Hemisphere Media (HMTV) 10-Q 11 May 20 2020 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Mar. 31, 2020	May 08, 2020
Document Type	10-Q
Document Period End Date	Mar. 31, 2020
Entity Registrant Name	HEMISPHERE MEDIA GROUP, INC.
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Central Index Key	0001567345
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2020
Document Fiscal Period Focus	Q1
Amendment Flag	false
Common Class A
Entity Common Stock, Shares Outstanding		20,125,216
Common Class B
Entity Common Stock, Shares Outstanding		19,720,381

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Mar. 31, 2020	Dec. 31, 2019
Current Assets
Cash	$ 95,009	$ 92,151
Accounts receivable, net of allowance for doubtful accounts of $1,110 and $507, respectively	29,212	29,269
Due from related parties	1,020	1,626
Programming rights	11,140	11,691
Prepaids and other current assets	12,457	11,003
Total current assets	148,838	145,740
Programming rights, net of current portion	15,701	14,804
Property and equipment, net	33,440	34,319
Operating lease right-of-use assets	1,701	1,833
Broadcast license	41,356	41,356
Goodwill	167,322	167,322
Other intangibles, net	30,684	32,587
Deferred income taxes	1,748	1,208
Equity method investments	42,106	49,639
Other assets	4,135	3,979
Total Assets	487,031	492,787
Current Liabilities
Accounts payable	2,537	1,925
Due to related parties	643	669
Accrued agency commissions	4,625	4,662
Accrued compensation and benefits	3,327	5,021
Accrued marketing	5,777	5,327
Other accrued expenses	8,937	6,596
Programming rights payable	8,559	6,369
Investee losses in excess of investment		1,484
Current portion of long-term debt	2,134	2,134
Total current liabilities	36,539	34,187
Programming rights payable, net of current portion	897	820
Long-term debt, net of current portion	202,019	202,406
Deferred income taxes	19,331	19,331
Other long-term liabilities	5,224	2,917
Defined benefit pension obligation	2,502	2,457
Total Liabilities	266,512	262,118
Stockholders' Equity
Preferred stock, $0.0001 par value; 50,000,000 shares authorized; 0 shares issued at March 31, 2020 and December 31, 2019
Additional paid-in capital	275,798	274,518
Retained earnings	6,647	16,075
Accumulated other comprehensive loss	(2,679)	(792)
Total Hemisphere Media Group Stockholders' Equity	219,250	229,285
Equity attributable to non-controlling interest	1,269	1,384
Total Stockholders' Equity	220,519	230,669
Total Liabilities and Stockholders' Equity	487,031	492,787
Common Class A
Stockholders' Equity
Common stock	3	3
Class A treasury stock, at cost 5,609,966 at March 31, 2020 and December 31, 2019	(60,521)	(60,521)
Common Class B
Stockholders' Equity
Common stock	$ 2	$ 2

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Mar. 31, 2020	Dec. 31, 2019
Accounts receivable, allowance for doubtful accounts	$ 1,110	$ 507
Preferred stock, par value (in dollars per share)	$ 0.0001	$ 0.0001
Preferred stock, shares authorized	50,000,000	50,000,000
Preferred stock, shares issued	0	0
Treasury stock, shares	5,609,966	5,609,966
Common Class A
Common stock, par value (in dollars per share)	$ 0.0001	$ 0.0001
Common stock, shares authorized	100,000,000	100,000,000
Common stock, shares issued	25,202,314	25,202,314
Common Class B
Common stock, par value (in dollars per share)	$ 0.0001	$ 0.0001
Common stock, shares authorized	33,000,000	33,000,000
Common stock, shares issued	19,720,381	19,720,381

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Condensed Consolidated Statements of Operations
Net revenues	$ 32,409	$ 35,110
Operating Expenses:
Cost of revenues	10,967	10,214
Selling, general and administrative	11,233	10,901
Depreciation and amortization	3,131	4,067
Other expenses	3,021	231
Gain from FCC repack and other	(9)	(1,462)
Total operating expenses	28,343	23,951
Operating income	4,066	11,159
Other expense:
Interest expense, net	(2,786)	(2,960)
Loss on equity method investments	(7,019)	(7,376)
Impairment of equity method investment	(5,479)
Total other expense	(15,284)	(10,336)
(Loss)income before income taxes	(11,218)	823
Income tax benefit (expense)	1,675	(2,556)
Net loss	(9,543)	(1,733)
Net loss attributable to non-controlling interest	115	47
Net loss attributable to Hemisphere Media Group, Inc.	$ (9,428)	$ (1,686)
Loss per share attributable to Hemisphere Media Group, Inc.:
Basic (in dollars per share)	$ (0.24)	$ (0.04)
Diluted (in dollars per share)	$ (0.24)	$ (0.04)
Weighted average shares outstanding:
Basic (in shares)	39,313	39,031
Diluted (in shares)	39,313	39,031

Condensed Consolidated Statem_2

Condensed Consolidated Statement of Comprehensive Loss - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Condensed Consolidated Statement of Comprehensive Loss
Net loss	$ (9,543)	$ (1,733)
Other comprehensive loss:
Change in fair value of interest rate swap, net of income taxes	(1,887)	(678)
Comprehensive loss	(11,430)	(2,411)
Comprehensive loss attributable to non-controlling interest	115	47
Comprehensive loss attributable to Hemisphere Media Group	$ (11,315)	$ (2,364)

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Changes in Stockholders' Equity - USD ($) shares in Thousands, $ in Thousands	Common StockCommon Class A	Common StockCommon Class B	Additional Paid In Capital	Treasury StockCommon Class A	Retained Earnings	Accumulated Comprehensive Loss	Non-controlling Interest	Total
Balance at the beginning of the period at Dec. 31, 2018	$ 2	$ 2	$ 270,345	$ (59,088)	$ 19,495	$ 1,155	$ 1,488	$ 233,399
Balance at the beginning of the period (in shares) at Dec. 31, 2018	24,850	19,720
Condensed Consolidated Statements of Changes in Stockholders' Equity
Net loss					(1,686)		(47)	(1,733)
Issuance of treasury shares for acquisition of Snap Media			(588)	588
Stock-based compensation			917					917
Repurchases of Class A common stock				(513)				(513)
Adoption of accounting standards | ASU 2018-02					(53)	53
Other comprehensive loss, net of tax						(678)		(678)
Balance at the end of the period at Mar. 31, 2019	$ 2	$ 2	270,674	(59,013)	17,756	530	1,441	231,392
Balance at the end of the period (in shares) at Mar. 31, 2019	24,850	19,720
Balance at the beginning of the period at Dec. 31, 2019	$ 3	$ 2	274,518	(60,521)	16,075	(792)	1,384	230,669
Balance at the beginning of the period (in shares) at Dec. 31, 2019	25,202	19,720
Condensed Consolidated Statements of Changes in Stockholders' Equity
Net loss					(9,428)		(115)	(9,543)
Stock-based compensation			1,280					1,280
Other comprehensive loss, net of tax						(1,887)		(1,887)
Balance at the end of the period at Mar. 31, 2020	$ 3	$ 2	$ 275,798	$ (60,521)	$ 6,647	$ (2,679)	$ 1,269	$ 220,519
Balance at the end of the period (in shares) at Mar. 31, 2020	25,202	19,720

Condensed Consolidated Statem_4

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Reconciliation of Net Loss to Net Cash Provided by Operating Activities:
Net loss	$ (9,543)	$ (1,733)
Adjustments to reconcile net loss to net cash provided by operating activities:
Depreciation and amortization	3,131	4,067
Program amortization	3,311	3,256
Amortization of deferred financing costs and original issue discount	147	145
Stock-based compensation	1,280	917
Provision for bad debts	600	84
Loss on equity method investments	7,019	7,376
Impairment of equity method investment	5,479
Gain from FCC repack	(9)	(1,462)
Amortization of operating lease right-of-use assets	115	118
Decrease (increase) in:
Accounts receivable	(543)	2,911
Programming rights	(3,657)	(3,900)
Prepaids and other assets	(1,593)	(2,172)
Due from related parties, net	580	131
(Decrease) increase in:
Accounts payable	612	1,256
Other accrued expenses	1,060	(6,895)
Programming rights payable	2,267	1,324
Income taxes payable		1,202
Other liabilities	(75)	1,397
Net cash provided by operating activities	10,181	8,022
Cash Flows From Investing Activities:
Funding of equity method investments	(6,449)	(13,796)
Capital expenditures	(349)	(2,914)
FCC repack proceeds	9	1,462
Net cash used in investing activities	(6,789)	(15,248)
Cash Flows From Financing Activities:
Repayments of long-term debt	(534)	(534)
Purchases of common stock		(513)
Net cash used in financing activities	(534)	(1,047)
Net increase (decrease) in cash	2,858	(8,273)
Cash:
Beginning	92,151	94,478
Ending	95,009	86,205
Cash payments for:
Interest	2,767	3,974
Income taxes	$ 2
Non-cash investing activity:
Acquisition financed in part by treasury shares		$ 588

