Before we get started, I want to mention to you that I cover Townsquare Media. The stock symbol is TSQ and I have it rated and outperformed with a $21 price target. Yes, that offers a significant upside from where the stock is today. I would hasten to add that the stock currently offers a whopping 12.7% annualized dividend yield. It is one of my favorite in terms of the best offering, the best total return opportunity in my coverage universe. I believe that the company has an excellent management team to deliver on that strong shareholder return potential. With us today are Bill Wilson, the CEO, Stuart Rosenstein, the CFO, and Claire Yenicay, Executive Vice President. Welcome everyone. This will be a fireside chat with no formal investor presentation. For those of you that are interested in the investor presentation, I would encourage you to visit the investors section of the Townsquare Media website. My questions are designed to provide some context on the businesses, the growth strategies, and prospects for those businesses. If you have questions that I do not address, please feel free to send those to me in your chat box. Let's go ahead and get started. Bill, you know, Townsquare Media is a unique media company that services small markets in the U.S. Can you talk a little bit about what makes those markets at Townsquare Media so attractive? Yes, Michael, thank you for that introduction and overview. I appreciate that first question because, you know, we're obviously a micro cap and we're thinly covered and not a lot of people are taking the time to really understand the company and do the research. One of the key differentiating parts of our company is the fact that we've been focused on markets outside the top 50 since day one. The company was founded in 2010. Stu is a Co-founder and a real key differentiation is being in these markets where they're really news deserts. The newspaper industry has really obviously been hurt overall, but particularly in our size markets. A lot of newspapers have shuttered. Many of our 74 local markets don't have a local television station. If people in these communities want to get informed as well as entertained, we are their primary source of that. That's benefited us quite a bit in terms of just our legacy cash cow radio business. We reach one in two adults in these communities just through our AM/FM broadcast, so 50% penetration and reach on a weekly basis. When you add in our substantial online audience coming to our websites and mobile apps, we reach 77% of the adult population in these markets. That is highly differentiated. You would never be able to have that type of penetration and reach in a Miami, New York, Nashville type of market. There is also a lot less competition in the digital marketing solutions space and in the digital advertising space. We continue to build this competitive moat in each of those areas where we're providing what I would say is national scale and sophistication to markets with an average population size of 300,000. As people do their research about the company, the fact that we are so differentiated and stick to our knitting and being in these size markets, we believe is a core differentiator and one of the reasons we've outperformed the industry to date in terms of local media. You know, Townsquare Media has been at the forefront of developing a strong growth platform through developing its digital businesses. It has been a leader in the industry. Now digital is over 50% of revenues and probably more importantly, it's over 50% of cash flow. You have two media segments that I would like to talk about. You have Townsquare Ignite and Townsquare Interactive. If I can just start with Townsquare Interactive, you know, this is a subscription-based business model. What's interesting about it is that other companies that have developed a subscription-based model like this, like Netflix and all sorts of other companies in that genre, typically have very high multiples. It's strange that this, your company, doesn't have that type of multiple, which we'll get to in a little bit. Let's talk a little bit about Townsquare Interactive because, you know, coming out of COVID, it seemed like it was on a very strong growth trajectory and then it kind of stumbled a little bit and lost its footing. I was wondering if you can just talk about, you know, where Townsquare Interactive is today and if and when investors can start to see that revenue and cash flow growth from this segment to start to see that favorable growth trajectory that we kind of had, you know, prior to COVID. Yeah, great question. Thank you, Michael. For those who may not be familiar with Townsquare Interactive, it is organically built, just like all of our digital solutions. One of the greatest assets of the company is our digital products and the digital team we have who are building these products. Townsquare Interactive was birthed out in 2013, so about 12 years into this. What it is, is we're providing digital marketing solutions for SMBs across the U.S. and we're providing everything from hosting websites, building websites. Really the value proposition over the last three or four years has become managing and marketing as well as everything from integrating into their QuickBooks, providing invoicing, payment. The CRM has been substantial. Collecting information about customers coming to their website, collecting information about customers coming into their store. Townsquare Interactive will turn around and do email marketing, text-based marketing on behalf of that. All for an average price of roughly $300 a month. It's very affordable. It, as you said, has had a great run for a first decade. From 2013 to 2023, we invested a tremendous amount of money up front. When you think about that period, we