Boston Omaha released 1Q 2024 financials.  Here are the results for Link Media Outdoor, Boston Omaha’s wholly owned out of home subsidiary, sponsored and analyzed by SignValue.

Revenues increased 3.8% to $10.6 million reflecting an improvement in rate and occupancy.  At March 31, 2024 Link Media Outdoor operated a plant with approximately 7,600 billboard faces.  This equates to a billboard yield of approximately $469 per billboard face.

Ground rents declined from 19.5% of revenue in the first quarter of 2023 to 19.1% of revenue in the first quarter of 2024.

Sales commissions declined from 8.3% of 1Q 2023 revenue to 7.9% of 1Q 2024 revenue.

Professional fees declined by $90,000 (52%) to $79,917 during the first quarter of 2023 because Link did not make any acquisitions.

Cashflow (EBIDTA) increased by 10% to $6.8 million during the first quarter and the cashflow margin widened from 35% during the first quarter of 2023 to 37% in the first quarter of 2024.

Alex Rozek resigned from his position as C0-Chief Executive and Co-Chair of Boston Omaha effective May 9, 2024.  The financial statements clarify that “Mr Rozek’s resignations were not the result of a disagreement with the Company on any matter related to the Company’s operations, policies and practices.”  Link Media Outdoor’s management team remains unchanged.

SignValue’s Take:  Link Media is a case study in how to benefit from out of home scale economies.  Revenue grew 3.8%, in the first quarter or 2024 versus expenses growth of only 0.3%, which translates into a 10% increase in cashflow.  Link Media’s 1Q 2024 EBIDTA margin of 37% exceeds OUTFRONT  (27%) and Clear Channel (17%) and only slightly trails Lamar (40%).

SignValue can be reached at (480) 657-8400 or info@signvalue.com for a confidential consultation.

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