Core Viewpoint - Analyst recommendations play a significant role in influencing stock prices, but their reliability is questionable, particularly for Gray Media (GTN) [1][5][10]. Group 1: Analyst Recommendations - Gray Media has an average brokerage recommendation (ABR) of 1.67, indicating a position between Strong Buy and Buy, with 66.7% of the six recommendations being Strong Buy [2][5]. - Despite the positive ABR, relying solely on this information for investment decisions may not be prudent, as studies show brokerage recommendations often fail to guide investors effectively [5][10]. - Brokerage analysts tend to exhibit a strong positive bias in their ratings, with five "Strong Buy" recommendations for every "Strong Sell" [6][10]. Group 2: Zacks Rank vs. ABR - The Zacks Rank, which is based on earnings estimate revisions, is a more reliable indicator of a stock's near-term price performance compared to the ABR [8][11]. - The Zacks Rank is displayed in whole numbers (1 to 5) and is updated more frequently, reflecting timely changes in earnings estimates, unlike the ABR which may not be current [9][12]. - For Gray Media, the Zacks Consensus Estimate has declined by 54.2% over the past month, leading to a Zacks Rank of 4 (Sell), suggesting caution despite the favorable ABR [13][14].

Core Insights - Gray Media has launched a new investigative project titled "Manipulated: A Disinformation Nation" to educate viewers on the impact of artificial intelligence (AI) in their daily lives [1][4] - The first report in the series highlights the rise of deceptive AI content and scam campaigns that impersonate trusted sources [2] - The project aims to empower audiences with knowledge on how to identify and avoid misleading information related to AI [3][5] Project Overview - The investigative project combines the national unit of InvestigateTV with local newsrooms to provide comprehensive coverage on AI's influence [1][3] - Future reports will cover various topics, including AI-driven celebrity spoofs and fabricated fundraisers, while offering viewers steps to verify content [4] - An interactive webpage has been created to support the project, featuring video explainers and resources for consumer protection [6] Company Background - Gray Media, Inc. is the largest owner of top-rated local television stations in the U.S., reaching approximately 37% of television households [7] - The company operates in 113 television markets and has a diverse portfolio that includes digital marketing strategies and video production companies [7]

Financial Data and Key Metrics Changes - For FY 2025, net revenues decreased by 2% to $180.2 million, while adjusted EBITDA fell to $16.6 million from $22.3 million in FY 2024, reflecting market pressures and one-off costs [4][8] - The company reported a net loss after tax (NPAT) of CAD 6.1 million compared to a profit of CAD 5.7 million in FY 2024, primarily due to a non-cash impairment of a subsidiary amounting to approximately CAD 10.3 million [9] Business Line Data and Key Metrics Changes - BTN's local currency revenues grew by 2%, but Australian dollar revenues declined by 8% due to foreign exchange movements [5] - GTN UK AUD revenues increased by 2% supported by a stronger sterling, while local currency revenues fell by 2% [5] - CTN revenues declined by 5% in local terms and 7% in Australian dollars, impacted by trade policy and uncertainty [5] Market Data and Key Metrics Changes - The advertising market faced significant macroeconomic challenges, including geopolitical uncertainty and trade tensions, which affected global advertising revenues [4][6] - Despite these challenges, the diversified geographic footprint provided a natural hedge against local market volatility [4] Company Strategy and Development Direction - The long-term strategy remains focused on nurturing and growing core radio and television affiliate relationships, delivering unique propositions to advertising partners, and managing the cost structure through new technologies, including AI [2] - The company aims to strengthen its platform through expanded affiliate agreements and enhanced sales systems [6] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the uncertain near-term conditions but expressed confidence in the company's strengthened operations, scalable cost base, and diversified portfolio as a solid foundation for future growth [7] - The corporate transformation is largely complete, positioning the company to continue delivering shareholder value in FY 2026 and beyond [3] Other Important Information - The company held net cash of CAD 21.1 million at year-end, after paying CAD 8.2 million in dividends, retiring CAD 8 million of bank debt, and returning CAD 5.2 million through share buybacks [1][10] - A capital return of CAD 0.23 per share was executed in August 2025, funded through available cash balances and a drawn-down on the bank facility [10] Q&A Session Summary Question: How does the company manage inventory to increase yields in a tough advertising market? - The company actively manages the balance between audience reach, inventory levels, and sellout ratios, and is prepared to reduce inventory if necessary to maintain appropriate yield levels [14] Question: What are the key advertising sectors for the company compared to other media spaces? - The automotive sector has shown significant activity and growth in advertising, along with consistent support from major furniture retailers in the Australian market [16][17]