Nature of Business

Nature of Business	3 Months Ended
	Mar. 31, 2020
Nature of Business
Nature of Business	Note 1. Nature of Business Nature of business: The accompanying Condensed Consolidated Financial Statements include the accounts of Hemisphere Media Group, Inc. (“Hemisphere” or the “Company”), the parent holding company of Cine Latino, Inc. (“Cinelatino”), WAPA Holdings, LLC (formerly known as InterMedia Español Holdings, LLC) (“WAPA Holdings”), HMTV Cable, Inc., the parent company of the entities for the acquired networks consisting of Pasiones, TV Dominicana, and Centroamerica TV (see below), and HMTV Distribution, LLC, the parent of Snap Global, LLC, a Delaware limited liability company and its wholly owned subsidiaries (“Snap Media”), in which we own a 75% interest. Hemisphere was formed on January 16, 2013 for purposes of effecting its initial public offering, which was consummated on April 4, 2013. In these notes, the terms “Company,” “we,” “us” or “our” mean Hemisphere and all subsidiaries included in our Condensed Consolidated Financial Statements. Reclassification: Certain prior year amounts on the presented Condensed Consolidated Statement of Cash Flows have been reclassified to conform to current year presentation. Basis of presentation: The accompanying Condensed Consolidated Financial Statements for Hemisphere and its subsidiaries have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, certain information and note disclosures normally included in annual financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to those rules and regulations, although we believe that the disclosures made are adequate to make the information not misleading. In our opinion, all adjustments (consisting only of normal recurring adjustments) considered necessary for a fair statement have been included. Our financial condition as of, and operating results, for the three months ended March 31, 2020 are not necessarily indicative of the financial condition or results that may be expected for any future interim period or for the year ending December 31, 2020. These Condensed Consolidated Financial Statements should be read in conjunction with the audited Consolidated Financial Statements and Notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2019. Net loss per common share: Basic loss per share is computed by dividing loss attributable to Hemisphere Media Group, Inc. common stockholders by the number of weighted-average outstanding shares of common stock. Diluted loss per share reflects the effect of the assumed exercise of stock options and vesting of restricted shares only in the periods in which such effect would have been dilutive. The following table sets forth the computation of the common shares outstanding used in determining basic and diluted loss per share attributable to Hemisphere Media Group, Inc. ( amounts in thousands, except per share amounts): Three Months Ended March 31, 2020 2019 Numerator for loss per common share calculation: Net loss attributable to Hemisphere Media Group, Inc. $ (9,428) $ (1,686) Denominator for loss per common share calculation: Weighted-average common shares, basic 39,313 39,031 Effect of dilutive securities Stock options and restricted stock — — Weighted-average common shares, diluted 39,313 39,031 Loss per share attributable to Hemisphere Media Group, Inc. Basic $ (0.24) $ (0.04) Diluted $ (0.24) $ (0.04) We apply the treasury stock method to measure the dilutive effect of its outstanding stock options and restricted stock awards and include the respective common share equivalents in the denominator of our diluted loss per common share calculation. Per the Accounting Standards Codification (“ASC”) 260 accounting guidance, under the treasury stock method, the incremental shares (difference between the number of shares assumed issued and the number of shares assumed purchased) shall be included in the denominator of the diluted loss per share computation (ASC 260-10-45-23). The assumed exercise only occurs when the options are “In the Money” (exercise price is lower than the average market price for the period). If the options are “Out of the Money” (exercise price is higher than the average market price for the period), the exercise is not assumed since the result would be anti-dilutive. Potentially dilutive securities representing 1.6 million and 1.1 million shares of common stock for the three months ended March 31, 2020 and 2019, respectively, were excluded from the computation of diluted loss per common share for this period because their effect would have been anti-dilutive. The net loss per share attributable to Hemisphere Media Group, Inc. amounts are the same for our Class A and Class B common stock because the holders of each class are legally entitled to equal per share distributions whether through dividends or in liquidation. As a result of the loss from operations for each of the three months ended March 31, 2020 and 2019, 0.5 million outstanding awards were not included in the computation of diluted loss per share because their effect was anti-dilutive. Risks and Uncertainties : In March 2020, the World Health Organization characterized the novel coronavirus ("COVID-19") a pandemic, and the President of the United States declared the COVID-19 outbreak a national emergency. The rapid spread of the pandemic and the continuously evolving responses to combat it have had an increasingly negative impact on the global economy. Even during these unprecedented times, we have continued the production of news and certain programming, as our viewers rely on our Networks to keep them informed. The impact of COVID-19 and measures to prevent its spread are affecting our businesses in a number of ways. Beginning in March 2020, the Company experienced adverse advertising revenue impacts. Operationally, all non-production and programming personnel are working remotely, and the Company has restricted business travel. If significant portions of our workforce, including key personnel, are unable to work effectively because of illness, government actions or other restrictions in connection with the COVID-19 pandemic, the impact of the pandemic on our businesses could be exacerbated. The Company has evaluated and continues to evaluate the potential impact of the COVID-19 pandemic on its Condensed Consolidated Financial Statements, including the impairment of goodwill and indefinite-lived intangible assets and the fair value of equity method investments. The ultimate impact of the COVID-19 pandemic, including the extent of any adverse impact on our business, results of operations and financial condition, will depend on, among other things, the duration and spread of the pandemic, the impact of governmental regulations that have been, and may continue to be, imposed in response to the pandemic, the effectiveness of actions taken to contain or mitigate the outbreak, and global economic conditions. Although the effect of the pandemic may not be fully reflected in the Company’s business until future periods, the Company believes that the adverse impact of the COVID-19 pandemic could be material to its results of operations. The Company believes it has substantial liquidity to satisfy its financial commitments, including its long-term debt. Use of estimates: In preparing these financial statements, management had to make estimates and assumptions that affected the reported amounts of assets and liabilities and the disclosures of contingent assets and liabilities as of the balance sheet dates, and the reported revenues and expenses for the three months ended March 31, 2020 and 2019. Such estimates are based on historical experience and other assumptions that are considered appropriate in the circumstances. However, actual results could differ from those estimates. Recently adopted Accounting Standards: On January 1, 2020, we adopted Financial Accounting Standards Board (“the FASB”) ASU 2019- 02—Entertainment-Films-Other Assets-Film Costs (Subtopic 926-20): Improvements to Accounting for Costs of Films. The updated guidance aligns the accounting for production costs of episodic television series with those of films, allowing for costs to be capitalized in excess of amounts of revenue contracted for each episode. The updated guidance also updates certain presentation and disclosure requirements for capitalized film and television costs, and requires impairment testing to be performed at a group level for capitalized film and television costs when the content is predominately monetized with other owned or licensed content. The adoption of this ASU did not have an impact on our accompanying Condensed Consolidated Financial Statements as of and for the three months ended March 31, 2020. Accounting guidance not yet adopted: In January 2017, the FASB issued ASU Update 2017 04—Intangibles—Goodwill and Other (Topic 350) Simplifying the Test for Goodwill Impairment . The amendments in this Update simplify how an entity is required to test goodwill for impairment by eliminating step 2 from the goodwill impairment test. In computing the implied fair value of goodwill under step 2, an entity had to perform procedures to determine the fair value at the impairment testing date of its assets and liabilities following the procedure that would be required in determining the fair value of assets acquired and liabilities assumed in a business combination. Under amendments in this Update, an entity would perform its annual, or interim, testing by comparing the fair value of a reporting unit with its carrying amount. An entity would recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value, not to exceed the total amount of goodwill allocated to the reporting unit. The amendments in this Update are effective for Small Reporting Companies with fiscal years beginning after December 15, 2022, and interim periods within those annual periods. Early adoption is permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. We are currently evaluating the impact, if any, that the updated accounting guidance will have on our accompanying Condensed Consolidated Financial Statements. In December 2019, the FASB issued ASU 2019-12—Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes. The updated guidance simplifies the accounting for income taxes in several areas by removing certain exceptions and by clarifying and amending existing guidance applicable to accounting for income taxes. The updated guidance is effective for the fiscal years beginning after December 15, 2020, and interim periods within those fiscal periods and early adoption is permitted. We are currently in the initial stages of our assessment in determining the impact, if any, that the updated accounting guidance will have on our accompanying Condensed Consolidated Financial Statements.

Revenue Recognition

Revenue Recognition	3 Months Ended
	Mar. 31, 2020
Revenue Recognition
Revenue Recognition	Note 2. Revenue Recognition The following is a description of principal activities from which we generate our revenue: Affiliate revenue: We enter into arrangements with multi-channel video distributors, such as cable, satellite and telecommunications companies (referred to as “MVPDs”) to provide a continuous feed of our programming generally based on a per subscriber fee pursuant to multi-year contracts, referred to as “affiliation agreements”, which typically provide for annual rate increases. We have used the practical expedient related to the right to invoice and recognize revenue at the amount to which we have the right to invoice for services performed. The specific affiliate revenue we earn varies from period to period, distributor to distributor and also varies among our Networks, but are generally based upon the number of each distributor’s paying subscribers who subscribe to our Networks. Changes in affiliate revenue are primarily derived from changes in contractual per subscriber rates charged for our Networks and changes in the number of subscribers. MVPDs report their subscriber numbers to us generally on a two month lag. We record revenue based on estimates of the number of subscribers utilizing the most recently received remittance reporting of each MVPD, which is consistent with our past practice and industry practice. Revenue is recognized on a month by month basis when the performance obligations to provide service to the MVPDs is satisfied. Payment is typically received within sixty days of the remittance. Advertising revenue: Advertising revenue is generated from the sale of commercial time, which is typically sold pursuant to sale orders with advertisers providing for an agreed upon commitment and price per spot. We recognize revenue from the sale of advertising as performance obligations are satisfied upon airing of the advertising; therefore, revenue is recognized at a point in time when each advertising spot is transmitted. Agency fees are calculated based on a stated percentage applied to gross billing revenue for our advertising inventory and are reported as a reduction of advertising revenue. Payment is typically due and received within thirty days of the invoice date. Other revenue: Other revenues are derived primarily through the licensing of content to Pantaya and third parties. We enter into agreements to license content and recognize revenue when the performance obligation is satisfied and control is transferred, which is generally upon delivery of the content. The following table presents the revenues disaggregated by revenue source (amounts in thousands): Three months ended March 31, Revenues by type 2020 2019 Affiliate revenue $ 19,833 $ 21,349 Advertising revenue 11,816 13,146 Other revenue 760 615 Total revenue $ 32,409 $ 35,110

