Company: UONE
Filing Date: 2025-08-13
Form Type: 10-Q
Source: 0001041657-25-000042
Chunk: 152

Company: URBAN ONE, INC.
Filing Date: 2025-08-13
Form: 10-Q
Item: Part I, Item 8
Chunk 152
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 on the Radio Market reporting units to determine whether it was impaired as of May 31, 2025. Based on these analyses, the Company recognized an impairment loss of approximately $3.9 million associated with the Radio Broadcasting reporting units, included in impairment of goodwill and intangible assets, on the unaudited condensed consolidated statement of operations during the three months ended June 30, 2025.

Below are the key assumptions used in the income approach model for estimating the fair value of the Radio Market reporting units in the most recent interim impairment assessment performed as of May 31, 2025.

Goodwill (Radio Market Reporting Units)May 31,2025Discount rate9.5%Revenue growth rate range(34.5)% - 53.1%Terminal growth rate(25.0)% - (8.0)%Mature market share range9.5%Operating profit margin range(4.9)% - 43.1%

To the extent that there is a potential recession that further disrupts the economic environment impacting the financial performance or changes in interest rates, these events could negatively affect the key assumptions and result in significantly lower fair value of the Company’s reporting units.

The following table presents sensitivity analyses for goodwill of reporting units within the Radio Broadcasting segment showing the impact on our most recent quantitative impairment assessment resulting from: (i) a 100 basis point decrease in industry or reporting units terminal growth rates; (ii) a 100 basis point decrease in operating profit margins; (iii) a 100 basis point increase in the discount rate; and (iv) both a 5.0% and 10.0% reduction in the fair values of the reporting units.

Hypothetical Increase in theRecorded Impairment ChargeFor the Six Months EndedJune 30, 2025Goodwill(in millions)Impairment Charge Recorded:Radio Market Reporting Units$3.9 Hypothetical Change for Radio Market Reporting Units:A 100-basis point decrease in radio industry terminal growth rates$1.0 A 100-basis point decrease in operating profit margin in the projection period1.0 A 100-basis point increase in the applicable discount rate1.5 A 5.0% reduction in the fair value of the Radio Markets3.3 A 10.0% reduction in the fair value of the Radio Markets6.7 

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Table of Contents

iOne Reporting Unit

The Company noted a continued decline in revenues in the