Earnings To Watch: iHeartMedia (IHRT) Reports Q4 Results Tomorrow

Global media and entertainment company iHeartMedia (NASDAQ:IHRT) will be reporting earnings this Monday after the bell. Here’s what to expect.

iHeartMedia beat analysts’ revenue expectations last quarter, reporting revenues of $997 million, down 1.1% year on year. It was a softer quarter for the company, with a significant miss of analysts’ adjusted operating income estimates and a significant miss of analysts’ EPS estimates.

This quarter, the market is expecting iHeartMedia’s revenue to decline 2% year on year, a reversal from the 4.8% increase it recorded in the same quarter last year.

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. iHeartMedia has missed Wall Street’s revenue estimates multiple times over the last two years.

Looking at iHeartMedia’s peers in the consumer discretionary - broadcasting segment, some have already reported their Q4 results, giving us a hint as to what we can expect. FOX delivered year-on-year revenue growth of 2%, beating analysts’ expectations by 1.8%, and AMC Networks reported flat revenue, topping estimates by 1.6%. FOX traded down 6.2% following the results while AMC Networks was also down 2.3%.

Investors in the consumer discretionary - broadcasting segment have had steady hands going into earnings, with share prices flat over the last month. iHeartMedia is down 2.2% during the same time and is heading into earnings with an average analyst price target of $4.25 (compared to the current share price of $3.17).