Related Party Transactions

Related Party Transactions	3 Months Ended
	Mar. 31, 2020
Related Party Transactions
Related Party Transactions	Note 3. Related Party Transactions The Company has various agreements with MVS, a Mexican media and television conglomerate, which has directors and stockholders in common with the Company as follows: · MVS provides Cinelatino with satellite and support services including origination, uplinking and satellite delivery of two feeds of Cinelatino’s channel (for U.S. and Latin America), master control and monitoring, dubbing, subtitling and close captioning, and other support services. Expenses incurred under this agreement are included in cost of revenues in the accompanying Condensed Consolidated Statements of Operations. Total expenses incurred were $0.6 million for each of the three months ended March 31, 2020 and 2019. Amounts due to MVS pursuant to the agreement amounted to $0.6 million and $0.7 million at March 31, 2020 and December 31, 2019, respectively. · Dish Mexico (d/b/a Comercializadora de Frecuencias Satelitales, S. de R.L. de C.V.), an MVS affiliate that operates a subscription satellite television service throughout Mexico, and distributes Cinelatino as part of its service. Total revenues recognized were $0.3 million and $0.5 million for the three months ended March 31, 2020 and 2019, respectively. Amounts due from Dish Mexico amounted to $0.2 million and $0.3 million at March 31, 2020 and December 31, 2019, respectively. · MVS has the non-exclusive right to duplicate, distribute and exhibit Cinelatino’s service via cable, satellite or by any other means in Mexico. Cinelatino receives revenues net of MVS’s distribution fee, which is equal to 13.5% of all license fees collected from third party distributors managed but not owned by MVS. Total revenues recognized were $0.2 million and $0.3 million for the three months ended March 31, 2020 and 2019, respectively. Amounts due from MVS pursuant to this agreement amounted to $0.5 million and $0.7 million at March 31, 2020 and December 31, 2019, respectively. The Company entered into an amended and restated consulting agreement with James M. McNamara,a member of the Company’s board of directors, on August 13, 2019, to provide the development, production and maintenance of programming, affiliate relations, identification and negotiation of carriage opportunities, and the development, identification and negotiation of new business initiatives including sponsorship, new channels, direct-to-consumer programs and other interactive initiatives. Total expenses incurred under this agreement are included in selling, general and administrative expenses in the accompanying Condensed Consolidated Statements of Operations and amounted to $0.1 million for each of the three months ended March 31, 2020 and 2019. No amounts were due to this related party at March 31, 2020 and December 31, 2019. The Company is party to an output agreement with Pantelion Films, LLC (“Pantelion”), a joint venture made up of several organizations, including Panamax Films, LLC (an entity owned by James M. McNamara) and Lions Gate Films, Inc. (“Lionsgate”), for the licensing of movie titles. Expenses incurred under this agreement are included in cost of revenues in the accompanying Condensed Consolidated Statements of Operations and amounted to $0.2 million and $0.0 million for three months ended March 31, 2020 and 2019, respectively. At March 31, 2020 and December 31, 2019, $2.2 million and $1.8 million, respectively, is included in programming rights payable in the accompanying Condensed Consolidated Balance Sheets related to this agreement.

Goodwill and Intangible Assets

Goodwill and Intangible Assets	3 Months Ended
	Mar. 31, 2020
Goodwill and Intangible Assets
Goodwill and Intangible Assets	Note 4. Goodwill and Intangible Assets Goodwill and intangible assets consist of the following as of March 31, 2020 and December 31, 2019 ( amounts in thousands ): March 31, December 31, 2020 2019 Broadcast license $ 41,356 $ 41,356 Goodwill 167,322 167,322 Other intangibles 30,684 32,587 Total intangible assets $ 239,362 $ 241,265 A summary of changes in the Company’s goodwill and other indefinite-lived intangible assets, on a net basis, for the three months ended March 31, 2020 is as follows (amounts in thousands) : Net Balance at Net Balance at December 31, 2019 Additions Impairment March 31, 2020 Broadcast license $ 41,356 $ — $ — $ 41,356 Goodwill 167,322 — — 167,322 Brands 15,986 — — 15,986 Other intangibles 700 — — 700 Total indefinite-lived intangibles $ 225,364 $ — $ — $ 225,364 A summary of the changes in the Company’s other amortizable intangible assets for the three months ended March 31, 2020 is as follows (amounts in thousands) : Net Balance at Net Balance at December 31, 2019 Additions Amortization March 31, 2020 Affiliate relationships $ 14,352 $ — $ (1,498) $ 12,854 Advertiser relationships 138 — (138) — Non-compete agreement 826 — (227) 599 Other intangibles 68 — (18) 50 Programming contracts 517 — (22) 495 Total finite-lived intangibles $ 15,901 $ — $ (1,903) $ 13,998 The aggregate amortization expense of the Company’s amortizable intangible assets was $1.9 million and $3.3 million for the three months ended March 31, 2020 and 2019, respectively. The weighted average remaining amortization period is 2.5 years at March 31, 2020. Future estimated amortization expense is as follows (amounts in thousands): Year Ending December 31, Amount Remainder of 2020 $ 4,865 2021 6,424 2022 1,766 2023 328 2024 and thereafter 615 Total $ 13,998 Due to the impacts of the COVID-19 pandemic, the Company assessed its goodwill and indefinite lived intangibles for potential indicators of impairment and performed additional qualitative analysis, including evaluation of financial trends and industry and market conditions. Based on the analysis it was concluded that the fair value of our goodwill and intangible assets was more likely than not in excess of the carrying value as of March 31, 2020. We are unable to predict longevity and severity of the COVID-19 pandemic and we will continue to evaluate the potential impact on our Business.

Equity Method Investments

Equity Method Investments	3 Months Ended
	Mar. 31, 2020
Equity Method Investments
Equity Method Investments	Note 5. Equity Method Investments The Company makes investments that support its underlying business strategy and enable it to enter new markets. The carrying values of the Company’s equity method investments are typically consistent with its ownership in the underlying net assets of the investees, with the exception of Canal 1 and Pantaya, as described in detail below. Certain of the Company’s equity investments are variable interest entities, for which the Company is not the primary beneficiary. On November 3, 2016, we acquired a 25% interest in Pantaya, a newly formed joint venture with Lionsgate, to launch a Spanish-language OTT movie service. The service launched on August 1, 2017. The investment is deemed a variable interest entity (“VIE”) that is accounted for under the equity method. During the three months ended March 31, 2020, we funded $1.5 million into Pantaya, bringing our total capital contributions to $10 million, equal to our funding obligation. We record the income or loss on investment on a one quarter lag. As of March 31, 2019, our applicable pro rata share of the inception-to-date losses exceeded our contractual funding commitment of $10 million. As such, our cumulative share of the losses is limited to $10.0 million and no additional losses were recorded following the three months ended March 31, 2019. For the three months ended March 31, 2020 and 2019, we recorded $0 million and $0.3 million, respectively, in loss on equity method investments in the accompanying Condensed Consolidated Statements of Operations. As of December 31, 2019, we were committed to provide future capital contributions to Pantaya. Accordingly, we presented the net balance recorded for our share of Pantaya’s losses in excess of the amount funded into Pantaya as a liability in the amount of $1.5 million in the accompanying Condensed Consolidated Balance Sheet as of December 31, 2019. During the three month period ended March 31, 2020, we satisfied our capital contribution obligation to Pantaya, and as a result, the balance recorded for our share of Pantaya’s losses in excess of the amount funded was $0, and accordingly, there was no liability presented in the accompanying Condensed Consolidated Balance Sheet as of March 31, 2020. At March 31, 2020 and December 31, 2019, we had a receivable balance from Pantaya of $3.0 million and $3.9 million, respectively, and is included in accounts receivable and other assets in the accompanying Condensed Consolidated Balance Sheets. On November 30, 2016, we, in partnership with Colombian content producers, Radio Television Interamericana S.A., Compania de Medios de Informacion S.A.S. and NTC Nacional de Television y Comunicaciones S.A., were awarded a ten year renewable television broadcast concession license for Canal 1 in Colombia. The partnership began operating Canal 1 on May 1, 2017. On February 7, 2018, Colombian regulatory authorities approved an increase in our ownership in the joint venture from 20% to 40%. In July 2019, the Colombian government enacted legislation resulting in the extension of the concession license for Canal 1 for an additional ten years for no additional consideration. The concession is now due to expire on April 30, 2037 and is renewable for an additional 20-year period. The joint venture is deemed a VIE that is accounted for under the equity method. As of March 31, 2020, we have funded $116.6 million in capital contributions to Canal 1. The Canal 1 joint venture losses-to-date have exceeded the capital contributions of the common equity partners and in accordance with equity method accounting, losses in excess of the common equity have been recorded against the next layer of the capital structure, in this case, preferred equity. The Company is currently the sole preferred equity holder in Canal 1 and therefore, the Company has recorded nearly 100% of the losses of the joint venture. We record the income or loss on investment on a one quarter lag. For the three months ended March 31, 2020 and 2019, we recorded $6.8 million and $7.0 million in loss on equity method investment in the accompanying Condensed Consolidated Statements of Operations, respectively. The net balance recorded in equity method investments related to the Canal 1 joint venture was $42.2 million and $44.2 million at March 31, 2020 and December 31, 2019, respectively, and is included in the accompanying Condensed Consolidated Balance Sheets. At March 31, 2020 and December 31, 2019, we had a receivable balance from Canal 1 of $2.2 million and $2.0 million, respectively, and is included in other assets in the accompanying Condensed Consolidated Balance Sheets. On April 28, 2017, we acquired a 25.5% interest in REMEZCLA, a digital media company targeting English speaking and bilingual U.S. Hispanic millennials through innovative content, for $5.0 million. At March 31, 2020, given the negative impacts caused by the COVID-19 pandemic and the associated liquidity and going-concern uncertainties related to REMEZCLA, the Company determined that the investment in REMEZCLA was other-than-temporarily impaired. As a result, we have recorded a non-cash impairment charge of $5.5 million reflecting the write-off of the full carrying amount of our investment. This write-off was recorded in impairment of equity method investment in the Condensed Consolidated Statements of Operations. Due to the above mentioned write-off of the investment carrying value, we did not record any share of the loss from the investment for the three months ended March 31, 2020. For the three months ended March 31, 2019, we recorded $0.0 million in loss on equity method investments in the Condensed Consolidated Statements of Operations. The net balance recorded in equity method investments related to REMEZCLA was $0 million and $5.5 million at March 31, 2020 and December 31, 2019, respectively, and is included in the accompanying Condensed Consolidated Balance Sheets. For more information, see Note 9, "Fair value measurements". On November 26, 2018, Snap Media acquired a 50% interest in Snap JV, LLC (“Snap JV”) (we own 75% of Snap Media), a newly formed joint venture with Mar Vista Entertainment, LLC (“MarVista”), to co-produce original movies and series. The investment is deemed a VIE that is accounted for under the equity method. As of March 31, 2020, we have funded $0.4 million into Snap JV. We record the income or loss on investment on a one quarter lag. For the three months ended March 31, 2020 and 2019, we recorded $0.2 million and $0 million, respectively, in loss on equity method investments in the accompanying Condensed Consolidated Statements of Operations. The net balance recorded in equity method investments related to Snap JV was $0.1 million and $0.0 million at March 31, 2020 and December 31, 2019, respectively, and is included in the accompanying Condensed Consolidated Balance Sheets. The Company records the income or loss on investments on a one quarter lag. Summary unaudited financial data for our equity investments in the aggregate as of and for the three months ended December 31, 2019 are included below (amounts in thousands): Total Equity Investees Current assets $ Non-current assets $ Current liabilities $ Non-current liabilities $ Redeemable stock and non-controlling interests $ Net revenue $ Operating loss $ Net loss $