were growing revenue $7 million to $10 million year in and year out. We were growing profit $2.5 million to $3 million year in and year out, like clockwork, as you alluded to. We hit some, I'd say, substantial changes in 2023. The first one was we really made some decisions that we knew would be painful for the short term. Going into this, we were like, this is the right thing for the long term and that's the way we're always operating this business. We're going to take on some pain in the short term. The first one was return-to-office mandate on January 1st, 2023. We were probably one of the companies earlier to do that. I think you started to see a lot more in 2024. After COVID, all of our employees down at Townsquare Interactive, which was numerous, over 500, were working remote. Obviously that started in 2020. It was three years almost of them working remote. We mandated they come back to the office. We announced that and phased it in over a six-month period. It was very disruptive because a subset of the team members there chose not to continue. They wanted either remote work. That was something we thought was not the best long-term solution for us. That created a lot of disruption. The other piece that again was intentional and we knew would cause pain, but we believed would be the right thing long- term, was we completely redid our service model. There used to be a one-to-one model that if you are a business and a client of ours, you would call in and you'd get the same customer service rep every time and they would handle your needs. We went to much more of a call center service model and we knew it would be disruptive to the current subscriber base, but it allows us to scale much more efficiently. It allows us to operate with much better profit margins. More importantly, it's much better for the customers because when they call in, their answer rate went to almost 100%. Where before, if you had one person and they were on the phone with one of their other clients, it would go to voicemail. These businesses are super busy. We would call them back and they'd be out in the field doing their work. Long story short, we did the right thing for the long term. That was very disruptive because the people who were used to their one person, some of them canceled. What that created was in 2023 and 2024, we lost roughly $7 million of cash flow profit over the course of those two years. This year in 2025, we've already returned to strong profit growth in Townsquare Interactive. It will be, if not the highest profit growth in terms of dollars year- over -year, close to it. We've shared on our Q1 and Q2 earnings call that we expect roughly $3+ million in profit in Townsquare Interactive. We feel really good again. We took that pain, we made the changes, but it was the right thing in terms of revenue growth. We expect that to continue to begin in 2026 and get back to historical levels of that $7 million- $10 million. We feel like we took that pain, obviously hurt us for a couple of years, but again would make the same decisions again if we had to make them today. You know, Bill, the other aspect of Interactive largely started as kind of like building out websites, managing customer search optimization and things like that. Now it seems like you're expanding the service offerings. You mentioned CRM. Can you talk a little bit about the uptake in those service offerings and maybe your thoughts about new service offerings that maybe you can kind of look towards into the future, and as you do offer new services, do you think that you can gain some pricing ability there? Yeah. Great, great question. I think one of the things I'm most proud about, the team at Townsquare Media is just continually evolving and innovating, particularly that's true across the company, but in our digital products, with our digital team that's building the product. We have a history of doing that and we'll continue to do that. In terms of the uptake, at this point, it's really 100% of our customers and clients and subscribers at Townsquare Interactive are using the CRM, which we didn't have four to five years ago. It's been a significant change. There's always been the opportunity to have a low cost website provider, be that GoDaddy or Wix or other ones. Now with AI, you can go in and in essence create a website on the fly. That's really not our value proposition. Our value proposition is driving incremental customers and helping them manage their business. From what I just described in terms of customer acquisition, customer marketing, payments, invoices and all of that, and all for $300 ARPU on average. In terms of pricing power, we believe we have that given the product suite. That said, we've taken the margin from 27% historically to this year, 33% and the service change was a big part of that. That's significant margin expansion and that's why we made that change that was so disruptive in 2023 and 2024. Where I am in terms of our view on this is let's keep the pricing where it is. Even though we could potentially raise prices and still maintain because we're continually able to get more and more efficiency in this division. I'd rather get more and more customers in at this price point and continue to get efficiency and expand the profit margin. Couldn't be more pleased with the Townsquare Interactive team. It's obviously a hard thing to go through a setback. They got knocked down again and they made. We made these decisions knowing that it would cause pain. We had that long- term perspective and here we are in 2025, growing profit, $3 million this year. We expect that to continue for the next five to ten years. Quite pleased. Are there opportunities to kind of improve margins there, like maybe using AI or any of the, you know, new tech buzzwords that we're