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Segment Information
 6 Months Ended
Jun. 30, 2025
Segment Reporting [Abstract]  
Segment Information

5. SEGMENT INFORMATION

In the Company's former EGP business, it acted as an intermediary between primarily global media companies and advertisers, which consisted of either the enterprise or its ad agency running the advertisement. The Company's customers were both these primarily global media companies and advertisers. On March 4, 2024, the Company received a communication from Meta that it intended to wind down its ASP program globally and end its relationship with all of its ASPs, including the Company, by July 1, 2024. As a result of this communication from Meta, the Company's CEO, who is also the Chief Operating Decision Maker (the “CODM”), led a thorough review of the Company's operations, cost structure, digital strategy and organization of its business. This review led to the decision to sell the enterprises comprising the Company's EGP business -- the largest business unit of what was then the Company’s digital segment. Following this decision, during the second quarter of 2024, the Company entered into a definitive agreement to sell substantially all of its EGP business to IMS. The transaction was completed on June 28, 2024. The remaining parts of the Company's EGP business, Jack of Digital and Adsmurai, were each sold back to their respective founders in separate transactions during the second quarter of 2024.

Prior to the sale of the EGP business, for financial reporting purposes the Company reported in three segments – digital, television and audio, based on the type of medium in which it sold advertising. The sale of the EGP business has allowed the Company to focus its operations on the products and services it sells instead of the type of advertising medium in which it sells them, which had been the Company's historic operational approach. As a result of the sale of the Company's EGP business, effective July 1, 2024, the Company has realigned its operating segments into two segments – media and advertising technology & services – consistent with the Company's current operational and management structure, as well as the basis that is now used for internal management reporting and how the Company's CEO evaluates the business. The Company's reportable segments are the same as its operating segments. Prior periods have been recast to conform to this presentation.

The Company's media segment consists of sales of advertising through various media, including television, radio and digital. The Company owns and/or operates 49 primary television stations and 44 radio stations (37 FM and 7 AM), reaching and engaging Latinos in the United States. The Company's television operations comprise the largest affiliate group of both the top-ranked Univision television network and TelevisaUnivision’s UniMás network, with TelevisaUnivision-affiliated stations in 15 of the nation’s top 50 U.S. Latino markets. The Company owns and operate one of the largest groups of primarily Spanish-language radio stations in the United States. The Company provides digital marketing operations in all of the U.S. markets where it has broadcast operations.

The Company's advertising technology & services segment consists of programmatic ad services through Smadex, its demand-side programmatic ad platform, and Adwake, its mobile growth solutions business.

Segment operating profit (loss) is defined as operating profit (loss) before corporate expenses, change in fair value of contingent consideration, impairment charge, other operating (gain) loss, and foreign currency (gain) loss. The Company generated 36% and 27% of its revenue from continuing operations outside the United States during the three-month periods ended June 30, 2025 and 2024, respectively. The Company generated 36% and 27% of its revenue from continuing operations outside the United States during the six-month periods ended June 30, 2025 and 2024, respectively (see Note 5).

The accounting policies applied to determine the segment information are generally the same as those described in the summary of significant accounting policies (see Note 2). The Company evaluates the performance of its operating segments based on separate financial data for each operating segment as provided below (in thousands):

 

 

 

 

Three-Month Period

 

 

 

 

 

Six-Month Period

 

 

 

 

 

 

Ended June 30,

 

 

%

 

 

Ended June 30,

 

 

%

 

 

 

2025

 

 

2024

 

 

Change

 

 

2025

 

 

2024

 

 

Change

 

Net revenue

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Media

 

$

45,413

 

 

$

49,233

 

 

 

(8

)%

 

$

86,390

 

 

$

94,999

 

 

 

(9

)%

Advertising Technology & Services

 

 

55,322

 

 

 

33,421

 

 

 

66

%

 

 

106,196

 

 

 

65,831

 

 

 

61

%

Consolidated

 

 

100,735

 

 

 

82,654

 

 

 

22

%

 

 

192,586

 

 

 

160,830

 

 

 

20

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cost of revenue

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Media

 

 

4,651

 

 

 

4,129

 

 

 

13

%

 

 

7,917

 

 

 

7,007

 

 

 

13

%

Advertising Technology & Services

 

 

33,359

 

 

 

20,295

 

 

 

64

%

 

 

63,565

 

 

 

40,075

 

 

 

59

%

Consolidated

 

 

38,010

 

 

 

24,424

 

 

 

56

%

 

 

71,482

 

 

 

47,082

 

 

