SEC Filings

10-Q
TEGNA INC filed this Form 10-Q on 11/08/2018
Entire Document
 


Adjusted Revenues

Reconciliations of adjusted revenues to our revenues presented in accordance with GAAP on our Consolidated Statements of Income are presented below (in thousands):
 
Quarter ended Sept. 30,
 
Nine months ended Sept. 30,
 
2018
 
2017
 
Change
 
2018
 
2017
 
Change
 
 
 
 
 
 
 
 
 
 
 
 
Advertising & Marketing Services
$
264,852

 
$
277,817

 
(5
%)
 
$
829,638

 
$
843,175

 
(2
%)
Subscription
207,463

 
177,692

 
17
%
 
622,382

 
540,345

 
15
%
Political
60,410

 
3,783

 
***

 
93,725

 
13,386

 
***

Other
6,251

 
4,972

 
26
%
 
19,401

 
15,797

 
23
%
Total revenues (GAAP basis)
$
538,976

 
$
464,264

 
16
%
 
$
1,565,146

 
$
1,412,703

 
11
%
Factors impacting comparisons:
 
 
 
 
 
 
 
 
 
 
 
Estimated net incremental Olympic and Super Bowl
$

 
$

 
%
 
$
(24,000
)
 
$
(323
)
 
***

     Political
(60,410
)
 
(3,783
)
 
***

 
(93,725
)
 
(13,386
)
 
***

     Discontinued digital marketing services

 

 
***

 

 
(16,673
)
 
***

Total company adjusted revenues (non-GAAP basis)
$
478,566

 
$
460,481

 
4
%
 
$
1,447,421

 
$
1,382,321

 
5
%
 
 
 
 
 
 
 
 
 
 
 
 
*** Not meaningful
 
 
 
 
 
 
 
 
 
 
 

Excluding the impacts of Political advertising revenue and the discontinued digital marketing transition services agreement, total company adjusted revenues on a comparable basis increased 4% in the third quarter 2018 and 5% in the first nine months of 2018 compared to the same periods in 2017. This is primarily attributable to increases in subscription revenue, partially offset by declines in AMS revenue as described in the Results from Operations section above.
Adjusted EBITDA - Non-GAAP
Reconciliations of Adjusted EBITDA to net income from continuing operations presented in accordance with GAAP on our Consolidated Statements of Income are presented below (in thousands):
 
Quarter ended Sept. 30,
 
Nine months ended Sept. 30,
 
2018
 
2017
 
Change
 
2018
 
2017
 
Change
 
 
 
 
 
 
 
 
 
 
 
 
Net income from continuing operations (GAAP basis)
$
92,826

 
$
50,754

 
83
%
 
$
240,525

 
$
144,682

 
66
%
Provision for income taxes
13,789

 
11,447

 
20
%
 
61,929

 
54,855

 
13
%
Interest expense
48,226

 
51,855

 
(7
%)
 
145,055

 
162,113

 
(11
%)
Equity (income) loss in unconsolidated investments, net
(771
)
 
(866
)
 
(11
%)
 
(15,080
)
 
1,549

 
***

Other non-operating items
214

 
3,671

 
(94
%)
 
13,005

 
26,853

 
(52
%)
Operating income (GAAP basis)
154,284

 
116,861

 
32
%
 
445,434

 
390,052

 
14
%
Severance expense
7,287

 

 
***

 
7,287

 
3,053

 
***

Asset impairment and other (gains) charges
(3,005
)
 
7,553

 
***

 
(9,331
)
 
11,086

 
***

Adjusted operating income (non-GAAP basis)
158,566

 
124,414

 
27
%
 
443,390

 
404,191

 
10
%
Depreciation
14,262

 
15,186

 
(6
%)
 
41,594

 
41,721

 
%
Amortization of intangible assets
8,047

 
5,395

 
49
%
 
22,791

 
16,172

 
41
%
Adjusted EBITDA (non-GAAP basis)
180,875

 
144,995

 
25
%
 
507,775

 
462,084

 
10
%
Corporate - General and administrative expense, exclusive of depreciation (non-GAAP basis)
12,112

 
12,881

 
(6
%)
 
36,041

 
41,402

 
(13
%)
Adjusted EBITDA, excluding Corporate (non-GAAP basis)
$
192,987

 
$
157,876

 
22
%
 
$
543,816

 
$
503,486

 
8
%
 
 
 
 
 
 
 
 
 
 
 
 
*** Not meaningful
 
 
 
 
 
 
 
 
 
 
 

29