Company: UONE
Filing Date: 2025-05-14
Form Type: 10-Q
Source: 0001041657-25-000034
Chunk: 78

Company: URBAN ONE, INC.
Filing Date: 2025-05-14
Form: 10-Q
Item: Part I, Item 8
Chunk 78
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 been recognized where a controlling interest exists, but the Company owns less than 100% of the controlled entity.The Company is required to include the financial statements of variable interest entities (“VIE”) in its condensed consolidated financial statements. Under the VIE model, the Company consolidates an investment if it has control to direct the activities of the entity and the obligation to absorb losses or the right to receive benefits that could potentially be significant to the VIE.ReclassificationCertain amounts in the prior year financial statements have been reclassified to conform to the current quarter presentation. Specifically, Corporate selling, general and administrative expenses have been collapsed with Selling, general and administrative expenses in the condensed consolidated statements of operations. Use of EstimatesThe preparation of financial statements in conformity with GAAP requires management to make certain estimates and assumptions. The most significant estimates and assumptions are used in determining: (i) estimates of future cash flows, revenue growth, operating profit margin mature market share, royalty payment avoided, terminal growth rate used to evaluate and recognize impairments; (ii) estimates of fair value of the Employment Agreement Award (as defined below) and the redeemable non-controlling interest in Reach Media; and (iii) deferred taxes and related valuation allowance, including uncertain tax positions.These estimates and assumptions may affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities as of the date of the financial statements. The Company bases these estimates on historical experience, the current economic environment or various other assumptions that are believed to be reasonable under the circumstances. However, economic uncertainty and any disruption in financial markets increase the possibility that actual results may differ from these estimates. Estimates and assumptions are reviewed periodically, and the effects of revisions are reflected prospectively in the period they occur.

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Supplemental Financial Information The following table presents the components of Other Current Liabilities and Other Long-term Liabilities:March 31,2025December 31,2024(In thousands)Other current liabilitiesCustomer advances and unearned income$2,499$2,200Unearned event income2,2921,152Professional fee accrual1,8513,781Operating expense accruals2,2082,512Accrued unvested stock compensation85336Employment agreement award (as defined in Note 5)3,7553,044Deferred barter revenue1,6381,688Other3,8835,673Total other current liabilities$18,211$20,386Other long-term liabilitiesEmployment agreement award (as defined in Note 5)$