all hearing about? For sure, I mean that's part of it. A good chunk of it was the service change. Another small part of it that really we just started six to eight months ago is deploying AI tools into Townsquare Interactive. We're utilizing it across the company, but I'd say Townsquare Interactive has been the most aggressive in deployment. We're using AI on the design side in terms of just efficiency, in terms of resizing things. We're using AI to listen to all of our service calls, to provide information about our clients when they call in on the fly. We're using it to listen to outbound sales calls and doing sales coaching. Yes, I think AI over the next two to three years will substantially help margin expansion in Townsquare Interactive. I expect the same thing in our Ignite division as well. I think AI, and I expect this quite honestly for most businesses in the U.S. or around the world for that matter, to really get efficiency by leaning into these tools and capabilities that in essence are really less than 12 months old in many instances. I couldn't be more excited about AI in general and how it's helping Townsquare today. When I think about the next three to five years, I think it's incredibly transformative. That's a good segue into Ignite. You know, this business has been on a tear. Can you briefly describe the business and what are the key revenue growth drivers for that business? Particularly as you look forward, what do you see as the growth drivers going forward? Yeah, I mean, we couldn't be more pleased with Townsquare Ignite, our digital advertising segment. The fastest growing part of that component is the programmatic side. That goes back to your original question about the differentiation and being in the markets outside the top 50 that we are. We are bringing national scale and sophistication in a full digital agency model of doing everything from creative to. When we talk about creative, we're creating and we're using AI for this as well as creating multiple options and then running that through and in essence, not only A/B testing it, but now testing at times up to 20, 30 pieces of creative to see which one is pulling the best based on the KPIs that we're trying to achieve for our clients. We're doing real time bidding, we're doing optimizing, we're doing customer insights, we're doing deep audience segmentation, we're looking at the client's current customer base and saying, who are your best customers? What do they look like, household income, location, other psychographic and other interests. We're doing lookalike marketing across the Internet. We're serving ads across streaming TV, across all social platforms, across any connected device. In terms of Ignite, the fastest growing part of this segment is streaming TV. Obviously, streaming TV is exploding while cord cutting on the traditional broadcast side has, you know, got, I think at this point streaming is even more audience than traditional television and that is only going to continue. Taking a step back, we've got this tremendous tailwind of digital advertising growth in the U.S. which is growing at a high single digit CAGR for the marketplace in the U.S. Then we've got streaming TV growing at a double digit rate. We've got social growing at a double digit rate and we're really benefiting from all of that. When you then layer in the differentiation and being in these size markets, there's not a lot of competition, particularly who can do everything that we can do on behalf of the client. That's why I think, as you said, it's been on its tear for the last five years. It is the fastest growing part of the company for the last five years in terms of revenue and cash flow. That's what we expect over the next five years. We're now being recognized by others in local media. We have a media partnership division that we started last year that has started to grow quite nicely. I think we're very differentiated. We have great growth profile today, but even I think stronger in the next five years. Let's talk a little bit about that. You kind of alluded to the white-label digital advertising partnerships that you have there. You started with that with some initial success, but it doesn't seem like you've kind of pushed down on the accelerator on that maybe until a little recently. What is your thoughts about the white-label portion of that business? Are you kind of ready to scale? Do you think that you're ready to push on the accelerator to ramp up growth there? Yes. For those who may not be familiar, other local media companies are coming to us and they're asking us to do all of their digital advertising, and that includes sales training and then everything else I just mentioned, creative inventory, buying, audience insights, monthly reporting calls with clients. It is a very comprehensive partnership. Back in the beginning of 2024, we had one partner. We wanted to obviously test the model. About a year ago, we signed up Summit Media, a tremendous radio broadcasting company, private company in about nine markets. That has gone tremendously well. I think at this point we've announced six or seven that we have signed up. Some of those have been announced, but we haven't onboarded them yet. This year we expect about $6 million in revenue from just the partners, and that's at a 20% margin. What we've shared is we believe this is going to be a $50 million revenue opportunity at a 20% margin, so obviously $10 million in profit within five years. We think next year that $6 million we're doing this year will be $10 million - $12 million, if not more. We're quite bullish. At the same time, there's a lot of trust involved that we're doing this in conjunction with these partners. Although we're accelerating, we also want to make sure that sometimes we're ready to go