increased energy costs;

25 unchanged sentences

The majority of our revenue is generated from local advertising, which is sold primarily by each radio market’s sales staff.

For the three months ended March 31, 2026 and 2025, approximately 90% and 88%, respectively, of our radio stations’ gross revenue was from local advertising.

For the six months ended June 30, 2026 and 2025, approximately 90% and 90%, respectively, of our radio stations’ gross revenue was from local advertising.

To generate national advertising sales, we engage independent advertising sales representative firms that specialize in national sales for each of our broadcast markets.

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Furthermore, political advertising revenue may fluctuate significantly from period to period and year to year based on election cycles, the timing and competitiveness of races within our markets, and advertiser spending patterns.

While gross political revenue was not a significant factor in our first quarter results, we expect political advertising to increase in periods that include higher levels of election activity;

While gross political revenue was not a significant factor in our results during the first six months of 2026, we expect political advertising to increase in periods that include higher levels of election activity;

however, the timing and amount of political revenue is difficult to predict and may vary materially from historical levels.

Our gross political revenue for the three months ended March 31, 2026 and 2025 was $275,000 and $271,000, respectively.

Our gross political revenue for the six months ended June 30, 2026 and 2025 was $725,000 and $321,000, respectively.

For the remainder of the year, we have approximately $1.1 million of gross political revenue sold for a total of $1.9 million of gross political revenue sold thus far for the entire year compared to $650,000 for 2025.

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In the remainder of our markets it is measured by the results advertisers obtain through the actual running of an advertising schedule.

Advertisers measure these results based on increased demand for their goods or services and/or actual revenues generated from such demand.

Advertisers measure

these results based on increased demand for their goods or services and/or actual revenues generated from such demand.

Various factors affect the rates a station can charge, including the general strength of the local and national economies, population growth, ability to provide popular programming, local market competition, target marketing capability of radio compared to other advertising media, and signal strength.

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We consider these categories part of our broader digital strategy to provide advertisers with measurable outcomes across multiple touchpoints in the consumer journey.

For the three months ended March 31, 2026 and 2025, approximately 19% and 14%, respectively, of our radio stations’ gross revenue was from digital advertising.

For the six months ended June 30, 2026 and 2025, approximately 19% and 14%, respectively, of our radio stations’ gross revenue was from digital advertising.

Our digital advertising services are supported by a centralized team of digital implementation specialists who work in conjunction with local market personnel to execute and optimize campaigns.

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We also continue to evaluate opportunities to increase operating efficiencies through technology and automation, including the use of artificial intelligence in certain content and operational workflows, where appropriate, to support efficiency and scalability.

During the three months ended March 31, 2026 and 2025 and the years ended December 31, 2025 and 2024, our Charleston, South Carolina:

During the six months ended June 30, 2026 and 2025 and the twelve months ended December 31, 2025 and 2024, our Charleston, South Carolina;

Columbus, Ohio;

Milwaukee, Wisconsin;

Norfolk, Virginia and Portland, Maine markets, when combined, represented approximately 36%, 35%, 34% and 36%, respectively, of our consolidated net operating revenue.

Norfolk, Virginia;

and Portland, Maine markets, when combined, represented approximately 36%, 35%, 34% and 36%, respectively, of our consolidated net operating revenue.

An adverse change in any of these radio markets or our relative market position in those markets could have a significant impact on our operating results as a whole.

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Net Operating Revenue

the Three Months Ended

the Six Months Ended

for the Years Ended

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Portland, Maine

During the three months ended March 31, 2026 and 2025 and the years ended December 31, 2025 and 2024, the radio stations in our five largest markets, when combined, represented approximately 60%, 51%, 39% and 40%, respectively, of our consolidated station operating income.

During the six months ended June 30, 2026 and 2025 and the twelve months ended December 31, 2025 and 2024, the radio stations in our five largest markets, when combined, represented approximately 52%, 44%, 39% and 40%, respectively, of our consolidated station operating income.