Income Taxes

Income Taxes	3 Months Ended
	Mar. 31, 2020
Income Taxes
Income Taxes	Note 6. Income Taxes The 2017 Tax Cuts and Jobs Act ("Tax Act") was signed into law on December 22, 2017. The Tax Act revised the U.S. corporate income tax by, among other things, lowering the statutory corporate tax rate from 35% to 21% in 2018. The Company generates income in higher tax rate foreign locations, which result in foreign tax credits. The lower federal corporate tax rate reduces the likelihood or our utilization of foreign tax credits created by income taxes paid in Puerto Rico and Latin America, resulting in a valuation allowance. Additionally, the Company evaluated the potential interest limitation established under the Tax Act and determined that no limitation would affect the 2020 provision for income taxes. The Coronavirus Aid, Relief and Economic Security Act ("CARES Act") was signed into law on March 27, 2020. The CARES Act includes provisions relating to refundable payroll tax credits, deferment of the employer portion of certain payroll taxes, net operating loss carryback periods, alternative minimum tax credit refunds, modifications to the net interest deduction limitations and technical corrections to tax depreciation methods for qualified improvement property. The Company is currently evaluating the impact the CARES Act may have on our accompanying Condensed Consolidated Financial Statements. For the three months ended March 31, 2020 and 2019, our income tax expense has been computed utilizing the estimated annual effective rates of 38.6% and 32.7%, respectively. The difference between the annual effective rate of 38.6% and the statutory Federal income tax rate of 21% in the three month period ended March 31, 2020, is primarily due to the impact of the Tax Act , which impacted the valuation allowance on foreign tax credits, and limitations on the deductibility of executive compensation under Internal Revenue Code Section 162(m). The annual effective tax rate related to income generated in the U.S. is 27.1%. Due to the reduced U.S. tax rate, the Company determined that a portion of its foreign income, which is taxed at a higher rate, will result in the generation of excess foreign tax credits that will not be available to offset U.S. income tax. As a result, 11.4% of the annual effective rate relates to the required valuation allowance against the excess foreign tax credits, bringing the annual effective tax rate for the three month period ended March 31, 2020 to 38.6%. The difference between the annual effective rate of 32.7% and the statutory Federal income tax rate of 21% in the three month period ended March 31, 2019, is primarily due to the impact of the Tax Act and the related impact to the valuation allowance on foreign tax credits. Income tax benefit was $1.7 million for the three months ended March 31, 2020. Income tax expense was $2.6 million for the three months ended March 31, 2019.

Long-Term Debt

Long-Term Debt	3 Months Ended
	Mar. 31, 2020
Long-Term Debt
Long-Term Debt	Note 7. Long-Term Debt Long-term debt as of March 31, 2020 and December 31, 2019 consists of the following (amounts in thousands) : March 31, 2020 December 31, 2019 Senior Notes due February 2024 $ 204,153 $ 204,540 Less: Current portion 2,134 2,134 $ 202,019 $ 202,406 On February 14, 2017, the Borrowers amended the Term Loan Facility (the “Second Amended Term Loan Facility”). The Second Amended Term Loan Facility provides for a $213.3 million senior secured term loan B facility, which matures on February 14, 2024, and bears interest at the Borrowers’ option of either (i) London Inter-bank Offered Rate (“LIBOR”) plus a margin of 3.50% or (ii) an Alternate Base Rate (“ABR”) plus a margin of 2.50%. The Second Amended Term Loan Facility, among other terms, provides for an uncommitted incremental loan option (the “Incremental Facility”) allowing for increases for borrowings under the Second Amended Term Loan Facility and borrowing of new tranches of term loans, up to an aggregate principal amount equal to (i) $65.0 million plus (ii) an additional amount (the “Incremental Facility Increase”) provided, that after giving effect to such Incremental Facility Increase (as well as any other additional term loans), on a pro forma basis, the First Lien Net Leverage Ratio (as defined in the Second Amended Term Loan Facility) for the most recent four consecutive fiscal quarters does not exceed 4.00:1.00 and the Total Net Leverage Ratio (as defined in the Second Amended Term Loan Facility) for the most recent four consecutive fiscal quarters does not exceed 6.00:1.00. The First Lien Net Leverage Ratio and the Total Net Leverage Ratio each cap the cash netted against debt up to a maximum amount of $60.0 million. Additionally, the Second Amended Term Loan Facility also provides for an uncommitted incremental revolving loan option (the “Incremental Revolving Facility”) allowing for an aggregate principal amount of up to $30.0 million, which will be secured on a pari passu basis by the collateral securing the Second Amended Term Loan Facility. The Second Amended Term Loan Facility requires the Borrowers to make amortization payments (in quarterly installments, which commenced on March 31, 2017) equal to 1.00% per annum with any remaining amount due at final maturity on February 14, 2024. Voluntary prepayments are permitted, in whole or in part, subject to certain minimum prepayment requirements. In addition, pursuant to the terms of the Second Amended Term Loan Facility, within 90 days after the end of each fiscal year, the Borrowers are required to make a prepayment of the loan principal in an amount equal to a percentage of the excess cash flow of the most recently completed fiscal year. Excess cash flow is generally defined as net income plus depreciation and amortization expense, less mandatory prepayments of the term loan, income taxes and capital expenditures, and adjusted for the change in working capital. The percentage of the excess cash flow used to determine the amount of the prepayment of the loan declines from 50% to 25%, and again to 0% at lower leverage ratios. In accordance with the terms of the Second Amended Term Loan Facility, our net leverage ratio was 2.2x at December 31, 2019, resulting in an excess cash flow percentage of 0% and therefore, no excess cash flow payment was due in March 2020. As of March 31, 2020, the original issue discount balance was $1.3 million, net of accumulated amortization of $2.2 million and was recorded as a reduction to the principal amount of the Second Amended Term Loan Facility outstanding as presented on the accompanying Condensed Consolidated Balance Sheets and will be amortized as a component of interest expense over the term of the Second Amended Term Loan Facility. In accordance with ASU 2015-15 Interest—Imputation of Interest (Subtopic 835-30) Presentation and Subsequent Measurement of Debt Issuance Costs Associated with Line of Credit Arrangements, deferred financing fees of $1.0 million, net of accumulated amortization of $2.3 million, are presented as a reduction to the Second Amended Term Loan Facility outstanding at March 31, 2020 as presented on the accompanying Condensed Consolidated Balance Sheets, and will be amortized as a component of interest expense over the term of the Second Amended Term Loan Facility. The carrying value of the long-term debt approximates fair value at March 31, 2020 and December 31, 2019, and was derived from quoted market prices by independent dealers (Level 2 in the fair value hierarchy under ASC 820, Fair Value Measurements and Disclosures ). The following are the maturities of our long-term debt as of March 31, 2020 ( amounts in thousands ): Year Ending December 31, Amount Remainder of 2020 $ 1,600 2021 2,134 2022 2,134 2023 2,134 2024 198,411 Total $ 206,413

Derivative Instruments

Derivative Instruments	3 Months Ended
	Mar. 31, 2020
Derivative Instruments
Derivative Instruments	Note 8. Derivative Instruments We use derivative financial instruments in the management of our interest rate exposure. Our strategy is to eliminate the cash flow risk on a portion of the variable rate debt caused by changes in the designated benchmark interest rate, LIBOR. The Company does not enter into or hold derivative financial instruments for speculative trading purposes. On May 4, 2017, we entered into two identical pay-fixed, receive-variable, interest rate swaps with two different counterparties, to hedge the variability in the LIBOR interest payments on an aggregate notional value of $100.0 million of our Second Amended Term Loan Facility beginning May 31, 2017, through the expiration of the swaps on March 31, 2022. At inception, these interest rate swaps were designated as cash flow hedges of interest rate risk, and as such, the unrealized changes in fair value are recorded in accumulated other comprehensive income (“AOCI”). The change in the fair value of the interest rate swap agreements for the three months ended March 31, 2020 and 2019, resulted in an unrealized loss of $2.4 million and $0.9 million, respectively, and was included in AOCI net of taxes. The Company paid $0.1 million of net interest on the settlement of the interest rate swap agreements for the three months ended March 31, 2020. The Company received $0.1 million of net interest on the settlement of the interest rate swap agreements for the three months ended March 31, 2019. As of March 31, 2020, the Company estimates that none of the unrealized loss included in AOCI related to these interest rate swap agreements will be realized and reported in operations within the next twelve months. No gain or loss was recorded in operations for the three months ended March 31, 2020 and 2019, respectively. The aggregate fair value of the interest rate swaps was $3.2 million and $0.8 million as of March 31, 2020 and December 31, 2019, respectively, and was recorded in other long-term liabilities on the accompanying Condensed Consolidated Balance Sheets. By entering into derivative instrument contracts, we are exposed to counterparty credit risk. Counterparty credit risk is the failure of the counterparty to perform under the terms of the derivative contract. When the fair value of a derivative contract is in an asset position, the counterparty has a liability to us, which creates credit risk for us. We attempt to minimize this risk by selecting counterparties with investment grade credit ratings and regularly monitoring our market position with each counterparty. Our derivative instruments do not contain any credit‑risk related contingent features.

Fair Value Measurements

Fair Value Measurements	3 Months Ended
	Mar. 31, 2020
Fair Value Measurements
Fair Value Measurements	Note 9. Fair Value Measurements Our derivatives are valued using a discounted cash flow analysis that incorporates observable market parameters, such as interest rate yield curves, classified as Level 2 within the valuation hierarchy. Derivative valuations incorporate credit risk adjustments that are necessary to reflect the probability of default by us or the counterparty. The following table presents our assets and liabilities measured at fair value on a recurring basis and the levels of inputs used to measure fair value, which include derivatives designated as cash flow hedging instruments, as well as their location on our accompanying Condensed Consolidated Balance Sheets as of March 31, 2020 and December 31, 2019 ( amounts in thousands ): Estimated Fair Value March 31, 2020 Category Balance Sheet Location Level 1 Level 2 Level 3 Total Cash flow hedges: Interest rate swap Other long-term liabilities — $ 3,231 — $ 3,231 Estimated Fair Value December 31, 2019 Category Balance Sheet Location Level 1 Level 2 Level 3 Total Cash flow hedges: Interest rate swap Other long-term liabilities — $ 804 — $ 804 Certain non-financial assets and liabilities are measured at fair value on a nonrecurring basis. These assets and liabilities are not measured at fair value on an ongoing basis but are subject to periodic impairment tests. These items primarily include long-lived assets, goodwill and other intangible assets. During the three months ended March 31, 2020, the Company measured its equity method investment in REMEZCLA and recorded an other-than-temporary non-cash impairment charge using Level 3 inputs. Fair value was estimated using a market approach that reflected estimated revenue multiples, adjusted for liquidity and going-concern uncertainty. For more information, see Note 5, “Equity Method Investments”. There were no other nonfinancial assets or liabilities measured at fair value on a nonrecurring basis during the three months ended March 31, 2020. The carrying amounts of cash, accounts receivable and accounts payable approximate fair value because of the short maturity of these items. The carrying value of the long-term debt approximates fair value because this instrument bears interest at a variable rate, is pre-payable, and is at terms currently available to the Company.

