TEGNA Inc. Reports First Quarter 2023 Results
Achieves record first quarter subscription revenue which reflects resiliency of Company’s business model following a record year for total company revenue, subscription revenue, net income, and Adjusted EBITDA
TYSONS, Va.--(BUSINESS WIRE)--May 10, 2023--
FIRST QUARTER FINANCIAL HIGHLIGHTS:
-
Total company revenue was
$740 million in the first quarter, down four percent year-over-year, due to cyclical even-year events, primarily driven by the absence of political revenue and Winter Olympics onNBC , our largest big four affiliate portfolio, as well as theSuper Bowl airing onNBC last year compared to Fox stations this year. Fox is our smallest station portfolio.- Total company revenue was up two percent from the first quarter of 20211 primarily driven by growth in subscription revenue, partially offset by Advertising and Marketing Services (“AMS”) revenue.
-
Subscription revenue was a first quarter record of
$414 million , up six percent year-over-year, driven by contractual rate increases, a favorable comparison against the partial quarter interruption experienced with Dish last year, and partially offset by subscriber declines. -
AMS revenue was
$308 million in the first quarter, down 13 percent year-over-year due to the absence of the Winter Olympics andSuper Bowl last year on our strong portfolio ofNBC stations, as well as continued macroeconomic headwinds. Automotive advertising revenue continued to show strong year-over-year growth for the third consecutive quarter adjusting for Winter Olympics andSuper Bowl .-
Compared to 2021, first quarter AMS revenue was down five percent primarily driven by variances in
Super Bowl on Fox stations compared toCBS in 2021, as well as continued macroeconomic headwinds.
-
Compared to 2021, first quarter AMS revenue was down five percent primarily driven by variances in
-
TEGNA achieved net income of$104 million on a GAAP basis, or$107 million on a non-GAAP basis. -
Total company Adjusted EBITDA2 was
$205 million , representing a decrease of 18 percent compared to the first quarter of 2022 as expected due to reduced high-margin advertising revenue from political andSuper Bowl onNBC stations last year, as well as absence of NBC Winter Olympics revenue.- First quarter Adjusted EBITDA was down 11 percent compared to the first quarter of 2021 reflecting lower high-margin advertising revenues from political and CBS Super Bowl.
-
GAAP operating expenses were
$567 million , flat year-over-year, driven by increases in programming costs offset by lower stock-based compensation and lower M&A related costs. Non-GAAP operating expenses were$564 million , up two percent year-over-year, with the increase driven entirely by programming costs, partially offset by lower stock-based compensation expense.- Non-GAAP expenses less programming decreased two percent from the first quarter of 2022.
-
GAAP and non-GAAP operating income totaled
$174 million and$176 million , respectively. -
Interest expense decreased to
$43 million compared to$44 million in the first quarter of 2022 due to lower average debt of$3.1 billion , resulting in net leverage of 2.34x. -
GAAP and non-GAAP earnings per diluted share were
$0.46 and$0.47 , respectively. -
Free cash flow3 was
$133 million for the quarter.-
For the trailing two-year period ending
March 31, 2023 , free cash flow as a percentage of revenue was 21.3 percent.
-
For the trailing two-year period ending
-
Total cash and cash equivalents at the end of the quarter was
$683 million .
_______________ |
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1 Operating results are subject to significant fluctuations across yearly periods (driven by even-year election cycles and |
DIVIDEND ANNOUNCEMENT
TEGNA’s Board of Directors declared a regular quarterly dividend of
TRANSACTION OVERVIEW
On
As a result of the pending transaction and as previously announced,
_______________ |
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2 A non-GAAP measure detailed in Table 3 |
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3 A non-GAAP measure detailed in Table 5 |
RECENT CONTENT, PROGRAMMING AND ESG UPDATES
- TEGNA Stations’ Streaming Apps for Roku and Fire TV on Growth Trajectory – In Q1, stations’ apps saw 560 million minutes on streaming, a 69 percent increase year-over-year. The average visitor spent 10 hours in the apps during March.
-
Premion Continues Strong Growth Trajectory in Local Sales – Premion continues its momentum in the fast-growing streaming TV advertising space with established, proven, and unique sales channels, specifically local, which cannot be easily duplicated. Premion sellers reach more than 78 percent of
U.S. households and continue to benefit from the breadth ofTEGNA and Gray’s local salesforce and footprint of local stations, a unique advantage in selling CTV and OTT. During the quarter, we renewed a multi-year reseller agreement with Gray. - Locked On Delivers for Sports Fans – In Q1, Locked On Podcast Network delivered more than 66 million podcast listens and views across all platforms. The network finished the quarter with an impressive increase of 57 percent in unique audience (individual listeners and viewers) versus Q1 2022. Expansion into video continues to be a major driver of network growth, as Locked On saw a 170 percent increase in video views versus Q1 last year with local sports fans consuming more than 337 million minutes of Locked On video content during the quarter.