The following table describes the percentage of our consolidated station operating income represented by each of these markets:

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Station Operating Income(*)

for the Three Months Ended

for the Six Months Ended

for the Years Ended

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Markets may reflect negative percentages when station operating income is negative.

Three Months Ended March 31, 2026 Compared to Three Months Ended March 31, 2025

Three Months Ended June 30, 2026 Compared to Three Months Ended June 30, 2025

Results of Operations

The following table summarizes our results of operations for the three months ended March 31, 2026 and 2025.

The following table summarizes our results of operations for the three months ended June 30, 2026 and 2025.

Three Months Ended

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Depreciation and amortization

Other operating (income) expense, net

(Gain) loss on sale of assets, net

Operating income

Interest expense

Interest income

Income before income tax expense

Income tax (benefit) expense

Income per share (diluted)

N/M = Not Meaningful

For the three months ended June 30, 2026, consolidated net operating revenue was $26,402,000 compared with $28,229,000 for the three months ended June 30, 2025, a decrease of $1,827,000 or 6.5%.

The decrease in revenue was primarily a result of decreases in gross national revenue of $635,000 and gross local revenue of $2,060,000, partially offset by an increase in political revenue of $400,000 and digital revenue of $700,000, from the second quarter of 2025.

The decrease in gross national revenue is primarily due to decreases at our Columbus, Ohio;

Milwaukee, Wisconsin, and Norfolk, Virginia markets partially offset by an increase at our Des Moines, Iowa market.

The decrease in gross local revenues was attributable to decreases at our Charleston, South Carolina;

Milwaukee, Wisconsin, and Ocala, Florida markets partially offset by an increase in our Springfield, Massachusetts market.

The gross political revenue increased due to an increase in the number of national, state and local elections.

The increase in gross digital revenue is primarily due to an increase in our digital services revenue of $1,041,000, which is comprised of search, display, OTT/CTV campaigns, social media campaigns, best of digital, search engine optimization, and managed email;

and an increase in mobile streaming, partially offset by a decline in streaming revenue and online news revenue of $427,000.

Station operating expense was $23,436,000 for the three months ended June 30, 2026, compared with $22,226,000 for the three months ended June 30, 2025, an increase of $1,210,000 or 5.4%.

The increase is related to increases in digital service expenses, compensation related expenses and tower lease expenses of $525,000, $300,000 and $309,000, respectively, from the second quarter of 2025.

The increases in digital services expenses relates to the cost of digital service products associated with the increase in digital services revenue.

For 2026, we expect our compensation expenses to increase approximately $800,000 to cover the investment we are making in our digital fulfillment team and digital campaign managers, of which $210,000 occurred in the second quarter of 2026.

We are also investing in local sales managers at several of our markets, which we expense to increase station operating expense approximately $615,000 in 2026, of which $146,000 occurred in the second quarter of 2026.

Additionally, as a result of the tower sale-leaseback transaction that occurred in the fourth quarter of 2025, as discussed in Note 13 Sale-leaseback transaction, our tower lease expense has increased.

This tower lease expense is non-cash expense and is partially offset by non-cash interest income.

We expect our non-cash tower lease expense to be approximately $154,000 per quarter and $615,000 per year.

The increase in the second quarter of 2026 is due to the amendments entered into in the second quarter of 2026 to align the previously executed documents with the intended economic substance of the transaction.

We had an operating income for the three months ended June 30, 2026 of $623,000 compared to $1,409,000 for the three months ended June 30, 2025, a decrease of $786,000.

The decrease in operating income was the result of a decrease in net operating revenue, and an increase in station operating expenses noted above, partially offset by an increase in gain on sale of assets of $1,770,000, a decrease in corporate general and administrative expenses of $398,000 and a decrease in depreciation and amortization of $83,000.

The decrease in corporate general and administrative expenses was primarily due to decreases in legal expenses of $194,000, consulting and audit related expenses of $153,000 and additional expenses related to shareholder activism and a potential proxy contest of $89,000 in 2025.

The decrease in depreciation and amortization is primarily attributable to a reduction in assets as a result of the tower sales described in Note 13.