Stockholders' Equity

Stockholders' Equity	3 Months Ended
	Mar. 31, 2020
Stockholders' Equity
Stockholders' Equity	Note 10. Stockholders’ Equity Capital stock As of March 31, 2020, the Company had 20,184,412 shares of Class A common stock, and 19,720,381 shares of Class B common stock, issued and outstanding. On August 15, 2018, the Company announced that its Board of Directors authorized the repurchase of up to $25.0 million of the Company’s Class A common stock on an opportunistic basis. As of March 31, 2020, no repurchases have been made. Equity incentive plans Effective May 16, 2016, the stockholders of all classes of capital stock of the Company approved at the annual stockholder meeting the Hemisphere Media Group, Inc. Amended and Restated 2013 Equity Incentive Plan (the “Equity Incentive Plan”) to increase the number of shares of Class A common stock that may be delivered under the Equity Incentive Plan to an aggregate of 7.2 million shares of our Class A common stock. At March 31, 2020, 1.2 million shares remained available for issuance of stock options or other stock-based awards under our Equity Incentive Plan (including shares of restricted Class A common stock surrendered to the Company in payment of taxes required to be withheld in respect of vested shares of restricted Class A common stock, which are available for re-issuance). The expiration date of the Equity Incentive Plan, on and after which date no awards may be granted, is April 4, 2023. The Company’s Board of Directors, or a committee thereof, administers the Equity Incentive Plan and has the sole and plenary authority to, among other things: (i) designate participants; (ii) determine the type, size, and terms and conditions of awards to be granted; and (iii) determine the method by which an award may be settled, exercised, canceled, forfeited or suspended. The Company’s time-based restricted stock awards and option awards generally vest in three equal annual installments beginning on the first anniversary of the grant date, subject to the grantee’s continued employment or service with the Company. The Company’s event-based restricted stock awards granted to certain members of our Board vest on the day preceding the Company’s annual stockholder meeting. Stock-based compensation Stock-based compensation expense relates to both stock options and restricted stock. Stock-based compensation expense was $1.3 million and $0.9 million for the three months ended March 31, 2020 and 2019, respectively. At March 31, 2020, there was $3.7 million of total unrecognized compensation cost related to unvested stock options, which is expected to be recognized over a weighted-average period of 2.0 years. At March 31, 2020, there was $4.4 million of total unrecognized compensation cost related to unvested restricted stock, which is expected to be recognized over a weighted-average period of 1.9 years. Stock options The fair value of stock options granted is estimated at the date of grant using the Black-Scholes pricing model for time-based options and the Monte Carlo simulation model for event-based options. The expected term of options granted is derived using the simplified method under ASC 718-10-S99-1/SEC Topic 14.D for “plain vanilla” options and the Monte Carlo simulation for event-based options. Expected volatility is based on the historical volatility of the Company’s competitors given its lack of trading history. The risk-free interest rate is based on the U.S. Treasury yield for a period consistent with the expected term of the option in effect at the time of the grant. The Company has estimated forfeitures of 1.5%, as the awards are granted to management for which the Company expects lower turnover, and has assumed no dividend yield, as dividends have never been paid to stock or option holders and will not be paid for the foreseeable future. Three Months Ended Year Ended Black-Scholes Option Valuation Assumptions March 31, 2020 December 31, 2019 Risk-free interest rate — 1.6 % Dividend yield — — Volatility — 40.3 % Weighted-average expected term (years) — 6.0 The following table summarizes stock option activity for the three months ended March 31, 2020 (shares and intrinsic value in thousands) : Weighted-average Weighted-average remaining contractual Aggregate intrinsic Number of shares exercise price term value Outstanding at December 31, 2019 3,855 $ 11.72 6.1 $ 12,101 Granted — — — — Exercised — — — — Forfeited — — — — Expired — — — — Outstanding at March 31, 2020 3,855 $ 11.72 5.8 $ — Vested at March 31, 2020 2,752 $ 11.57 4.4 $ — Exercisable at March 31, 2020 2,752 $ 11.57 4.4 $ — There were no options granted during the three months ended March 31, 2020. Restricted stock Certain employees and directors have been awarded restricted stock under the Equity Incentive Plan. The time-based restricted stock grants vest primarily over a period of three years. The fair value and expected term of event-based restricted stock grants is estimated at the grant date using the Monte Carlo simulation model. The following table summarizes restricted share activity for the three months ended March 31, 2020 ( shares in thousands ): Weighted-average Number of shares grant date fair value Outstanding at December 31, 2019 592 $ 12.32 Granted — — Vested — — Forfeited — — Outstanding at March 31, 2020 $ There were no restricted stock grants during the three months ended March 31, 2020.

Contingencies

Contingencies	3 Months Ended
	Mar. 31, 2020
Contingencies
Contingencies	Note 11. Contingencies We are involved in various legal actions, generally related to our operations. Management believes, based on advice from legal counsel, that the outcomes of such legal actions will not adversely affect our financial condition.

Leases

Leases	3 Months Ended
	Mar. 31, 2020
Leases
Leases	Note 12. Leases The Company is a lessee under leases for land, office space and equipment with third parties, all of which are accounted for as operating leases. These leases generally have an initial term of one to seven years and provide for fixed monthly payments. Some of these leases provide for future rent escalations and renewal options and certain leases also obligate us to pay the cost of maintenance, insurance and property taxes. Total lease cost was $0.2 million for each of the three months ended March 31, 2020 and 2019. Leases with a term of one year or less are classified as short-term and are not recognized in the Condensed Consolidated Balance Sheets. A summary of the classification of operating leases on our Condensed Consolidated Balance Sheets as of March 31, 2020 and December 31, 2019 ( amounts in thousands ): March 31, December 31, 2020 2019 Operating lease right-of-use assets $ 1,701 $ 1,833 Operating lease liability, current (Other accrued expenses) 540 538 Operating lease liability, non-current (Other long-term liabilities) $ 1,453 $ 1,574 Components of lease cost reflected in our Condensed Consolidated Statement of Operations for the three months ended March 31, 2020 and 2019 ( amounts in thousands ): March 31, 2020 March 31, 2019 Operating lease cost $ 168 $ 155 Short-term lease cost 73 49 Total lease cost $ 241 $ 204 A summary of weighted-average remaining lease term and weighted-average discount rate as of March 31, 2020: Weighted-average remaining lease term 4.0 years Weighted average discount rate 6.9 % Supplemental cash flow and other non-cash information for the three months ended March 31, 2020 and 2019 ( amounts in thousands ): March 31, March 31, 2020 2019 Operating cash flows from operating leases $ 154 $ 139 Operating lease right-of-use assets obtained in exchange for new operating lease liabilities — — Future annual minimum lease commitments as of March 31, 2020 were as follows ( amounts in thousands ): March 31, 2020 Remainder of 2020 $ 520 2021 591 2022 473 2023 387 2024 328 Total minimum payments $ 2,299 Less: amount representing interest (306) Lease liability $ 1,993

Commitments

Commitments	3 Months Ended
	Mar. 31, 2020
Commitments
Commitments	Note 13. Commitments The Company has other commitments in addition to the various operating leases included in Note 12, “Leases ” , primarily programming. Future minimum payments as of March 31, 2020, are as follows (amounts in thousands) : March 31, 2020 Remainder of 2020 $ 10,436 2021 4,771 2022 1,448 2023 375 2024 and thereafter 232 Total $ 17,262

Nature of Business (Policies)

