Entravision Communications Corporation ( EVC ) shares are plummeting today after the company received communication from Meta Platforms Inc ( META )  that it intends to wind down its authorized sales partner (ASPs) program.

On March 4, 2024, the company received a communication from Meta that it will end its relationship with all ASPs, including Entravision, by July 1. 

Related: Meta’s Strategy Shift: Direct Engagement with Advertisers as Authorized Sales Program Winds Down

For 2023, Meta’s ASP program represented around $23.8 million of the company’s $57.7 million total EBITDA and $586.4 million of the $1.106 billion total consolidated revenue. 

Michael Christenson, Chief Executive Officer, said, “While we are disappointed in Meta’s decision, we are confident in Entravision’s long-term opportunities given the strength of our advertising and marketing platforms and the need for our solutions globally.” 

“We are conducting an extensive review of our strategy and cost structure to reinforce our operating foundation and ensure we are best positioned to capitalize on Entravision’s global, market leading advertising, media and technology solutions. Our balance sheet is solid with a strong cash position to support the business as we navigate these changes.”

As of December 31, 2023, Entravision had cash and marketable securities. of $118.9 million.

The company reported fourth-quarter FY23 EPS loss of $(0.21), missing the street view of EPS of $0.07 and sales of $320.1 million, above the consensus of $308.5 million. 

Net revenue benefitted from higher advertising revenue from the digital commercial partners business and various acquisitions.

The company disclosed a quarterly cash dividend of $0.05 per share, payable on March 29, 2024, to shareholders of record as of March 15, 2024. 

Price Action: EVC shares are down 52.1% at $1.71 on the last check Wednesday.

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