In the second quarter of 2026, we recorded a gain on sale of fixed assets of $1,517,000 compared to a loss on sale of fixed assets of $253,000 in the second quarter of 2025.

As described in Note 12, as part of the Company’s previously disclosed capital allocation plan to sell non-core assets, the Company’s sold a property in Sarasota, Florida and closed on the sale of the final tower in the sale-leaseback transaction described in Note 13.

We generated net income of $960,000 ($0.15 per share on a fully diluted basis) during the three months ended June 30, 2026, compared to $1,128,000 ($0.18 per share on a fully diluted basis) for the three months ended June 30, 2025, a decrease of $168,000.

The decrease in net income is primarily due to the decrease in operating income, described above partially offset by an increase in interest income of $368,000, and a decrease in income tax expense of $235,000.

As a result of the tower sale-leaseback transaction that occurred in the fourth quarter of 2025, as discussed in Note 13 Sale-leaseback transaction, our interest income has increased.

This interest income is non-cash and is partially offset by non-cash tower lease expense noted above.

We expect our non-cash interest income to be approximately $127,000 per quarter and $508,000 for the entire year of 2026.

The decrease in our income tax expense is due to lower income before income tax expense from the second quarter of 2025.

Six Months Ended June 30, 2026 Compared to Six Months Ended June 30, 2025

Results of Operations

The following table summarizes our results of operations for the six months ended June 30, 2026 and 2025.

Six Months Ended

(In thousands, except percentages and per share information)

Net operating revenue

Station operating expenses

Corporate general and administrative

Depreciation and amortization

(Gain) loss on sale of assets, net

Operating loss

3 unchanged sentences

Income tax (benefit) expense

Earnings (loss) per share (diluted)

Loss per share (diluted)

N/M = Not Meaningful

For the three months ended March 31, 2026, consolidated net operating revenue was $22,867,000 compared with $24,212,000 for the three months ended March 31, 2025, a decrease of $1,345,000 or 5.6%.

The decrease was primarily a result of decreases in gross local revenue, gross national revenue, gross other income of $1,716,000, $247,000 and $197,000 respectively partially offset by increases in gross digital revenue of $879,000 for the comparable period of 2025.

The most significant decreases in gross local revenue were at our Asheville, North Carolina, Columbus, Ohio;

Des Moines, Iowa and Ocala, Florida markets.

The significant decreases in gross local revenue were partially offset by increases in our local e-commerce revenue which was up $100,000 or 23%.

The markets with the most significant decreases in gross national revenue were at our Columbus, Ohio;

For the six months ended June 30, 2026, consolidated net operating revenue was $49,269,000 compared with $52,441,000 for the six months ended June 30, 2025, a decrease of $3,172,000 or 6.0%.

The decrease in revenue was primarily a result of decreases in gross national revenue of $882,000, gross local revenue of $3,777,000 and non-spot revenue of $432,000, partially offset by an increase in gross digital revenue of $1,579,000 and a decrease in agency commissions of $415,000, from 2025.

The decrease in gross national revenue is primarily due to decreases at our Columbus, Ohio;

Norfolk, Virginia and Milwaukee, Wisconsin markets partially offset by an increase at our Jonesboro, Arkansas market.

The decrease in gross local revenues was attributable to decreases at our Charleston, South Carolina;

Des Moines, Iowa;

Manchester, New Hampshire and Norfolk, Virginia markets.

The decrease in other income is primarily related to the tower lease income the Company is no longer receiving as a result of the tower sale discussed in Note 13 as part of the Company’s capital allocation plan to sell non-core assets.

The increase in gross digital revenue is primarily due to an increase in our digital services revenue of $1,090,000, which is comprised of display, which increased $636,000 or 120%, search, which increased $378,000 or 105%, and other digital services which includes OTT/CTV campaigns, social media campaigns, best of digital, search engine optimization, and managed email, which combined increased $63,000 or 19% and an increase in mobile streaming of $82,000 or 116%, partially offset by a decline in our national streaming revenue of $197,000 or 32%, local streaming revenue of $50,000 or 7%, and online news revenue of $44,000 or 7% .