Nature of Business (Policies)	3 Months Ended
	Mar. 31, 2020
Nature of Business
Reclassification:	Reclassification: Certain prior year amounts on the presented Condensed Consolidated Statement of Cash Flows have been reclassified to conform to current year presentation.
Basis of presentation:	Basis of presentation: The accompanying Condensed Consolidated Financial Statements for Hemisphere and its subsidiaries have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, certain information and note disclosures normally included in annual financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to those rules and regulations, although we believe that the disclosures made are adequate to make the information not misleading. In our opinion, all adjustments (consisting only of normal recurring adjustments) considered necessary for a fair statement have been included. Our financial condition as of, and operating results, for the three months ended March 31, 2020 are not necessarily indicative of the financial condition or results that may be expected for any future interim period or for the year ending December 31, 2020. These Condensed Consolidated Financial Statements should be read in conjunction with the audited Consolidated Financial Statements and Notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2019.
Net loss per common share:	Net loss per common share: Basic loss per share is computed by dividing loss attributable to Hemisphere Media Group, Inc. common stockholders by the number of weighted-average outstanding shares of common stock. Diluted loss per share reflects the effect of the assumed exercise of stock options and vesting of restricted shares only in the periods in which such effect would have been dilutive. The following table sets forth the computation of the common shares outstanding used in determining basic and diluted loss per share attributable to Hemisphere Media Group, Inc. ( amounts in thousands, except per share amounts): Three Months Ended March 31, 2020 2019 Numerator for loss per common share calculation: Net loss attributable to Hemisphere Media Group, Inc. $ (9,428) $ (1,686) Denominator for loss per common share calculation: Weighted-average common shares, basic 39,313 39,031 Effect of dilutive securities Stock options and restricted stock — — Weighted-average common shares, diluted 39,313 39,031 Loss per share attributable to Hemisphere Media Group, Inc. Basic $ (0.24) $ (0.04) Diluted $ (0.24) $ (0.04) We apply the treasury stock method to measure the dilutive effect of its outstanding stock options and restricted stock awards and include the respective common share equivalents in the denominator of our diluted loss per common share calculation. Per the Accounting Standards Codification (“ASC”) 260 accounting guidance, under the treasury stock method, the incremental shares (difference between the number of shares assumed issued and the number of shares assumed purchased) shall be included in the denominator of the diluted loss per share computation (ASC 260-10-45-23). The assumed exercise only occurs when the options are “In the Money” (exercise price is lower than the average market price for the period). If the options are “Out of the Money” (exercise price is higher than the average market price for the period), the exercise is not assumed since the result would be anti-dilutive. Potentially dilutive securities representing 1.6 million and 1.1 million shares of common stock for the three months ended March 31, 2020 and 2019, respectively, were excluded from the computation of diluted loss per common share for this period because their effect would have been anti-dilutive. The net loss per share attributable to Hemisphere Media Group, Inc. amounts are the same for our Class A and Class B common stock because the holders of each class are legally entitled to equal per share distributions whether through dividends or in liquidation. As a result of the loss from operations for each of the three months ended March 31, 2020 and 2019, 0.5 million outstanding awards were not included in the computation of diluted loss per share because their effect was anti-dilutive.
Risks and uncertainties:	Risks and Uncertainties : In March 2020, the World Health Organization characterized the novel coronavirus ("COVID-19") a pandemic, and the President of the United States declared the COVID-19 outbreak a national emergency. The rapid spread of the pandemic and the continuously evolving responses to combat it have had an increasingly negative impact on the global economy. Even during these unprecedented times, we have continued the production of news and certain programming, as our viewers rely on our Networks to keep them informed. The impact of COVID-19 and measures to prevent its spread are affecting our businesses in a number of ways. Beginning in March 2020, the Company experienced adverse advertising revenue impacts. Operationally, all non-production and programming personnel are working remotely, and the Company has restricted business travel. If significant portions of our workforce, including key personnel, are unable to work effectively because of illness, government actions or other restrictions in connection with the COVID-19 pandemic, the impact of the pandemic on our businesses could be exacerbated. The Company has evaluated and continues to evaluate the potential impact of the COVID-19 pandemic on its Condensed Consolidated Financial Statements, including the impairment of goodwill and indefinite-lived intangible assets and the fair value of equity method investments. The ultimate impact of the COVID-19 pandemic, including the extent of any adverse impact on our business, results of operations and financial condition, will depend on, among other things, the duration and spread of the pandemic, the impact of governmental regulations that have been, and may continue to be, imposed in response to the pandemic, the effectiveness of actions taken to contain or mitigate the outbreak, and global economic conditions. Although the effect of the pandemic may not be fully reflected in the Company’s business until future periods, the Company believes that the adverse impact of the COVID-19 pandemic could be material to its results of operations. The Company believes it has substantial liquidity to satisfy its financial commitments, including its long-term debt.
Use of estimates:	Use of estimates: In preparing these financial statements, management had to make estimates and assumptions that affected the reported amounts of assets and liabilities and the disclosures of contingent assets and liabilities as of the balance sheet dates, and the reported revenues and expenses for the three months ended March 31, 2020 and 2019. Such estimates are based on historical experience and other assumptions that are considered appropriate in the circumstances. However, actual results could differ from those estimates.
Recently adopted Accounting Standards and Accounting guidance not yet adopted:	Recently adopted Accounting Standards: On January 1, 2020, we adopted Financial Accounting Standards Board (“the FASB”) ASU 2019- 02—Entertainment-Films-Other Assets-Film Costs (Subtopic 926-20): Improvements to Accounting for Costs of Films. The updated guidance aligns the accounting for production costs of episodic television series with those of films, allowing for costs to be capitalized in excess of amounts of revenue contracted for each episode. The updated guidance also updates certain presentation and disclosure requirements for capitalized film and television costs, and requires impairment testing to be performed at a group level for capitalized film and television costs when the content is predominately monetized with other owned or licensed content. The adoption of this ASU did not have an impact on our accompanying Condensed Consolidated Financial Statements as of and for the three months ended March 31, 2020. Accounting guidance not yet adopted: In January 2017, the FASB issued ASU Update 2017 04—Intangibles—Goodwill and Other (Topic 350) Simplifying the Test for Goodwill Impairment . The amendments in this Update simplify how an entity is required to test goodwill for impairment by eliminating step 2 from the goodwill impairment test. In computing the implied fair value of goodwill under step 2, an entity had to perform procedures to determine the fair value at the impairment testing date of its assets and liabilities following the procedure that would be required in determining the fair value of assets acquired and liabilities assumed in a business combination. Under amendments in this Update, an entity would perform its annual, or interim, testing by comparing the fair value of a reporting unit with its carrying amount. An entity would recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value, not to exceed the total amount of goodwill allocated to the reporting unit. The amendments in this Update are effective for Small Reporting Companies with fiscal years beginning after December 15, 2022, and interim periods within those annual periods. Early adoption is permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. We are currently evaluating the impact, if any, that the updated accounting guidance will have on our accompanying Condensed Consolidated Financial Statements. In December 2019, the FASB issued ASU 2019-12—Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes. The updated guidance simplifies the accounting for income taxes in several areas by removing certain exceptions and by clarifying and amending existing guidance applicable to accounting for income taxes. The updated guidance is effective for the fiscal years beginning after December 15, 2020, and interim periods within those fiscal periods and early adoption is permitted. We are currently in the initial stages of our assessment in determining the impact, if any, that the updated accounting guidance will have on our accompanying Condensed Consolidated Financial Statements.

Nature of business (Tables)

Nature of business (Tables)	3 Months Ended
	Mar. 31, 2020
Nature of Business
Schedule of the computation of the common shares outstanding used in determining basic and diluted loss per share	The following table sets forth the computation of the common shares outstanding used in determining basic and diluted loss per share attributable to Hemisphere Media Group, Inc. ( amounts in thousands, except per share amounts): Three Months Ended March 31, 2020 2019 Numerator for loss per common share calculation: Net loss attributable to Hemisphere Media Group, Inc. $ (9,428) $ (1,686) Denominator for loss per common share calculation: Weighted-average common shares, basic 39,313 39,031 Effect of dilutive securities Stock options and restricted stock — — Weighted-average common shares, diluted 39,313 39,031 Loss per share attributable to Hemisphere Media Group, Inc. Basic $ (0.24) $ (0.04) Diluted $ (0.24) $ (0.04)

Revenue Recognition (Tables)

Revenue Recognition (Tables)	3 Months Ended
	Mar. 31, 2020
Revenue Recognition
Schedule of disaggregation of revenue	The following table presents the revenues disaggregated by revenue source (amounts in thousands): Three months ended March 31, Revenues by type 2020 2019 Affiliate revenue $ 19,833 $ 21,349 Advertising revenue 11,816 13,146 Other revenue 760 615 Total revenue $ 32,409 $ 35,110

Goodwill and Intangible Assets

Goodwill and Intangible Assets (Tables)	3 Months Ended
	Mar. 31, 2020
Goodwill and Intangible Assets
Schedule of goodwill and intangible assets	Goodwill and intangible assets consist of the following as of March 31, 2020 and December 31, 2019 ( amounts in thousands ): March 31, December 31, 2020 2019 Broadcast license $ 41,356 $ 41,356 Goodwill 167,322 167,322 Other intangibles 30,684 32,587 Total intangible assets $ 239,362 $ 241,265
Summary of the changes in goodwill and other indefinite-lived intangible assets	A summary of changes in the Company’s goodwill and other indefinite-lived intangible assets, on a net basis, for the three months ended March 31, 2020 is as follows (amounts in thousands) : Net Balance at Net Balance at December 31, 2019 Additions Impairment March 31, 2020 Broadcast license $ 41,356 $ — $ — $ 41,356 Goodwill 167,322 — — 167,322 Brands 15,986 — — 15,986 Other intangibles 700 — — 700 Total indefinite-lived intangibles $ 225,364 $ — $ — $ 225,364
Summary of the changes in other amortizable intangible assets	A summary of the changes in the Company’s other amortizable intangible assets for the three months ended March 31, 2020 is as follows (amounts in thousands) : Net Balance at Net Balance at December 31, 2019 Additions Amortization March 31, 2020 Affiliate relationships $ 14,352 $ — $ (1,498) $ 12,854 Advertiser relationships 138 — (138) — Non-compete agreement 826 — (227) 599 Other intangibles 68 — (18) 50 Programming contracts 517 — (22) 495 Total finite-lived intangibles $ 15,901 $ — $ (1,903) $ 13,998
Schedule of future estimated amortization expense	Future estimated amortization expense is as follows (amounts in thousands): Year Ending December 31, Amount Remainder of 2020 $ 4,865 2021 6,424 2022 1,766 2023 328 2024 and thereafter 615 Total $ 13,998

Equity Method Investments (Tabl

Equity Method Investments (Tables)	3 Months Ended
	Mar. 31, 2020
Equity Method Investments
Schedule of financial data of equity method investments	The Company records the income or loss on investments on a one quarter lag. Summary unaudited financial data for our equity investments in the aggregate as of and for the three months ended December 31, 2019 are included below (amounts in thousands): Total Equity Investees Current assets $ Non-current assets $ Current liabilities $ Non-current liabilities $ Redeemable stock and non-controlling interests $ Net revenue $ Operating loss $ Net loss $

Long-Term Debt (Tables)

Long-Term Debt (Tables)	3 Months Ended
	Mar. 31, 2020
Long-Term Debt
Schedule of long-term debt	Long-term debt as of March 31, 2020 and December 31, 2019 consists of the following (amounts in thousands) : March 31, 2020 December 31, 2019 Senior Notes due February 2024 $ 204,153 $ 204,540 Less: Current portion 2,134 2,134 $ 202,019 $ 202,406
Schedule of maturities of long-term debt	The following are the maturities of our long-term debt as of March 31, 2020 ( amounts in thousands ): Year Ending December 31, Amount Remainder of 2020 $ 1,600 2021 2,134 2022 2,134 2023 2,134 2024 198,411 Total $ 206,413

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	3 Months Ended
	Mar. 31, 2020
Fair Value Measurements
Schedule of assets and liabilities that are measured at fair value on a recurring basis	The following table presents our assets and liabilities measured at fair value on a recurring basis and the levels of inputs used to measure fair value, which include derivatives designated as cash flow hedging instruments, as well as their location on our accompanying Condensed Consolidated Balance Sheets as of March 31, 2020 and December 31, 2019 ( amounts in thousands ): Estimated Fair Value March 31, 2020 Category Balance Sheet Location Level 1 Level 2 Level 3 Total Cash flow hedges: Interest rate swap Other long-term liabilities — $ 3,231 — $ 3,231 Estimated Fair Value December 31, 2019 Category Balance Sheet Location Level 1 Level 2 Level 3 Total Cash flow hedges: Interest rate swap Other long-term liabilities — $ 804 — $ 804

Stockholders' Equity (Tables)

