OUTFRONT Media Inc.

Hello, everyone, and welcome to Outfront Media's third quarter 2024 earnings call. My name's Lydia, and I'll be your operator today. After the prepared remarks, there'll be an opportunity for you to ask questions. If you'd like to do so, you can ask a question by pressing star followed by one on your telephone keypad. I'll now hand you over to Stephan Bisson, Vice President of Investor Relations, to begin. Please go ahead.

Good morning, and thank you for joining our 2024 third quarter earnings call. With me on the call today are Jeremy Mayle, Chairman and Chief Executive Officer, and Matthew Siegel, Executive Vice President and Chief Financial Officer. After a discussion of our financial results, we'll open the lines for a question and answer session. Our comments today will refer to the earnings release and a slide presentation that you can find on the investor relations section of our website, outfront.com. After today's call has concluded, a replay will be available there as well. This conference call may include forward-looking statements. Relevant factors that could cause actual results to differ materially from these forward-looking statements are listed in our earnings materials and in our SEC file, including our 2023 Form 10-K and our September 30, 2024 Form 10-Q, which will be filed later today. We will refer to certain non-GAAP financial measures on this call. Any references to OIVDA made today will be on an adjusted basis. Reconciliations of OIBDA and other non-GAAP financial measures are in the appendix of the slide presentation, the earnings release, and on our website, which also includes presentations with prior period reconciliations. Also, please note that given the June sale of our Canadian business, our consolidated third quarter results do not include any Canada results compared to the comparable prior year period. Detailed historical financial results of the divested Canadian business can be found on slide 25 of our slide presentation, and detailed historical U.S. media financial results can be found on slide 24. Given the sale of our Canadian business, our remarks today will focus primarily on the results of our U.S. media site. Let me now turn the call over to Jer.

Thank you, Stefan, and thanks to everyone for joining us on our call this morning. It's a pleasure to report our third quarter results today, our first period as a fully domestic company. As Stefan just mentioned, and similar to last quarter, our remarks today will focus almost entirely on our US media segment. As you can see on slide three, which summarizes our headline results, our US business grew revenues over 5%, driven by an acceleration in our billboard growth and high single-digit growth in transit. US media adjusted orbiter grew just over 11%, driven by the revenue growth I just described, combined with U.S. media expense growth of just 3%. Together, U.S. media and corporate adjusted orbiter was up 6%. Consolidated AFFO grew nearly 7% to $81 million and puts us well on our way to achieving the high end of the growth target we laid out earlier this year. Our AFFO growth is impressive given that we are comparing against the seasonally strong quarter from last year that included our since divested Canadian business. On slide four, you can see our US media revenues in more detail. Billboard revenues were up 4.8%. Our strongest markets continue to be those that are more locally skewed, such as those in New Jersey, Texas, and Michigan. Every region was up except the West, which improved sequentially but remained flashish due to some weakness in Los Angeles. Transit revenue was up 7.3% versus the prior year, driven by growth in all markets, including the New York MTA. As has been the case all year, our improved transit revenues were the result of solid performances from both our local and national teams. The breakdown of local and national revenues in our US media business can be seen on slide five. Local remained the primary driver of our growth, up almost 7%. National revenues improved from Q2 levels and were up a little over 3%. On a consolidated basis, our best performing categories in the third quarter were retail, tech, utilities, telecom, legal, and government political. On the weaker side were also health, medical, alcohol, and education. Slide six illustrates our solid US media billboard yield growth, up almost 7% year over year, reaching just under $3,000. The drivers of this yield growth remain our digital conversions, rates, occupancy, and higher automated transaction revenue. Slide seven highlights our strong US media digital performance, with revenue growing 10% in the quarter, representing over 32% of our total revenues, up from 31% last year. US digital billboard was up over 11%, while transit was up just over 8%, again driven predominantly by the MTA. Automated revenues comprise nearly 17% of our total digital revenues in the quarter. About 7% of our digital transit revenue came from automated channels, up from just under 2% last year, reinforcing our belief that the MTA's digital network is well aligned for automated selling. With that, let me now hand it over to Matt to review the rest of the financials.