Townsquare Media (NYSE:TSQ) Issues Quarterly Earnings Results, Misses Estimates By $0.04 EPS

Townsquare Media (NYSE:TSQ) issued its quarterly earnings data on Monday. The company reported ($0.16) earnings per share for the quarter, missing the consensus estimate of ($0.12) by ($0.04), FiscalAI reports. Townsquare Media had a negative return on equity of 13.74% and a negative net margin of 2.58%.The company had revenue of $96.10 million for the quarter, compared to the consensus estimate of $96.46 million.

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

• Company is now a digital-first business with digital generating an all-time high of 59% of net revenue and 63% of segment profit in Q1, and management reaffirmed full-year revenue and adjusted EBITDA guidance while citing stronger digital pacing into Q2 and H2 2026.
• Programmatic advertising is the primary growth engine—Q1 programmatic revenue rose ~21% YoY, Q2 is pacing >20% YoY, the media-partnership channel is scaling (13 partners, on track to ~double 2025 media-partnership revenue) and management targets ~$50M revenue (at ~20% margin) from this division within four years.
• Townsquare Interactive revenue declined ~8% YoY in Q1 but improved operating leverage drove segment margins to 33.7%; management is rebuilding the sales force and expects sequential revenue improvement with potential month-over-month growth by Q3.
• Broadcast remains a drag with Q1 broadcast revenue down ~6.6% (‑6.9% ex-political) and management acknowledging radio is not a growth driver despite claiming share gains and plans to manage expenses to protect margins.
• Q1 net revenue was $96.8M and adjusted EBITDA $16.4M (both within guidance), the board approved a $0.20 quarterly dividend, but the balance sheet shows $457M of debt (net leverage ~5.27x) and only $2M cash, which management plans to address via free cash flow and targeted debt repayments.

Townsquare Media Stock Up 14.4%

Shares of Townsquare Media stock opened at $7.49 on Tuesday. Townsquare Media has a 52 week low of $4.30 and a 52 week high of $9.31. The stock’s fifty day moving average is $6.36 and its two-hundred day moving average is $5.98. The company has a market capitalization of $128.13 million, a PE ratio of -10.28, a price-to-earnings-growth ratio of 1.42 and a beta of 1.18.

Townsquare Media Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, August 3rd. Investors of record on Monday, July 27th will be issued a dividend of $0.20 per share. The ex-dividend date is Monday, July 27th. This represents a $0.80 dividend on an annualized basis and a yield of 10.7%. Townsquare Media’s payout ratio is presently -112.68%.

More Townsquare Media News

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

• Positive Sentiment: Barrington Research reiterated its Outperform rating on Townsquare Media and set a $10 price target, implying meaningful upside from recent levels. Townsquare Media (NYSE:TSQ) Given Outperform Rating at Barrington Research
• Positive Sentiment: The company announced a quarterly dividend of $0.20 per share, signaling shareholder returns and supporting the stock’s income appeal. Dividend announcement
• Positive Sentiment: Management said digital advertising is now eclipsing broadcast ad revenue, and the Q1 release highlighted 7% year-over-year digital ad growth plus stronger media partnerships, suggesting the business mix is shifting toward higher-growth digital revenue. Townsquare Reports Q1 Results With Digital Driving 63% of Segment Profit and 59% of Net Revenue
• Neutral Sentiment: Investors are also digesting the Q1 earnings transcript and conference-call commentary as they look for evidence that digital growth can offset softer legacy advertising trends. Townsquare (TSQ) Q1 2026 Earnings Transcript
• Negative Sentiment: Townsquare reported a Q1 loss of $0.16 per share, missing estimates of a $0.12 loss, while revenue of $96.1 million also came in slightly below expectations. That earnings miss is the main near-term headwind. Townsquare Media earnings release and transcript

Insider Activity

In other news, EVP Scott Schatz sold 28,980 shares of the company’s stock in a transaction on Thursday, March 19th. The stock was sold at an average price of $5.08, for a total transaction of $147,218.40. Following the transaction, the executive vice president directly owned 123,977 shares of the company’s stock, valued at approximately $629,803.16. This represents a 18.95% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Insiders own 30.30% of the company’s stock.

Hedge Funds Weigh In On Townsquare Media

Several hedge funds and other institutional investors have recently modified their holdings of TSQ. Goldman Sachs Group Inc. raised its holdings in shares of Townsquare Media by 52.7% in the first quarter. Goldman Sachs Group Inc. now owns 271,693 shares of the company’s stock worth $2,212,000 after buying an additional 93,753 shares during the last quarter. Rhumbline Advisers lifted its holdings in shares of Townsquare Media by 23.2% during the first quarter. Rhumbline Advisers now owns 18,036 shares of the company’s stock worth $147,000 after purchasing an additional 3,393 shares during the period. Arrowstreet Capital Limited Partnership purchased a new stake in Townsquare Media in the second quarter valued at approximately $240,000. Marshall Wace LLP increased its holdings in Townsquare Media by 63.1% in the 2nd quarter. Marshall Wace LLP now owns 82,107 shares of the company’s stock worth $649,000 after buying an additional 31,773 shares during the period. Finally, Gabelli Funds LLC increased its holdings in Townsquare Media by 4.9% in the 2nd quarter. Gabelli Funds LLC now owns 57,500 shares of the company’s stock worth $455,000 after buying an additional 2,700 shares during the period. 71.69% of the stock is owned by hedge funds and other institutional investors.

Analyst Ratings Changes

Several analysts recently weighed in on TSQ shares. Weiss Ratings lowered Townsquare Media from a “sell (d+)” rating to a “sell (d)” rating in a report on Wednesday, April 29th. Barrington Research reiterated an “outperform” rating and set a $10.00 price objective on shares of Townsquare Media in a research report on Monday. One investment analyst has rated the stock with a Buy rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat.com, Townsquare Media currently has an average rating of “Hold” and a consensus price target of $10.00.

Townsquare Media Company Profile

Townsquare Media, Inc (NYSE: TSQ) is a diversified media and entertainment company that operates primarily in small and mid-sized markets across the United States. The company owns and manages over 300 local radio stations that deliver music, news, sports and community programming to listeners. In addition to its core broadcasting business, Townsquare Media provides digital marketing solutions and advertising services through its proprietary platforms and specialized agencies, helping local businesses connect with consumers via targeted online campaigns.

Founded in 2010 and headquartered in Purchase, New York, Townsquare Media has grown its footprint through strategic acquisitions and the development of a broad digital portfolio.