Stockholders' Equity (Tables)	3 Months Ended
	Mar. 31, 2020
Stockholders' Equity
Summary of stock option activity	The following table summarizes stock option activity for the three months ended March 31, 2020 (shares and intrinsic value in thousands) : Weighted-average Weighted-average remaining contractual Aggregate intrinsic Number of shares exercise price term value Outstanding at December 31, 2019 3,855 $ 11.72 6.1 $ 12,101 Granted — — — — Exercised — — — — Forfeited — — — — Expired — — — — Outstanding at March 31, 2020 3,855 $ 11.72 5.8 $ — Vested at March 31, 2020 2,752 $ 11.57 4.4 $ — Exercisable at March 31, 2020 2,752 $ 11.57 4.4 $ —
Summary of restricted share activity	The following table summarizes restricted share activity for the three months ended March 31, 2020 ( shares in thousands ): Weighted-average Number of shares grant date fair value Outstanding at December 31, 2019 592 $ 12.32 Granted — — Vested — — Forfeited — — Outstanding at March 31, 2020 $
Time Based Stock Option | Black Scholes Pricing Model
Stockholders' Equity
Schedule of valuation assumptions	Three Months Ended Year Ended Black-Scholes Option Valuation Assumptions March 31, 2020 December 31, 2019 Risk-free interest rate — 1.6 % Dividend yield — — Volatility — 40.3 % Weighted-average expected term (years) — 6.0

Leases (Tables)

Leases (Tables)	3 Months Ended
	Mar. 31, 2020
Leases
Summary of the classification of operating leases	A summary of the classification of operating leases on our Condensed Consolidated Balance Sheets as of March 31, 2020 and December 31, 2019 ( amounts in thousands ): March 31, December 31, 2020 2019 Operating lease right-of-use assets $ 1,701 $ 1,833 Operating lease liability, current (Other accrued expenses) 540 538 Operating lease liability, non-current (Other long-term liabilities) $ 1,453 $ 1,574
Schedule of components of lease cost	Components of lease cost reflected in our Condensed Consolidated Statement of Operations for the three months ended March 31, 2020 and 2019 ( amounts in thousands ): March 31, 2020 March 31, 2019 Operating lease cost $ 168 $ 155 Short-term lease cost 73 49 Total lease cost $ 241 $ 204
Schedule of lease term and discount rate	A summary of weighted-average remaining lease term and weighted-average discount rate as of March 31, 2020: Weighted-average remaining lease term 4.0 years Weighted average discount rate 6.9 %
Schedule of supplemental cash flow and other non-cash information	Supplemental cash flow and other non-cash information for the three months ended March 31, 2020 and 2019 ( amounts in thousands ): March 31, March 31, 2020 2019 Operating cash flows from operating leases $ 154 $ 139 Operating lease right-of-use assets obtained in exchange for new operating lease liabilities — —
Schedule of Future annual minimum lease commitments	Future annual minimum lease commitments as of March 31, 2020 were as follows ( amounts in thousands ): March 31, 2020 Remainder of 2020 $ 520 2021 591 2022 473 2023 387 2024 328 Total minimum payments $ 2,299 Less: amount representing interest (306) Lease liability $ 1,993

Commitments (Tables)

Commitments (Tables)	3 Months Ended
	Mar. 31, 2020
Commitments
Future minimum payments for other commitments, primarily programming	Future minimum payments as of March 31, 2020, are as follows (amounts in thousands) : March 31, 2020 Remainder of 2020 $ 10,436 2021 4,771 2022 1,448 2023 375 2024 and thereafter 232 Total $ 17,262

Nature of Business (Details)

Nature of Business (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Numerator for loss per common share calculation:
Net loss attributable to Hemisphere Media Group, Inc.	$ (9,428)	$ (1,686)
Denominator for loss per common share calculation:
Weighted-average common shares, basic	39,313	39,031
Effect of dilutive securities
Weighted-average common shares, diluted	39,313	39,031
Loss per share attributable to Hemisphere Media Group, Inc.
Basic (in dollars per share)	$ (0.24)	$ (0.04)
Diluted (in dollars per share)	$ (0.24)	$ (0.04)
Shares excluded from the computation of diluted loss per common share	1,600	1,100
Outstanding awards excluded from computation of diluted loss per share	500	500
Snap Media
Nature of business
Ownership Percentage	75.00%

Revenue Recognition (Details)

Revenue Recognition (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Revenues
Total revenue	$ 32,409	$ 35,110
Affiliate revenue
Revenues
Total revenue	$ 19,833	21,349
Affiliate revenue | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-03-31
Revenues
Revenue, remaining performance obligation, expected timing of satisfaction, period	60 days
Advertising revenue
Revenues
Total revenue	$ 11,816	13,146
Advertising revenue | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-03-31
Revenues
Revenue, remaining performance obligation, expected timing of satisfaction, period	30 days
Other revenue
Revenues
Total revenue	$ 760	$ 615

Related Party Transactions (Det

Related Party Transactions (Details) $ in Millions	3 Months Ended
	Mar. 31, 2020USD ($)item	Mar. 31, 2019USD ($)	Dec. 31, 2019USD ($)
MVS Multivision Digital Sde RLde CV and Affiliates | Satellite and Support Services Agreement | Cinelatino
Related party transactions
Number of channel feeds delivered through satellite | item	2
Total expense	$ 0.7	$ 0.6
Due to related parties	0.6		$ 0.6
MVS Multivision Digital Sde RLde CV and Affiliates | Affiliation Agreement
Related party transactions
Revenue recognized from related party	0.3	0.5
Due from related parties	$ 0.2		0.3
MVS Multivision Digital Sde RLde CV and Affiliates | Master License Agreement | Cinelatino
Related party transactions
Distribution fee as a percentage of revenue earned	13.50%
Revenue recognized from related party	$ 0.2	0.3
Due from related parties	0.5		0.7
Director | Consulting Agreement with Director
Related party transactions
Total expense		0.1
Due to related parties	0		0
Pantelion Films | Movie License Agreement
Related party transactions
Total expense	0.2	$ 0
Programming rights payable	$ 2.2		$ 1.8

Goodwill and Intangible Asset_2

Goodwill and Intangible Assets (Details) - USD ($) $ in Thousands	Mar. 31, 2020	Dec. 31, 2019
Goodwill and intangible assets
Broadcast license	$ 41,356	$ 41,356
Goodwill	167,322	167,322
Other intangibles	30,684	32,587
Total intangible assets	$ 239,362	$ 241,265

Goodwill and Intangible Asset_3

Goodwill and Intangible Assets - Indefinite Lived Net Balance (Details) $ in Thousands	Mar. 31, 2020USD ($)
Changes in the goodwill
Net balance at the beginning of the period	$ 167,322
Net balance at the end of the period	167,322
Changes in the goodwill and other indefinite lived intangible assets, on a net basis
Net balance at the beginning of the period	225,364
Net balance at the end of the period	225,364
Broadcast license
Changes in other indefinite-lived intangible assets
Net balance at the beginning of the period	41,356
Net balance at the end of the period	41,356
Goodwill
Changes in the goodwill
Net balance at the beginning of the period	167,322
Net balance at the end of the period	167,322
Brands
Changes in other indefinite-lived intangible assets
Net balance at the beginning of the period	15,986
Net balance at the end of the period	15,986
Other intangibles
Changes in other indefinite-lived intangible assets
Net balance at the beginning of the period	700
Net balance at the end of the period	$ 700

Goodwill and Intangible Asset_4

Goodwill and Intangible Assets - Other Amortizable Intangible (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019	Mar. 31, 2020
Changes in other amortizable intangible assets
Net balance at the beginning of the period	$ 15,901
Amortization of Intangible Assets	1,903	$ 3,300
Net balance at the end of the period	13,998
Future estimated amortization expense
Remainder of 2020			$ 4,865
2021			6,424
2022			1,766
2023			328
2024 and thereafter			615
Total	$ 13,998		13,998
Weighted Average
Changes in other amortizable intangible assets
Remaining amortization period	2 years 6 months
Affiliate relationships
Changes in other amortizable intangible assets
Net balance at the beginning of the period	$ 14,352
Amortization of Intangible Assets	1,498
Net balance at the end of the period	12,854
Future estimated amortization expense
Total	12,854		12,854
Advertiser relationships
Changes in other amortizable intangible assets
Net balance at the beginning of the period	138
Amortization of Intangible Assets	138
Future estimated amortization expense
Total	138
Non-compete agreement
Changes in other amortizable intangible assets
Net balance at the beginning of the period	826
Amortization of Intangible Assets	227
Net balance at the end of the period	599
Future estimated amortization expense
Total	599		599
Other intangibles
Changes in other amortizable intangible assets
Net balance at the beginning of the period	68
Amortization of Intangible Assets	18
Net balance at the end of the period	50
Future estimated amortization expense
Total	50		50
Programming contracts
Changes in other amortizable intangible assets
Net balance at the beginning of the period	517
Amortization of Intangible Assets	22
Net balance at the end of the period	495
Future estimated amortization expense
Total	$ 495		$ 495

Equity Method Investments (Deta

Equity Method Investments (Details) - USD ($)	Nov. 30, 2016	Jul. 31, 2019	Mar. 31, 2020	Mar. 31, 2019	Dec. 31, 2019	Nov. 26, 2018	Feb. 07, 2018	Feb. 06, 2018	Apr. 28, 2017	Nov. 03, 2016
Equity method investments
Amount funded during the period			$ 6,449,000	$ 13,796,000
Equity method investments			42,106,000		$ 49,639,000
Income (loss) on equity method investments			7,019,000	7,376,000
Net balance of investee losses in excess of investment					1,484,000
Non-cash impairment charge			5,479,000
Other assets			4,135,000		3,979,000
PANTAYA
Equity method investments
Ownership Percentage										25.00%
Amount funded during the period			1,500,000
Equity method investments			10,000,000
Excess of Company's contractual funding commitment				10,000,000
Maximum exposure to loss				10,000,000
Income (loss) on equity method investments			0	300,000
Net balance of investee losses in excess of investment			0		1,500,000
Accounts receivable and other assets			3,000,000		3,900,000
Canal 1
Equity method investments
Equity method investments			116,600,000
Income (loss) on equity method investments			$ 6,800,000	7,000,000
Percentage of losses recorded			100.00%
Net equity method investments			$ 42,200,000		44,200,000
Other assets			$ 2,200,000		2,000,000
Colombian content producers, Radio television and NTC nacional | Television broadcast license
Equity method investments
Ownership Percentage							40.00%	20.00%
License life (in years)	10 years		20 years
Additional consideration for the extended license period		$ 0
Additional renewable period for license (in years)		10 years
REMEZCLA
Equity method investments
Ownership Percentage									25.50%
Equity method investments									$ 5,000,000
Income (loss) on equity method investments				0
Net equity method investments			$ 0		5,500,000
Non-cash impairment charge			5,500,000
Snap Media
Equity method investments
Ownership Percentage						75.00%
Snap JV
Equity method investments
Equity method investments			400,000
Income (loss) on equity method investments			200,000	$ 0
Net equity method investments			$ 100,000		$ 0
Snap JV | Snap Media
Equity method investments
Ownership Percentage						50.00%

