Townsquare Media (NYSE:TSQ) Announces Earnings Results

Townsquare Media (NYSE:TSQ) announced its earnings results on Wednesday. The company reported $0.12 earnings per share for the quarter, beating analysts’ consensus estimates of $0.11 by $0.01, FiscalAI reports. Townsquare Media had a negative net margin of 11.82% and a negative return on equity of 5.59%. The business had revenue of $110.95 million during the quarter, compared to the consensus estimate of $108.68 million.

Here are the key takeaways from Townsquare Media’s conference call:

• Third-quarter revenue rose 3.9% to $110.9 million, beating guidance, while Adjusted EBITDA increased 2.7% to $22.6 million, within guidance. The company raised its 2026 revenue outlook to $430 million–$432 million, supported in part by political revenue now expected to exceed $11 million.
• Digital advertising revenue grew 12.7% (about 13%), accelerating for a third consecutive quarter; programmatic revenue rose 22.5%. Media Partnerships more than doubled year over year, with 18 partners, though growth in this lower-margin business contributed to digital advertising segment margins falling to 18.7% from 21.5%.
• Broadcast revenue declined 5.2% excluding political in Q3, and management expects the ex-political decline to worsen in Q4, citing political ad crowding and continued weakness among local advertisers. Executives said they see no near-term catalyst for a meaningful recovery.
• Townsquare Interactive revenue fell 8.5% year over year to $17.1 million, and the company no longer expects sequential growth by year-end because sales activity remains weak. Management cited a reduced sales team, while saying margins remain strong at 36% and expressing confidence in a return to sequential growth in 2027.
• Townsquare suspended its dividend to preserve about $14 million in annual cash amid broadcast pressure, Interactive’s delayed recovery, and higher interest costs. Debt was $467.5 million, net leverage stood at 5.43x, and each additional 25-basis-point rate increase would add about $1.2 million in annualized interest expense.

Townsquare Media Price Performance

Townsquare Media stock traded down $0.06 during mid-day trading on Thursday, reaching $2.12. 332,942 shares of the stock traded hands, compared to its average volume of 121,819. Townsquare Media has a 12-month low of $1.90 and a 12-month high of $7.97. The stock has a market capitalization of $38.74 million, a PE ratio of -0.73 and a beta of 1.35. The business’s 50-day moving average is $4.53 and its 200-day moving average is $5.95.

Townsquare Media News Summary

Here are the key news stories impacting Townsquare Media this week:

• Positive Sentiment: Q3 revenue was $110.95 million, ahead of the $108.68 million analyst estimate cited by MarketBeat. Digital advertising revenue grew 13% year over year, and digital accounted for 57% of net revenue and 56% of segment profit through September. Townsquare Reports Third Quarter 2026 Results
• Positive Sentiment: Management sees potential for media-partnership revenue to reach $50 million within four years, offering a possible longer-term growth opportunity. Townsquare projects media-partnership revenue
• Neutral Sentiment: Q3 adjusted earnings were $0.12 per share: above MarketBeat’s $0.11 estimate but below Zacks’ $0.13 consensus. The differing comparisons make the earnings result less clear-cut than the revenue beat. Townsquare Q3 earnings report
• Negative Sentiment: The board suspended the quarterly cash dividend. The move removes an income stream for shareholders, although Townsquare said retaining the cash—about $14 million annually—would support liquidity and growth. Townsquare suspends quarterly dividend

Wall Street Analyst Weigh In

TSQ has been the topic of several recent research reports. Wall Street Zen downgraded Townsquare Media from a “buy” rating to a “hold” rating in a research note on Saturday, August 8th. Zacks Research upgraded Townsquare Media from a “strong sell” rating to a “hold” rating in a research note on Thursday, August 20th. Finally, Weiss Ratings downgraded Townsquare Media from a “sell (d+)” rating to a “sell (d)” rating in a report on Tuesday, August 11th. One analyst has rated the stock with a Buy rating, one has assigned a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock presently has an average rating of “Hold” and a consensus target price of $10.00.

Insider Activity at Townsquare Media

In other Townsquare Media news, CEO Bill Wilson sold 21,420 shares of the company’s stock in a transaction that occurred on Wednesday, August 12th. The shares were sold at an average price of $5.54, for a total value of $118,666.80. Following the completion of the transaction, the chief executive officer directly owned 2,979,061 shares in the company, valued at $16,503,997.94. This represents a 0.71% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. 30.30% of the stock is owned by company insiders.

About Townsquare Media

Townsquare Media, Inc (NYSE: TSQ) is a local media and digital marketing company serving communities across the United States. Its operations are organized around local radio, digital media and events, providing audiences with news, entertainment, information and community-focused programming.

The company owns and operates radio stations in small and mid-sized markets, with programming distributed through broadcast and digital channels. Townsquare also publishes local websites and mobile content, offering advertising and promotional opportunities across audio, display, video, social media and other digital formats.

Through Townsquare Interactive and related services, the company provides digital marketing solutions to small and medium-sized businesses, including website development, search engine marketing, social media support and online reputation management.