NAPLES, FL—Brian E. Beasley, Chief Operating Officer of Beasley Broadcast Group Inc. (NASDAQ:BBGI), recently acquired additional shares of the company's Class A Common Stock. According to a recent SEC filing, Beasley purchased 50 shares at a price of $8.11 per share on November 20, 2024, amounting to a total transaction value of $405. Following this acquisition, Beasley holds 24,249 shares directly. Additionally, the filing notes an indirect ownership of 680 shares held by his children, though Beasley disclaims beneficial ownership of these securities.
In other recent news, Beasley Broadcast Group reported its third quarter financial results for 2024, announcing significant leadership changes and a successful debt reduction. The company reported a total net revenue of $58.2 million, with digital revenue growing by 11.7% and comprising 19.4% of the total. Operating income rose to $1.2 million, marking a significant improvement from the previous year's loss, and the company ended the quarter with $27.8 million in cash.
Leadership changes included the retirement of CFO Marie Tedesco and the appointment of Lauren Burrows Coleman as the new CFO. The company also achieved a debt reduction of $47 million, with maturities extended to August 2028. In addition, Beasley Broadcast Group noted a 23% increase in political revenue compared to the same period in 2020.
However, the company also reported a year-to-date revenue decrease of 1.6% on a same-station basis and an expected decline in Q4 revenue in November and December. Despite these challenges, Beasley Broadcast Group demonstrated resilience, focusing on debt reduction, digital revenue growth, and cost-saving measures. The company remains optimistic about its revenue growth and overall financial health amidst these recent developments.
InvestingPro Insights
While Brian E. Beasley's recent purchase of Beasley Broadcast Group Inc. (NASDAQ:BBGI) shares demonstrates insider confidence, it's crucial to consider the broader financial context of the company. According to InvestingPro data, BBGI's market capitalization stands at a modest $14.88 million, reflecting its position as a small-cap stock in the broadcasting sector.
InvestingPro Tips highlight that BBGI is currently trading near its 52-week low and at a low Price / Book multiple of 0.1, which could potentially signal an undervalued status. However, this comes with caveats, as the company operates with a significant debt burden and is quickly burning through cash, which may explain the depressed valuation.
The company's financial health presents a mixed picture. While BBGI has been profitable over the last twelve months with a P/E ratio of 4.97, it's important to note that it does not pay a dividend to shareholders. This could be a strategic decision to reinvest in the business or manage its debt obligations.
For investors seeking a more comprehensive analysis, InvestingPro offers 13 additional tips that could provide deeper insights into BBGI's financial position and market performance.
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