Equity Method Investments - Sum

Equity Method Investments - Summarized unaudited financial data (Details) $ in Thousands	3 Months Ended
	Dec. 31, 2019USD ($)
Summary financial information of equity method investments
Current assets	$ 57,692
Non-current assets	28,659
Current liabilities	105,052
Non-current liabilities	26,056
Redeemable stock and non-controlling interests	(371)
Net revenue	12,528
Operating loss	(15,379)
Net loss	$ (18,370)

Income Taxes (Details)

Income Taxes (Details) - USD ($) $ in Thousands	3 Months Ended			12 Months Ended
	Mar. 31, 2020	Mar. 31, 2019	Mar. 31, 2018	Dec. 31, 2018	Dec. 31, 2017
Effective tax rates reconciliation
Statutory federal income tax rate (as a percent)	21.00%		21.00%	21.00%	35.00%
Annual income tax rate (as a percent)	38.60%	32.70%
Effective tax rate relates to excess foreign tax credits	11.40%
Annual effective rate relates to the required valuation allowance (as a percent)	11.40%
Income tax benefit (expense)	$ (1,675)	$ 2,556
U.S.
Effective tax rates reconciliation
Annual income tax rate (as a percent)	27.10%

Long-Term Debt (Details)

Long-Term Debt (Details) $ in Thousands	Feb. 14, 2017USD ($)item	Mar. 31, 2020USD ($)	Dec. 31, 2019USD ($)item
Long-term debt
Less: Current portion		$ (2,134)	$ (2,134)
Long-term debt less current portion		202,019	202,406
Maturities of long-term debt
Remainder of 2020		1,600
2021		2,134
2022		2,134
2023		2,134
2024		198,411
Total		206,413
Senior Notes due February 2024
Long-term debt
Long-term Debt		$ 204,153	$ 204,540
Second Amended Term Loan Facility
Long-term debt
Amount of term loan	$ 213,300
Uncommitted accordion option multiplier of net leverage ratio | item			2.20
Amortization payments (in percentage)	1.00%
Maximum period after each fiscal year for prepayment of debt		90 days
First prepayment of debt as a percentage of excess cash flow, if lower leverage ratio is maintained			0.00%
Original issue discount		$ 1,300
Accumulated amortization of original issue discount		2,200
Deferred financing costs		1,000
Accumulated amortization		$ 2,300
Second Amended Term Loan Facility | First Lien and Total Net Leverage Ratio
Long-term debt
Debt caps amount	$ 60,000
Second Amended Term Loan Facility | LIBOR
Long-term debt
Interest rate margin (as a percent)	3.50%
Second Amended Term Loan Facility | Alternate Base Rate (ABR)
Long-term debt
Interest rate margin (as a percent)	2.50%
Amended Term Loan Facility
Long-term debt
Borrowing capacity	$ 30,000
Amended Term Loan Facility | First Lien Net Leverage Ratio
Long-term debt
Number of consecutive fiscal quarters | item	4
Uncommitted accordion option multiplier of net leverage ratio | item	4
Amended Term Loan Facility | Total Net Leverage Ratio
Long-term debt
Number of consecutive fiscal quarters | item	4
Uncommitted accordion option multiplier of net leverage ratio | item	6
Existing Senior Secured Term Loan B Facility
Long-term debt
Uncommitted accordion option base amount	$ 65,000
Prepayment of debt as a percentage of excess cash flow		50.00%
First prepayment of debt as a percentage of excess cash flow, if lower leverage ratio is maintained		25.00%
Second prepayment of debt as a percentage of excess cash flow, if lower leverage ratio is maintained		0.00%

Derivative Instruments (Details

Derivative Instruments (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019	Dec. 31, 2019	May 04, 2017
Derivative
Net change in fair value of cash flow hedge	$ (2.4)	$ 0.9
Loss or gain in fair value	0	0
Interest Rate Swap
Derivative
Net interest income (expense)	0.1	$ 0.1
Derivative liability - Interest rate swap	$ 3.2		$ 0.8
LIBOR | Nondesignated | Interest Rate Swap
Derivative
Notional amount				$ 100

Fair Value Measurements (Detail

Fair Value Measurements (Details) - USD ($) $ in Thousands	Mar. 31, 2020	Dec. 31, 2019
Fair Value, Nonrecurring
Fair Value Measurements
Assets fair value	$ 0
Liabilities fair value	0
Cash flow hedges | Other long-term liabilities | Fair value, Recurring
Fair Value Measurements
Derivative liability - Interest rate swap	3,231	$ 804
Cash flow hedges | Other long-term liabilities | Level 2 | Fair value, Recurring
Fair Value Measurements
Derivative liability - Interest rate swap	$ 3,231	$ 804

Stockholders' Equity - Capital

Stockholders' Equity - Capital Stock (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2020	Dec. 31, 2019	Aug. 15, 2018
Capital Stock
Amount of stock repurchased	$ 513
Common Class B
Capital Stock
Common stock, shares issued		19,720,381	19,720,381
Common stock, shares outstanding		19,720,381
Common Class A
Capital Stock
Common stock, shares issued excluding treasury shares		20,184,412
Common stock, shares issued		25,202,314	25,202,314
Common stock, shares outstanding		20,184,412
Common Class A | Treasury Stock
Capital Stock
Amount of stock repurchased	$ 513
Common Class A | Maximum
Capital Stock
Authorized repurchase amount				$ 25,000

Stockholders' Equity - Other (D

Stockholders' Equity - Other (Details) $ / shares in Units, $ in Thousands	3 Months Ended		12 Months Ended
	Mar. 31, 2020USD ($)item$ / sharesshares	Mar. 31, 2019USD ($)	Dec. 31, 2019USD ($)$ / sharesshares	May 16, 2016shares
Stockholders' Equity
Shares available for issuance	1,200,000
Valuation assumptions
Risk-free interest rate (as a percent)			1.60%
Volatility (as a percent)			40.30%
Stock option and restricted stock
Stock-based compensation
Stock-based compensation expense (in dollars) | $	$ 1,300	$ 900
Stock options
Stock-based compensation
Unrecognized compensation cost related to unvested stock options (in dollars) | $	$ 3,700
Weighted-average periods over which unrecognized compensation cost recognized	2 years
Estimated forfeitures (as a percent)	1.50%
Valuation assumptions
Dividend yield (as a percent)	0.00%
Number of shares
Outstanding at the beginning of the period (in shares)	3,855,000
Granted (in shares)	0
Outstanding at the end of the period (in shares)	3,855,000		3,855,000
Vested at the end of the period (in shares)	2,752,000
Exercisable at the end of the period (in shares)	2,752,000
Weighted-average exercise price
Outstanding at the beginning of the period (in dollars per share) | $ / shares	$ 11.72
Outstanding at the end of the period (in dollars per share) | $ / shares	11.72		$ 11.72
Vested at the end of the period (in dollars per share) | $ / shares	11.57
Exercisable at the end of the period (in dollars per share) | $ / shares	$ 11.57
Weighted-average remaining contractual term
Outstanding	5 years 9 months 18 days		6 years 1 month 6 days
Vested at the end of the period	4 years 4 months 24 days
Exercisable at the end of the period	4 years 4 months 24 days
Aggregate intrinsic value
Outstanding at the beginning of the period (in dollars) | $	$ 12,101
Outstanding at the end of the period (in dollars) | $			$ 12,101
Restricted Stock
Stock-based compensation
Unrecognized compensation cost related to unvested restricted stock (in dollars) | $	$ 4,400
Weighted-average periods over which unrecognized compensation cost recognized	1 year 10 months 24 days
Number of shares
Granted (in shares)	0
Number of shares
Outstanding at the beginning of the period (in shares)	592,000
Outstanding at the end of the period (in shares)	592,000		592,000
Weighted-average grant date fair value
Outstanding at the beginning of the period (in dollars per share) | $ / shares	$ 12.32
Outstanding at the end of the period (in dollars per share) | $ / shares	$ 12.32		$ 12.32
Time Based Restricted Stock Awards and Stock Option
Stockholders' Equity
Number of equal annual installments for vesting of awards | item	3
Time Based Stock Option | Black Scholes Pricing Model
Valuation assumptions
Weighted-average expected term (years)			6 years
Time Based Restricted Stock
Aggregate intrinsic value
Vesting period	3 years
Common Class A
Stockholders' Equity
Shares authorized for issuance				7,200,000

Leases (Details)

Leases (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019	Dec. 31, 2019
Leases
Total lease cost	$ 241	$ 204
Classification of operating leases
Operating lease right-of-use assets	1,701		$ 1,833
Operating lease liability, current	540		538
Operating Lease, Liability, Noncurrent	1,453		$ 1,574
Lease cost
Operating lease cost	168	155
Short-term lease cost	73	49
Total lease cost	$ 241	204
Lease Term and Discount Rate
Weighted average remaining lease term	4 years
Weighted average discount rate	6.90%
Cash paid for amounts included in the measurement of lease liabilities
Operating cash flows from operating leases	$ 154	$ 139
Minimum
Leases
Initial lease term	1 year
Maximum
Leases
Initial lease term	7 years

Leases - Maturity Analysis (Det

Leases - Maturity Analysis (Details) $ in Thousands	Mar. 31, 2020USD ($)
Future minimum lease commitments
Remainder of 2020	$ 520
2021	591
2022	473
2023	387
2024	328
Total minimum payments	2,299
Less: amount representing interest	(306)
Lease liability	$ 1,993

Commitments (Details)

Commitments (Details) $ in Thousands	Mar. 31, 2020USD ($)
Future minimum payments for other commitments
Remainder of 2020	$ 10,436
2021	4,771
2022	1,448
2023	375
2024 and thereafter	232
Total	$ 17,262