 

52

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Direct operating expenses

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Media

 

 

26,795

 

 

 

26,140

 

 

 

3

%

 

 

53,345

 

 

 

52,763

 

 

 

1

%

Advertising Technology & Services

 

 

10,917

 

 

 

5,616

 

 

 

94

%

 

 

19,869

 

 

 

10,794

 

 

 

84

%

Consolidated

 

 

37,712

 

 

 

31,756

 

 

 

19

%

 

 

73,214

 

 

 

63,557

 

 

 

15

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Selling, general and administrative expenses

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Media

 

 

11,006

 

 

 

9,764

 

 

 

13

%

 

 

21,811

 

 

 

19,741

 

 

 

10

%

Advertising Technology & Services

 

 

5,447

 

 

 

4,599

 

 

 

18

%

 

 

10,148

 

 

 

8,956

 

 

 

13

%

Consolidated

 

 

16,453

 

 

 

14,363

 

 

 

15

%

 

 

31,959

 

 

 

28,697

 

 

 

11

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Depreciation and amortization

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Media

 

 

2,607

 

 

 

3,304

 

 

 

(21

)%

 

 

5,577

 

 

 

6,591

 

 

 

(15

)%

Advertising Technology & Services

 

 

420

 

 

 

1,124

 

 

 

(63

)%

 

 

927

 

 

 

2,576

 

 

 

(64

)%

Consolidated

 

 

3,027

 

 

 

4,428

 

 

 

(32

)%

 

 

6,504

 

 

 

9,167

 

 

 

(29

)%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Segment operating profit (loss)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Media

 

 

354

 

 

 

5,896

 

 

 

(94

)%

 

 

(2,260

)

 

 

8,897

 

 

*

 

Advertising Technology & Services

 

 

5,179

 

 

 

1,787

 

 

 

190

%

 

 

11,687

 

 

 

3,430

 

 

 

241

%

Consolidated

 

 

5,533

 

 

 

7,683

 

 

 

(28

)%

 

 

9,427

 

 

 

12,327

 

 

 

(24

)%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Corporate expenses

 

 

6,375

 

 

 

10,811

 

 

 

(41

)%

 

 

14,163

 

 

 

23,059

 

 

 

(39

)%

Change in fair value of contingent consideration

 

 

-

 

 

 

240

 

 

 

(100

)%

 

 

-

 

 

 

20

 

 

 

(100

)%

Impairment charge

 

 

-

 

 

 

-

 

 

*

 

 

 

23,673

 

 

 

-

 

 

*

 

Loss on lease abandonment

 

 

-

 

 

 

-

 

 

*

 

 

 

25,191

 

 

 

-

 

 

*

 

Foreign currency (gain) loss

 

 

6

 

 

 

(24

)

 

*

 

 

 

18

 

 

 

241

 

 

 

(93

)%

Operating income (loss)

 

 

(848

)

 

 

(3,344

)

 

 

(75

)%

 

 

(53,618

)

 

 

(10,993

)

 

 

388

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest expense

 

$

(4,037

)

 

$

(4,118

)

 

 

(2

)%

 

$

(7,700

)

 

$

(8,561

)

 

 

(10

)%

Interest income

 

 

619

 

 

 

577

 

 

 

7

%

 

 

1,224

 

 

 

1,155

 

 

 

6

%

Dividend income

 

 

1

 

 

 

-

 

 

*

 

 

 

1

 

 

 

10

 

 

 

(90

)%

Realized gain (loss) on marketable securities

 

 

3

 

 

 

4

 

 

 

(25

)%

 

 

4

 

 

 

(109

)

 

*

 

Gain (loss) on debt extinguishment

 

 

(38

)

 

 

(51

)

 

 

(25

)%

 

 

(38

)

 

 

(91

)

 

 

(58

)%

Income (loss) before income taxes

 

 

(4,300

)

 

 

(6,932

)

 

 

(38

)%

 

 

(60,127

)

 

 

(18,589

)

 

 

223

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Capital expenditures

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Media

 

$

1,970

 

 

$

1,532

 

 

 

 

 

$

4,330

 

 

$

3,526

 

 

 

 

Advertising Technology & Services

 

 

301

 

 

 

191

 

 

 

 

 

 

325

 

 

 

267

 

 

 

 

Consolidated

 

$

2,271

 

 

$

1,723

 

 

 

 

 

$

4,655

 

 

$

3,793

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

* Percentage not meaningful.

Asset information by segment is not reported because the Company does not use this measure to assess performance or make decisions to allocate resources.