Station operating expense was $22,012,000 for the three months ended March 31, 2026, compared with $21,963,000 for the three months ended March 31, 2025, an increase of $49,000 or 0.2%.

The increase in station operating expense was primarily the result of increases in digital services expenses, FCC related fees and sales survey expenses of $613,000, $105,000 and $60,000, respectively, partially offset by decreases in compensation-related expenses, and advertising and promotional expenses of $678,000 and $93,000, respectively for the comparable period of 2025.

The increases in our digital services expenses relate to the investment we are making in our digital fulfillment team and digital campaign managers, as well as the cost of the digital service products.

For 2026, we expect our digital service expenses to increase approximately $1 million to cover these additional hires.

We are also investing in local sales managers at several of our markets, which we expect to increase station operating expense approximately $500,000 in 2026.

We had an operating loss for the three months ended March 31, 2026 of $3,262,000 compared to an operating loss of $2,298,000 for the three months ended March 31, 2025, an increase in the loss of $964,000.

The increase was a result of the decrease in net operating revenue and a minor increase in station operating expense, as noted above, partially offset by a decrease in corporate general and administrative expenses of $191,000, a decrease in depreciation and amortization of $152,000 and by a decrease in other operating expense of $87,000.

The decrease in corporate general and administrative expenses was primarily comprised of decreases in additional expenses related to shareholder activism and a potential proxy contest of $110,000 in 2025 and a decrease in travel expense of approximately $82,000.

The decrease in depreciation and amortization is primarily attributable to a reduction in assets as a result of the tower sale described in Note 13.

In 2026, we recorded a gain on the sale of fixed assets and intangibles of $33,000 compared to a loss on the sale of fixed assets of $54,000 in 2025.

The gain on the sale of fixed assets is primarily related to the sale of a property in Springfield, Massachusetts as described in Note 12.

We generated a net loss of $2,394,000 ($ (0.38) per share on a fully diluted basis) during the three months ended March 31, 2026, compared to a net loss of $1,575,000 ($ (0.25) per share on a fully diluted basis) for the three months ended March 31, 2025, an increase in the net loss of $819,000.

The decrease in net income or increase in net loss is primarily due to the decrease in operating income, described above, a decrease in interest expense of $16,000, an increase in interest income of $12,000, an increase in other income of $32,000, and an increase in income tax benefit of $85,000.

The decrease in interest expense is due to a decrease in our interest rates.

The increase in our interest income is due to a higher cash on hand balance during the period.

The increase in other income was due to insurance proceeds.

The increase in the tax benefit is due to the increase in our loss before income taxes in 2026.

Milwaukee, Wisconsin and Ocala, Florida markets partially offset by an increase at our Springfield, Massachusetts market.

The decrease in non-spot revenue is due to decreases at our Charleston, South Carolina and Ithaca, New York markets.

The increase in gross digital revenue is primarily due to an increase in our digital services revenue of $2,118,000, which is comprised of display, search, OTT/CTV campaigns, social media campaigns, best of digital, search engine optimization, and managed email;

and an increase in mobile streaming, partially offset by a decline in streaming revenue and online news revenue of $718,000.

The decrease in agency commissions is due to the decrease in national and local agency revenue.

Station operating expense was $45,448,000 for the six months ended June 30, 2026, compared with $44,189,000 for the six months ended June 30, 2025, an increase of $1,259,000 or 2.8%.

The increase is related to increases in digital service expenses, tower lease expenses, legal expenses and utilities of $1,048,000, $303,000, $157,000 and $112,000, respectively, from 2025.

The increases in digital services expenses relates to the cost of digital service products associated with the increase in digital services revenue.

This tower lease expense is non-cash expense and is partially offset by non-cash interest income.

We expect our non-cash tower lease expense to be approximately $154,000 per quarter and $615,000 per year.

The increase in 2026 is due to the amendments entered into in the second quarter of 2026 to align the previously executed documents with the intended economic substance of the transaction.