-
VERIFY Continues Growth and Impact – VERIFY, TEGNA’s national brand that combats disinformation, ended the quarter with approximately 420,000 followers across its various dedicated channels, including its daily newsletter and
TikTok , both of which were named Webby Award Honorees among some of the most notable brands online. In Q1, unique visitors to VerifyThis.com grew 77 percent year-over-year and video views grew 18 percent year-over-year. YouTube video plays grew 63 percent year-over-year. -
Groundbreaking Investigations Change Lives and Laws –
TEGNA stations’ investigative reporting on important local issues has led to new legislation. KARE 11 Investigates’ “The Gap: Failure to Treat, Failure to Protect” received a prestigious Peabody Award (Press Release) for their year-long investigation that led to new legislation inMinnesota and KXTV’s “The Price of Care: Taken by the State” received a Peabody Award nomination (Press Release) for their work. KARE’s “The Gap” and WXIA’s “The Reveal: #Keeping” also received prestigious Alfred I. duPont-Columbia University Awards for their impactful investigations. (Press Release) -
TEGNA Stations and Employees Receive Top Industry Honors –
TEGNA stations and employees received industry honors, including KING, which received the Brooks Jackson Prize for Fact-Checking from the Annenberg Public Policy Center in partnership with USC Annenberg’s Cronkite Awards for “The Fraud Crusade,” their series on a misinformation campaign that sought to undermine public trust inWashington state’s elections (Press Release); three 2023 Gracie Awards from theAlliance for Women inMedia Foundation (Press Release); and a 2023 NAB Foundation Service to America award honor for WBNS (Columbus ) in the Television Large/Major Market category for “Maria’s Message,” which resulted in new legislation that toughened Ohio’s distracted driving laws.
FORWARD-LOOKING STATEMENTS
This communication includes forward-looking statements within the meaning of the “safe harbor” provisions of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements are based on a number of assumptions about future events and are subject to various risks, uncertainties and other factors that may cause actual results to differ materially from the views, beliefs, projections and estimates expressed in such statements. These risks, uncertainties and other factors include, but are not limited to, those discussed under “Risk Factors” in the Company’s Annual Report on Form 10-K for the fiscal year ended
Readers are cautioned not to place undue reliance on forward-looking statements made by or on behalf of the Company. Each such statement speaks only as of the day it was made. The Company undertakes no obligation to update or to revise any forward-looking statements. The factors described above cannot be controlled by the Company. When used in this communication, the words “believes,” “estimates,” “plans,” “expects,” “should,” “could,” “outlook,” and “anticipates” and similar expressions as they relate to the Company or its management are intended to identify forward-looking statements. Forward-looking statements in this communication may include, without limitation: statements about the potential benefits of the proposed acquisition, anticipated growth rates, the Company’s plans, objectives, expectations, and the anticipated timing of closing the proposed transaction.