faster than a partner, so we meet them where they are. If you're thinking like we do, we're not thinking about the next 12 months as much as we're thinking about the next five years. We couldn't be more excited about this division. Previously, for us to enter a market and sell digital advertising, we acquired radio stations. That was kind of using radio as a Trojan horse. We love radio. We'd never have the success we have in digital without that DNA. We deployed a lot of capital and acquired, in essence, 320 radio stations. Now we don't have to deploy that capital. We may have slightly lower profit margins because they're at 20% here versus mid-20s, but then we could use that capital to delever or buy back shares or whatever we think is the best use of that capital. As you can tell, just tremendously excited about this opportunity. Really appreciate the partners and their trust. We think this will be a $50 million division in five years. Obviously we talked about the great growth drivers for the company, but I do want to touch on the radio a little bit. Given it is a mature portion of your business, you always refer to it as your cash cow portion of your business. I was just wondering, as we kind of look toward these Fed rate actions, and of course we're heading into 2026, which is another biennial election year, do you have some prospects here that maybe you can give us your thoughts about how radio is performing, the trends that we're seeing currently, and maybe some of the sensitive ad categories, are they bouncing back like auto, home builders, and the like? Maybe just your thoughts in general about the state of the radio industry and especially the outlook as we go into 2026. Yeah, I mean, what's wonderful about radio for those who may not be as familiar with the medium is it's the number one reach medium in the U.S. today. When we talk about industry perspective, which is really your question, the fact that we're reaching 93% of Americans on a weekly basis by just listening to AM/ FM radio. More people listen to AM/ FM radio today than 10 years ago, 20 years ago, 30 years ago, that's incredible. In the world of TikTok and Netflix and everything else competing for people's time, I think that speaks volumes to how much people value radio. What's challenging for the industry overall is time spent listening has been declining. For Townsquare, thankfully our audience size is solid and our time spent listening is solid, which again goes back to your initial question about being in smaller markets. That's the reason for that. In terms of the industry overall this year for 2025, when I think I always talk about ex-political, it's performing worse than last year from an industry perspective and that's true for Townsquare. Last year we were down 6% ex-political, this year year to date we shared on our Q2 call it was down - 8% versus last year's - 6%. That's still outperforming the industry where we're actually taking share just specifically in broadcast. I think it's performing slightly worse for the industry at large because it's been a tremendous upheaval year. Obviously a new president, a lot of change. In the beginning of the year there was a lot of concern around tariffs. I think some of that still sits out there. We don't have a deal with India, the deal with China is not done. I think the macro environment has been very challenging and advertising overall this year, not just broadcast, I think has been muted because of that. We've got tariffs, higher interest rates. Most people expected interest rates to come down further by now. Thank God we got the rate cut in September. There's two more highly probable the rest of the year. I think as we get through the end of this year, obviously now we're dealing with a government shutdown. We had two doge cuts which affected some advertising as well across the industry. As we go into 2026 and again looking out even further than that, I think the industry decline moderates quite substantially. If the industry overall this year is down 11%, 12% ex- political, I think that's cut in half next year, and I think that probably even declines even to a smaller decline and potentially some, like we have certain markets that are growing, but industry wide I think you cut the losses in half or the declines next year, and I think that moderates over a five year period to a low single digit decliner. I know there's some in the industry who believe it will grow over time in terms of that five- year period, but we've just, they very well may be right, but we take the perspective that it's going to be a traditional cash cow, low single digit decliner when you're thinking about a five- year. So then the industry is down 12% this year at least through Q2. I think that goes to negative 6% next year, probably negative 3%, and then we'll see what happens there. Does it stay in negative 3% or does it actually start to grow again? That's what my perspective on the industry is. I think it has tremendous attributes. I think the fact that so many people are listening on a weekly basis speaks to the emotional connection that radio has. If it does kind of get to those growth numbers as some others are suggesting, that'd be icing on the cake for you given your growth in your digital businesses. I'd like to kind of get Stu into the conversation. The company is levered but at more reasonable levels unlike many of your peers. Stuart, I was wondering if you can talk a little bit about the debt levels at the company. Obviously you did some earlier refinancings, the prospects to take advantage of possible interest rate reductions as the Fed is kind of lowering interest rates and what your thoughts are there maybe talk about the debt. Sure. Thanks, Michael. Five years ago we simplified our capital structure by floating