We had an operating loss for the six months ended June 30, 2026, of $2,639,000 compared to $889,000 for the six months ended June 30, 2025, a decrease of $1,750,000.

The decrease in operating income was the result of a decrease in

net operating revenue, and an increase in station operating expenses noted above, partially offset by a decrease in corporate general and administrative expenses of $588,000, a decrease in depreciation and amortization of $235,000, and an increase in the gain on sale of assets of $1,857,000.

The decrease in corporate general and administrative expenses was primarily due to decreases in legal expenses of $199,000, consulting and audit related expenses of $187,000, travel expenses of $109,000 and additional expenses related to shareholder activism and a potential proxy contest of $199,000, partially offset by an increase in compensation related expenses of $93,000 in 2025.

The decrease in depreciation and amortization is primarily attributable to a reduction in assets as a result of the tower sales described in Note 13.

In 2026, we recorded a gain on sale of fixed assets of $1,550,000 compared to a loss on sale of fixed assets of $307,000 in 2025.

As described in Note 12, as part of the Company’s previously disclosed capital allocation plan to sell non-core assets, the Company sold a property in Sarasota, Florida, another property in Springfield, Massachusetts and closed on the sale of the final tower in the sale-leaseback transaction described in Note 13.

We generated a net loss of $1,434,000 ($ (0.23) per share on a fully diluted basis) during the six months ended June 30, 2026, compared to $447,000 ($ (0.07) per share on a fully diluted basis) for the six months ended June 30, 2025, a decrease of $987,000.

The decrease in net income is primarily due to the decrease in operating income, described above and an increase in income tax benefit of $320,000 partially offset by a decrease in interest expense of $32,000 and an increase in interest income of $380,000.

As a result of the tower sale-leaseback transaction that occurred in the fourth quarter of 2025, as discussed in Note 13 Sale-leaseback transaction, our interest income has increased.

This interest income is non-cash and is partially offset by non-cash tower lease expense noted above.

We expect our non-cash interest income to be approximately $127,000 per quarter and $508,000 for the entire year of 2026.

The increase in 2026 is due to the amendments entered into in the second quarter of 2026 to align the previously executed documents with the intended economic substance of the transaction.

The increase in our income tax benefit was primarily due to a higher loss before income tax benefit for the comparable period.

Liquidity and Capital Resources

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Previously, on December 19, 2022, we entered into a Third Amendment to our Credit Agreement, (the “Third Amendment”), which extended the maturity date to December 19, 2027, reduced the lenders to JPMorgan Chase Bank, N.A., and the Huntington National Bank (collectively, the “Lenders”), established an interest rate equal to the secured overnight financing rate (“SOFR”) as administered by the SOFR Administrator (currently established as the Federal Reserve Bank of New York) as the interest base, and increased the basis points.

We have pledged substantially all of our assets (excluding our FCC licenses and certain other assets) in support of the Credit Agreement and each of our subsidiaries has guaranteed the Credit Agreement and has pledged substantially all of their assets (excluding their FCC licenses and certain other assets) in support of the Credit Agreement.

Interest rates under the Credit Agreement are payable, at our option, at alternatives equal to SOFR (3.68% at March 31, 2026), plus 1% to 2% or the base rate plus 0% to 1%.

The spread over SOFR and the base rate vary from time to time, depending upon our financial leverage.

Letters of credit issued under the Credit Agreement will be subject to a participation fee (which is equal to the interest rate applicable to Eurocurrency Loans, as defined in the Credit Agreement) payable to each of the Lenders and a fronting fee equal to 0.25% per annum payable to the issuing bank.

Under the Third Amendment, we now pay quarterly commitment fees of 0.25% per annum on the unused portion of the Credit Agreement.

We previously paid quarterly commitment fees of 0.2% to 0.3% per annum on the unused portion of the Credit Agreement.

The Credit Agreement contains a number of financial covenants which, among other things, require us to maintain specified financial ratios and impose certain limitations on us with respect to investments, additional indebtedness, dividends, distributions, guarantees, liens and encumbrances.