ADDITIONAL INFORMATION
CONSOLIDATED STATEMENTS OF INCOME
Unaudited, in thousands of dollars (except per share amounts) |
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Table No. 1 |
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Quarter ended |
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2023 |
|
2022 |
|
% Increase (Decrease) |
|||||
|
|
|
|
|
|
|
|||||
Revenues |
|
$ |
740,327 |
|
|
$ |
774,123 |
|
|
(4.4 |
) |
|
|
|
|
|
|
|
|||||
Operating expenses: |
|
|
|
|
|
|
|||||
Cost of revenues |
|
|
426,932 |
|
|
|
411,450 |
|
|
3.8 |
|
Business units - Selling, general and administrative expenses |
|
|
99,109 |
|
|
|
101,969 |
|
|
(2.8 |
) |
Corporate - General and administrative expenses |
|
|
12,100 |
|
|
|
21,320 |
|
|
(43.2 |
) |
Depreciation |
|
|
15,049 |
|
|
|
15,305 |
|
|
(1.7 |
) |
Amortization of intangible assets |
|
|
13,582 |
|
|
|
15,000 |
|
|
(9.5 |
) |
Spectrum repacking reimbursements and other, net |
|
|
— |
|
|
|
(58 |
) |
|
*** |
|
Total |
|
|
566,772 |
|
|
|
564,986 |
|
|
0.3 |
|
Operating income |
|
|
173,555 |
|
|
|
209,137 |
|
|
(17.0 |
) |
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|
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Non-operating (expense) income: |
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|
|
|
|
|
|||||
Equity loss in unconsolidated investments, net |
|
|
(237 |
) |
|
|
(3,811 |
) |
|
(93.8 |
) |
Interest expense |
|
|
(42,906 |
) |
|
|
(43,620 |
) |
|
(1.6 |
) |
Other non-operating items, net |
|
|
5,411 |
|
|
|
17,319 |
|
|
(68.8 |
) |
Total |
|
|
(37,732 |
) |
|
|
(30,112 |
) |
|
25.3 |
|
|
|
|
|
|
|
|
|||||
Income before income taxes |
|
|
135,823 |
|
|
|
179,025 |
|
|
(24.1 |
) |
Provision for income taxes |
|
|
31,819 |
|
|
|
44,738 |
|
|
(28.9 |
) |
Net income |
|
|
104,004 |
|
|
|
134,287 |
|
|
(22.6 |
) |
Net loss (income) attributable to redeemable noncontrolling interest |
|
|
299 |
|
|
|
(53 |
) |
|
*** |
|
Net income attributable to |
|
$ |
104,303 |
|
|
$ |
134,234 |
|
|
(22.3 |
) |
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|
|
|
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Earnings per share: |
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Basic |
|
$ |
0.46 |
|
|
$ |
0.60 |
|
|
(23.3 |
) |
Diluted |
|
$ |
0.46 |
|
|
$ |
0.60 |
|
|
(23.3 |
) |
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Weighted average number of common shares outstanding: |
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Basic shares |
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224,544 |
|
|
|
222,712 |
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|
0.8 |
|
Diluted shares |
|
|
224,839 |
|
|
|
223,240 |
|
|
0.7 |
|
|
|
|
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*** Not meaningful |
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USE OF NON-GAAP INFORMATION
The company uses non-GAAP financial performance measures to supplement the financial information presented on a GAAP basis. These non-GAAP financial measures should not be considered in isolation from, or as a substitute for, the related GAAP measures, nor should they be considered superior to the related GAAP measures, and should be read together with financial information presented on a GAAP basis. Also, our non-GAAP measures may not be comparable to similarly titled measures of other companies.
Management and the company’s Board of Directors use non-GAAP financial measures for purposes of evaluating company performance. Furthermore, the
The company discusses in this release non-GAAP financial performance measures that exclude from its reported GAAP results the impact of “special items” consisting of spectrum repacking reimbursements and other, net, M&A-related costs, a gain on an available for sale investment, and an impairment charge recorded for another investment. In addition, we have excluded certain income tax special items associated with a valuation allowance on a deferred tax asset related to an equity method investment.
The company believes that such expenses and gains are not indicative of normal, ongoing operations. While these items should not be disregarded in evaluation of our earnings performance, it is useful to exclude such items when analyzing current results and trends compared to other periods as these items can vary significantly from period to period depending on specific underlying transactions or events that may occur. Therefore, while we may incur or recognize these types of expenses and gains in the future, the company believes that removing these items for purposes of calculating the non-GAAP financial measures provides investors with a more focused presentation of our ongoing operating performance.