a $550 million bond. Five years ago, earlier this year, in February, we refinanced that bond in conjunction with the cash that we built up on our balance sheet of like $70 million, $80 million. We floated a bank loan, a term loan, B bank loan with a variable instrument for $470 million. That was our gross debt. Since then we've been paying down debt every month. It's a lot easier than trying to go into the market and buy back bonds. We paid back about $20 million thus far and we'll continue to do so. We think every year we'll be able to pay down debt to somewhere between $20 million and $30 million a year, things staying basically where they are today. The opportunities to reduce that is as we pay down debt, principal balance that we're paying interest on obviously goes down, so interest goes down. Every quarter point rate reduction that our administration and the Fed gives us equates to about $1.2 million worth of interest expense for us. We just got one last month. Hopefully you'll get at least one or two more this year. If not, we kind of expect at least right now we're paying SOFR plus 500. We think that interest rates and SOFR currently is slightly under four. We think by the end of next year it should be slightly under three. That's a big amount of money. Every point is close to $5 million in interest rate savings for us. In addition to that, we will have the opportunity starting next February to go out into the market and reprice the spread to bring that spread down even further. We're currently levered around 5.7X. We think within the next 18 to 24 months, 4.7 X. Sorry. Yeah, thank you, Claire. We think that within the next, you know, within the next 12 to 18 to 24 months, we'll be able to get that to the low fours, under four. Ultimately we want to get our leverage down to 3X - 3.5X as far as leverage goes. That's pretty incredible given that many of your peers are, or some of your peers, I don't even know if you call them your peers anymore, but they're trading at 8X, 9X debt leverage. 4.7X doesn't sound bad. Fortunately for us, we generate a ton of free cash flow, so we are actually able to delever, which kind of distinguished ourselves from some of the others that we don't consider peers anymore. It's a very strong attribute of this company today. I know that we're kind of running out of time here, but I want to talk about the history of the company's return of capital to shareholders. You bought back a lot of stock. You have liberal dividends, and I just would like for you to highlight a little bit of that. Sure. Back in 2021, in the month of March, we purchased, with $80 million, $12.6 million shares of our equity sponsor, Oaktree Capital Management, at accretive prices, significantly below market. It was a unique situation. They had sold themselves to a foreign company, and foreign companies, as you know, can't hold FCC licenses. It was a very unique situation. We were beneficiaries of that situation, and we took advantage of it and, thankfully enough, we had the cash to be able to do that. In June of 2023, another large shareholder, Madison Square Garden, we bought back half of their shares, about $1.7 million, again at accretive prices, significantly below market. Last year, early last year, in April of 2024, we bought back the majority of the remainder of their shares, again at an accretive price below. I mean, we've always been in a market being opportunistic, equally paying down debt, equally buying back shares. Since 2021, we've repurchased, 16.6 million shares in the open market at an aggregate cost of $80 million. We're actively out there, always looking to support the stock in the market in troubled times and take advantage of opportunities. Also, we have a very high dividend, as you mentioned earlier, at today's, which we think is a very, a very, a very unfair market price. Our dividend yield is 12.7% on the current share price. Today it's $0.80 a share per year. We've increased that slightly every year for the last three years, and we plan on keeping to do that. What's really interesting is that the stock price obviously has been down and we have been getting some questions here about that. It's interesting that the stock is kind of tethered to the radio industry and the problems that are going on with the high debt leverage of the radio companies. Your stock is trading below that of radio multiples and well below that of digital media companies, yet you're tethered to the radio industry. What are your thoughts in terms of the prospect of disconnecting from radio and maybe seeing those multiples expand and more in line with what you would say marketing services and digital marketing services companies get these days? First of all, I think a big portion of that and the big reason is that we have a very low float. It's hard for the larger and mid-sized funds to buy into our stock without picking. That said, as the percentage of our business, which today is 54% and 50% revenues and profits digital versus total company, as that grows and gets into the high 50s, low 60s, mid 60s, 70s, I think that's going to unlock a lot of value. People start disassembling us or disassociating us with just traditional broadcast radio businesses. I agree and I'm going to have to close there. I want to thank everyone for joining us today and thank the members of management from Townsquare Media. I really encourage you to take a look at the reports on Townsquare Media on Channelchek. It is a compelling story. Once you kind of dig into the story of their growth strategy here on their digital media businesses and once you really see the very compelling dividend and attractive growth features and valuations of this company. I encourage you to take a look at it. With that, thank you for joining us today. Thank you, Michael.