As of March 31, 2026, the Company was not in compliance with the minimum fixed charge coverage ratio covenant under its Credit Agreement which requires the Company to maintain a minimum fixed charge coverage ratio of 1.15 to 1.00 at the end of each fiscal quarter.

At March 31, 2026, the Company’s fixed charge coverage ratio was 0.92 to 1.00, constituting an event of default under the Credit Agreement.

On May 7, 2026, the Company obtained a waiver from its lenders for this covenant violation (the “Waiver”).

The Waiver applies solely to the noncompliance as of March 31, 2026 and does not modify the covenant requirements for future periods unless otherwise amended.

We are currently in discussions with the Lenders regarding a potential amendment to the Credit Agreement to, among other things, modify the fixed charge coverage ratio covenant calculation going forward.

However, there can be no assurance that we will be able to negotiate such an amendment.

If we are unable to obtain an amendment or otherwise comply with the covenant in future periods, the Lenders would have the right to declare all outstanding borrowings under the Credit Agreement immediately due and payable.

Our intent would be to pay-off the outstanding indebtedness using existing cash and cash equivalents, which we believe are sufficient for our short-term and long-term cash requirements.

We have $5,000,000 debt outstanding at December 31, 2025 and March 31, 2026 that we borrowed in conjunction with our Lafayette acquisition.

We have approximately $35 million of unused borrowing capacity under the Revolving Credit Agreement at both March 31, 2026 and December 31, 2025.

We had $5.0 million of borrowings outstanding under the Credit Agreement at both June 30, 2026 and December 31, 2025, which borrowings were incurred in connection with our Lafayette acquisition.

As of June 30, 2026, we also had approximately $35.0 million of unused borrowing capacity under the Credit Agreement.

However, as of June 30, 2026, we were not in compliance with the Credit Agreement’s minimum fixed charge coverage ratio covenant.

Subsequent to June 30, 2026, after evaluating our cash position, short-term investments, expected operating cash flows and anticipated liquidity needs, we determined to repay all outstanding borrowings under the Credit Agreement and terminate the facility.

On August 6, 2026, we repaid the outstanding $5.0 million principal balance, together with all accrued and unpaid interest and other amounts payable in connection therewith.

On August 11, 2026, we terminated the Credit Agreement.

The Credit Agreement contained a number of financial covenants which, among other things, require us to maintain specified financial ratios and impose certain limitations on us with respect to investments, additional indebtedness, dividends, distributions, guarantees, liens and encumbrances.

Following such termination, we no longer have borrowing availability under the Credit Agreement.

Sources and Uses of Cash

During the three months ended March 31, 2026 and 2025, we had net cash flows from operating activities of $407,000 and $1,364,000, respectively.

We believe that cash flow from operations will be sufficient to meet quarterly debt service requirements for payments of interest and scheduled payments of principal under our Credit Agreement if we borrow in the future.

However, if such cash flow is not sufficient, we may be required to sell additional equity securities, refinance our obligations or dispose of one or more of our properties in order to make such scheduled payments.

There can be no assurance that we would be able to effect any such transactions on favorable terms, if at all.

During the six months ended June 30, 2026 and 2025, we had net cash used in operating activities of $1,277,000 and net cash provided by operating activities of $2,119,000, respectively.

The change in cash from operating activities is primarily due to the increase in the net loss, increase in gain on sale of assets and the change in operating lease assets and liabilities.

We believe that our existing cash and cash equivalents, short-term investments and cash flow from operations will be sufficient to fund our current operating requirements, anticipated capital expenditures and dividend payments for at least the next twelve months.

However, the termination of the Credit Agreement reduces our available sources of committed liquidity, and any future acquisitions, share repurchases, special dividends or other capital allocation initiatives may require cash on hand, cash generated from operations, proceeds from asset sales or new debt or equity financing, which may not be available on acceptable terms, or at all.

In March 2013, our Board of Directors authorized an increase to our Stock Buy-Back Program (the “Buy Back Program”) to allow us to purchase up to $75.8 million of our Class A Common Stock.