The company also discusses Adjusted EBITDA (with and without corporate expenses), a non-GAAP financial performance measure that it believes offers a useful view of the overall operation of its businesses. The company defines Adjusted EBITDA as net income attributable to
This earnings release also discusses free cash flow, a non-GAAP performance measure that the Board of Directors uses to review the performance of the business. Free cash flow is reviewed by the Board of Directors as a percentage of revenue over a trailing two-year period (reflecting both an even and odd year reporting period given the political cyclicality of the business). The most directly comparable GAAP financial measure to free cash flow is Net income attributable to
NON-GAAP FINANCIAL INFORMATION
Unaudited, in thousands of dollars (except per share amounts) |
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Table No. 2 |
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Reconciliations of certain line items impacted by special items to the most directly comparable financial measure calculated and presented in accordance with GAAP on the company's Consolidated Statements of Income follow: |
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Special Items |
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Quarter ended |
GAAP measure |
M&A-related costs |
Non-GAAP measure |
|
|
|
||||||||||||||||||
|
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|
|
|
|
|
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Corporate - General and administrative expenses |
$ |
12,100 |
|
$ |
(2,766 |
) |
$ |
9,334 |
|
|
|
|
||||||||||||
Operating expenses |
|
566,772 |
|
|
(2,766 |
) |
|
564,006 |
|
|
|
|
||||||||||||
Operating income |
|
173,555 |
|
|
2,766 |
|
|
176,321 |
|
|
|
|
||||||||||||
Income before income taxes |
|
135,823 |
|
|
2,766 |
|
|
138,589 |
|
|
|
|
||||||||||||
Provision for income taxes |
|
31,819 |
|
|
181 |
|
|
32,000 |
|
|
|
|
||||||||||||
Net income attributable to |
|
104,303 |
|
|
2,585 |
|
|
106,888 |
|
|
|
|
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Earnings per share-diluted |
$ |
0.46 |
|
$ |
0.01 |
|
$ |
0.47 |
|
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Special Items |
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Quarter ended |
GAAP measure |
M&A-related costs |
Spectrum repacking reimbursements and other |
Other non- operating items |
Special tax items |
Non-GAAP measure |
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|
|
|
|
|
|
|
||||||||||||||||||
Corporate - General and administrative expenses |
$ |
21,320 |
|
$ |
(10,234 |
) |
$ |
— |
|
$ |
— |
|
$ |
— |
|
$ |
11,086 |
|
||||||
Spectrum repacking reimbursements and other, net |
|
(58 |
) |
|
— |
|
|
58 |
|
|
— |
|
|
— |
|
|
— |
|
||||||
Operating expenses |
|
564,986 |
|
|
(10,234 |
) |
|
58 |
|
|
— |
|
|
— |
|
|
554,810 |
|
||||||
Operating income |
|
209,137 |
|
|
10,234 |
|
|
(58 |
) |
|
— |
|
|
— |
|
|
219,313 |
|
||||||
Other non-operating items, net |
|
17,319 |
|
|
— |
|
|
— |
|
|
(18,308 |
) |
|
— |
|
|
(989 |
) |
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Total non-operating expenses |
|
(30,112 |
) |
|
— |
|
|
— |
|
|
(18,308 |
) |
|
— |
|
|
(48,420 |
) |
||||||
Income before income taxes |
|
179,025 |
|
|
10,234 |
|
|
(58 |
) |
|
(18,308 |
) |
|
— |
|
|
170,893 |
|
||||||
Provision for income taxes |
|
44,738 |
|
|
31 |
|
|
(14 |
) |
|
168 |
|
|
(7,117 |
) |
|
37,806 |
|
||||||
Net income attributable to |
|
134,234 |
|
|
10,203 |
|
|
(44 |
) |
|
(18,476 |
) |
|
7,117 |
|
|
133,034 |
|
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Earnings per share-diluted (a) |
$ |
0.60 |
|
$ |
0.05 |
|
$ |
— |
|
$ |
(0.08 |
) |
$ |
0.03 |
|
$ |
0.59 |
|
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(a) Per share amounts do not sum due to rounding. |
NON-GAAP FINANCIAL INFORMATION
Unaudited, in thousands of dollars |
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Table No. 3 |
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Reconciliations of Adjusted EBITDA to net income presented in accordance with GAAP on the company's Consolidated Statements of Income are presented below: |
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Quarter ended |
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|
2023 |
|
2022 |
|
2021 |
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|
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Net income attributable to |
$ |
104,303 |
|
|
$ |
134,234 |
|
|
$ |
112,617 |
|
(Less) Plus: Net (loss) income attributable to redeemable noncontrolling interest |
|
(299 |
) |
|
|
53 |
|
|
|
215 |
|
Plus: Provision for income taxes |
|
31,819 |
|
|
|
44,738 |
|
|
|
35,614 |
|
Plus: Interest expense |
|
42,906 |
|
|
|
43,620 |
|
|
|
46,485 |
|
Plus: Equity loss in unconsolidated investments, net |
|
237 |
|
|
|
3,811 |
|
|
|
1,329 |
|
Less: Other non-operating items, net |
|
(5,411 |
) |
|
|
(17,319 |
) |
|
|
(330 |
) |
Operating income (GAAP basis) |
|
173,555 |
|
|
|
209,137 |
|
|
|
195,930 |
|
Plus: M&A-related costs |
|
2,766 |
|
|
|
10,234 |
|
|
|
— |
|
Plus: Advisory fees related to activism defense |
|
— |
|
|
|
— |
|
|
|
4,599 |
|
Less: Spectrum repacking reimbursements and other, net |
|
— |
|
|
|
(58 |
) |
|
|
(1,423 |
) |
Adjusted operating income (non-GAAP basis) |
|
176,321 |
|
|
|
219,313 |
|
|
|
199,106 |
|
Plus: Depreciation |
|
15,049 |
|
|
|
15,305 |
|
|
|
15,896 |
|
Plus: Amortization of intangible assets |
|
13,582 |
|
|
|
15,000 |
|
|
|
15,760 |
|
Adjusted EBITDA (non-GAAP basis) |
$ |
204,952 |
|
|
$ |
249,618 |
|
|
$ |
230,762 |
|
Corporate - General and administrative expense (non-GAAP basis) |
|
9,334 |
|
|
|
11,086 |
|
|
|
12,271 |
|
Adjusted EBITDA, excluding Corporate (non-GAAP basis) |
$ |
214,286 |
|
|
$ |
260,704 |
|
|
$ |
243,033 |
|
NON-GAAP FINANCIAL INFORMATION
Unaudited, in thousands of dollars |
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Table No. 4 |
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Below is a detail of our primary sources of revenue presented in accordance with GAAP on company’s Consolidated Statements of Income. In addition, we show Adjusted EBITDA and Adjusted EBITDA margins (see non-GAAP reconciliations at Table No. 3). |
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Quarter ended |
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2023 |
|
2022 |
|
% Increase (Decrease) |
|
2021 |
|
% Increase (Decrease) |
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Subscription |
$ |
414,280 |
|
|
$ |
391,654 |
|
|
5.8 |
|
|
$ |
386,737 |
|
|
7.1 |
|
Advertising and Marketing Services |
|
307,845 |
|
|
|
354,467 |
|
|
(13.2 |
) |
|
|
322,834 |
|
|
(4.6 |
) |
Political |
|
5,291 |
|
|
|
17,965 |
|
|
(70.5 |
) |
|
|
9,428 |
|
|
(43.9 |
) |
Other |
|
12,911 |
|
|
|
10,037 |
|
|
28.6 |
|
|
|
8,052 |
|
|
60.3 |
|
Total revenues |
$ |
740,327 |
|
|
$ |
774,123 |
|
|
(4.4 |
) |
|
$ |
727,051 |
|
|
1.8 |
|
|
|
|
|
|
|
|
|
|
|
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Adjusted EBITDA |
$ |
204,952 |
|
|
$ |
249,618 |
|
|
(17.9 |
) |
|
$ |
230,762 |
|
|
(11.2 |
) |
Adjusted EBITDA Margin |
|
27.7 |
% |
|
|
32.2 |
% |
|
|
|
|
31.7 |
% |
|
|
NON-GAAP FINANCIAL INFORMATION |
||||||||||
|
||||||||||
Unaudited, in thousands of dollars |
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Table No. 5 |
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Reconciliations of free cash flow to net income presented in accordance with GAAP on the company's Consolidated Statements of Income are presented below: |
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|
Quarter ended |
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|
2023 |
|
2022 |
|
% Increase (Decrease) |
|||||
|
|
|
|
|
|
|||||
Net income attributable to |
$ |
104,303 |
|
|
$ |
134,234 |
|
|
(22.3 |
) |
Plus: Provision for income taxes |
|
31,819 |
|
|
|
44,738 |
|
|
(28.9 |
) |
Plus: Interest expense |
|
42,906 |
|
|
|
43,620 |
|
|
(1.6 |
) |
Plus: M&A-related costs |
|
2,766 |
|
|
|