From its inception in 1998 through March 31, 2026, we have repurchased 2.4 million shares of our Class A Common Stock for $60.6 million.

During the three months ended March 31, 2026, approximately 1,067 shares were retained for payment of withholding taxes for approximately $13,000 related to the vesting of restricted stock.

From its inception in 1998 through June 30, 2026, we have repurchased 2.4 million shares of our Class A Common Stock for $60.6 million.

During the six months ended June 30, 2026, approximately 1,067 shares were retained for payment of withholding taxes for approximately $13,000 related to the vesting of restricted stock.

We continue to monitor economic conditions to determine if and when it makes sense to make additional buybacks under our plan.

Our capital expenditures, exclusive of acquisitions, for the three months ended March 31, 2026 were $779,000 ($696,000 in 2025).

We anticipate capital expenditures in 2026 to be approximately $3.5 million, which we expect to finance through funds generated from operations.

Our capital expenditures, exclusive of acquisitions, for the six months ended June 30, 2026 were $2,041,000 ($2,010,000 for the six months ended June 30, 2025).

We anticipate capital expenditures in 2026 to be approximately $3.0 million to $3.5 million, which we expect to finance through funds generated from operations.

During the first quarter of 2026, as part of the Company’s previously disclosed capital allocation plan to sell non-core assets, the Company sold a property in Springfield, Massachusetts for approximately $460,000.

As a result of the sale, the Company recorded a gain of approximately $80,000, which is recorded in other operating (income) expense, net in the Company’s Condensed Consolidated Statement of Operations.

During the three months ended March 31, 2026, the Company’s Board of Directors declared a quarterly cash dividend on its Class A Common Stock.

This dividend totaling approximately $1.6 million was paid during the first quarter of 2026.

During the three months ended March 31, 2025, the Company’s Board of Directors declared a quarterly cash dividend on its Class A Common Stock.

This dividend totaling approximately $1.6 million was paid during the first quarter of 2025.

We anticipate that any future acquisitions of radio stations and dividend payments will be financed through funds generated from operations, borrowings under the Credit Agreement, additional debt or equity financing, cash on hand, or a combination thereof.

However, there can be no assurances that any such financing will be available on acceptable terms, if at all.

During the second quarter of 2026, as part of the Company’s previously disclosed capital allocation plan to sell non-core assets, the Company sold a property in Sarasota, Florida for approximately $1.7 million.

As a result of the sale, the Company recorded a gain of approximately $1.1 million, which is recorded in other operating (income) expense net in the Company’s Condensed Consolidated Statement of Operations.

During the six months ended June 30, 2026, the Company’s Board of Directors have declared two quarterly cash dividends on its Class A Common Stock.

These dividends totaling $0.50 per share and approximately $3.2 million were paid as of June 30, 2026.

During the six months ended June 30, 2025, the Company’s Board of Directors declared two quarterly cash dividends on its Class A Common Stock.

These dividends totaling $0.50 per share and approximately $3.2 million were paid during 2025.

Summary Disclosures About Contractual Obligations and Commercial Commitments

We have future cash obligations under various types of contracts, including the terms of our Credit Agreement, operating leases, programming contracts, employment agreements, and other operating contracts.

We have future cash obligations under various types of contracts, including the terms of our operating leases, programming contracts, employment agreements, and other operating contracts.

For additional information concerning our future cash obligations see “Item 7.

Management’s Discussion and Analysis of Financial Condition and Results of Operation — Summary Disclosures About Contractual Obligations” in our annual report on Form 10-K for the year ended December 31, 2025.

We anticipate that our contractual cash obligations will be financed through funds generated from operations or additional borrowings under the Credit Agreement, or a combination thereof.

We anticipate that our contractual cash obligations will be financed through cash on hand, short-term investments, funds generated from operations, proceeds from asset sales, future financing arrangements, if available, or a combination thereof.

Recent Accounting Pronouncements

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Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-Q

Item 2. Management’s Discussion and Analysis