10,234 |
|
|
(73.0 |
) |
Plus: Depreciation |
|
15,049 |
|
|
|
15,305 |
|
|
(1.7 |
) |
Plus: Amortization |
|
13,582 |
|
|
|
15,000 |
|
|
(9.5 |
) |
Plus: Stock-based compensation |
|
3,688 |
|
|
|
10,495 |
|
|
(64.9 |
) |
Plus: Company stock 401(k) contribution |
|
5,564 |
|
|
|
5,338 |
|
|
4.2 |
|
Plus: Syndicated programming amortization |
|
14,459 |
|
|
|
18,422 |
|
|
(21.5 |
) |
Plus: Net income attributable to redeemable noncontrolling interest |
|
(299 |
) |
|
|
53 |
|
|
*** |
|
Plus: Equity loss in unconsolidated investments, net |
|
237 |
|
|
|
3,811 |
|
|
(93.8 |
) |
Plus (Less): Cash reimbursements from spectrum repacking |
|
— |
|
|
|
58 |
|
|
*** |
|
(Less) Plus: Spectrum repacking reimbursements and other, net |
|
— |
|
|
|
(58 |
) |
|
*** |
|
Less: Other non-operating items, net |
|
(5,411 |
) |
|
|
(17,319 |
) |
|
(68.8 |
) |
Less: Income tax payments |
|
(914 |
) |
|
|
248 |
|
|
*** |
|
Less: Syndicated programming payments |
|
(17,119 |
) |
|
|
(20,771 |
) |
|
(17.6 |
) |
Less: Pension contributions |
|
(959 |
) |
|
|
(960 |
) |
|
(0.1 |
) |
Less: Interest payments |
|
(73,862 |
) |
|
|
(75,063 |
) |
|
(1.6 |
) |
Less: Purchases of property and equipment |
|
(2,845 |
) |
|
|
(5,538 |
) |
|
(48.6 |
) |
Free cash flow (non-GAAP basis) |
$ |
132,964 |
|
|
$ |
181,847 |
|
|
(26.9 |
) |
|
|
|
|
|
|
|||||
*** Not meaningful |
|
|
|
|
|
NON-GAAP FINANCIAL INFORMATION |
|
||
|
|
||
Unaudited, in thousands of dollars |
|
||
|
|
||
Table No. 5 (continued) |
|
||
|
Two-year period ended
|
||
|
|
||
Net income attributable to |
$ |
1,099,110 |
|
Plus: Provision for income taxes |
|
334,056 |
|
Plus: Interest expense |
|
356,093 |
|
Plus: M&A-related costs |
|
27,021 |
|
Plus: Depreciation |
|
125,189 |
|
Plus: Amortization |
|
120,715 |
|
Plus: Stock-based compensation |
|
56,923 |
|
Plus: Company stock 401(k) contribution |
|
36,063 |
|
Plus: Syndicated programming amortization |
|
136,964 |
|
Plus: Advisory fees related to activism defense |
|
12,012 |
|
Plus: Cash dividend from equity investments for return on capital |
|
4,276 |
|
Plus: Cash reimbursements from spectrum repacking |
|
3,842 |
|
Plus: Net income attributable to redeemable noncontrolling interest |
|
1,457 |
|
Plus: Reimbursement from Company-owned life insurance policies |
|
1,929 |
|
Plus: Equity income in unconsolidated investments, net |
|
13,094 |
|
Less: Spectrum repacking reimbursements and other, net |
|
(1,207 |
) |
Less: Other non-operating items, net |
|
(33,337 |
) |
Less: Syndicated programming payments |
|
(140,650 |
) |
Less: Income tax payments, net of refunds |
|
(351,206 |
) |
Less: Pension contributions |
|
(12,149 |
) |
Less: Interest payments |
|
(345,153 |
) |
Less: Purchases of property and equipment |
|
(104,069 |
) |
Free cash flow (non-GAAP basis) |
$ |
1,340,973 |
|
|
|
||
Revenue |
$ |
6,283,614 |
|
Free cash flow as a % of revenue |
|
21.3 |
% |
NON-GAAP FINANCIAL INFORMATION | ||||||||
|
||||||||
Unaudited, in thousands of dollars |
||||||||
|
|
|||||||
Table No. 6 |
||||||||
Below is a reconciliation of non-GAAP operating expenses to GAAP operating expenses on the company's Consolidated Statements of Income: |
||||||||
|
|
|||||||
Quarter ended |
||||||||
2023 |
|
2022 |
||||||
Operating expenses (GAAP basis) |
$ |
566,772 |
|
$ |
564,986 |
|
||
Less: Special items 1, 2 |
|
(2,766 |
) |
|
(10,176 |
) |
||
Operating expenses (non-GAAP basis) |
|
564,006 |
|
|
554,810 |
|
||
Less: Programming expenses |
|
(251,572 |
) |
|
(236,314 |
) |
||
Operating expenses, less Programming (non-GAAP basis) |
$ |
312,434 |
|
$ |
318,496 |
|
||
|
|
|
||||||
1 Q1 2023 special items include M&A-related costs (see Table 2) |
||||||||
2 Q1 2022 special items include reimbursements from the FCC for required spectrum repacking and M&A-related costs (see Table 2). |
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703-873-6366
abentley@TEGNA.com
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703-873-6747
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