For personal use only For personal use only For personal use only For personal use only (0.73%) CAGR 0.90% CAGR 0.78% CAGR 0.93% CAGR For personal use only For personal use only For personal use only For personal use only For personal use only For personal use only For personal use only | atn KPIs | FY25 | FY24 | %chg | | --- | --- | --- | --- | | Radio spots inventory ('000) (1) | 1,114 | 1,080 | 3.1% Spots | | Radio sell-out rate (%) (2) | 56% | 60% | (4%) Sell-out | | Average radio spot rate (AUD) (3) | ...

Core Achievements - Gray Media has achieved two historic milestones in broadcasting using the ATSC 3.0 (NEXTGEN TV) format [1] HDR Broadcasts - Gray's Tupelo Media Group will produce and WVUE FOX8 will broadcast the New Orleans Saints preseason game in native High Dynamic Range (HDR), marking the first over-the-air broadcast in the U.S. of programming produced in native HDR [2] - This broadcast will enhance viewer experience by providing improved contrast between the brightest and darkest colors on the screen, showcasing the benefits of NEXTGEN TV [2][4] Network Upgrades - Gray Media is the first broadcast group to upconvert to HDR across all Big Four Networks, completing this upgrade in time for the college and professional football seasons [3] - This upgrade aims to ensure a first-in-class viewing experience for viewers of Gray's affiliated NEXTGEN TV stations [3] Company Overview - Gray Media, Inc. is the largest owner of top-rated local television stations in the U.S., serving 113 television markets and reaching approximately 37% of U.S. television households [5] - The company operates 78 markets with the top-rated television station and 99 markets with the first and/or second highest-rated television station during 2024, along with the largest Telemundo Affiliate group [5]

Core Viewpoint - Gray Media has announced a new video streaming deal with Google Cloud and Quickplay, aiming to redefine the streaming experience through personalized content delivery and advanced AI capabilities [1][4]. Group 1: Streaming Technology and Innovation - The partnership will leverage Google Cloud's AI infrastructure and Quickplay's cloud-native platform to create a deeply personalized viewing experience [1][4]. - Gray's new streaming environment is expected to revolutionize media streaming by providing tailored recommendations and a seamless content experience across devices [2][3]. Group 2: Strategic Goals and Implementation - The collaboration is seen as a pivotal moment for Gray, positioning the company as a leader in local streaming with a focus on personalized experiences [2]. - The new streaming structure and viewer personalization strategy are set to roll out in all Gray markets starting January 2026 [4]. Group 3: Company Overview - Gray Media, Inc. is the largest owner of top-rated local television stations in the U.S., reaching approximately 37% of U.S. television households across 113 markets [6][7]. - The company also operates Gray Digital Media, providing advanced digital marketing strategies and services [7].

Core Insights - Gray Media achieved a record number of 10 National Edward R. Murrow Awards for excellence in journalism, the most wins by any broadcast television group this year [1][2] - The company received a total of 81 regional Murrow awards, highlighting its commitment to exceptional journalism and impactful storytelling [2] Company Overview - Gray Media, Inc. is the largest owner of top-rated local television stations in the U.S., serving 113 television markets and reaching approximately 37% of U.S. television households [3] - The company operates 78 markets with the top-rated television station and 99 markets with the first and/or second highest-rated television station as of 2024 [3] - Gray Media also owns Gray Digital Media, which provides advanced digital marketing strategies, and various media properties including Raycom Sports and Assembly Atlanta [3] Award-Winning Stations - WRDW in Augusta, Georgia, received three national awards for investigative reporting on law enforcement and public safety issues [4] - WMTV in Madison, Wisconsin, earned two national awards for breaking news coverage of a school shooting [4] - Arizona's Family in Phoenix was recognized for a documentary on a convicted serial killer [4] - KCTV in Kansas City received an award for coverage of a mass shooting incident [4] - WMBF in Myrtle Beach was honored for reporting on neighborhood harassment and state law issues [4] - WVUE in New Orleans was recognized for investigative reporting that influenced legal reforms [4] - WIS in Columbia was awarded for a series on the dangers of high-speed police chases [4]

Group 1 - Gray Media, Inc. has renewed its network affiliations with Fox Television Network for all of its Fox affiliated television stations across 27 markets [1] - The markets include major cities such as Portland, Oregon; Cincinnati, Ohio; Las Vegas, Nevada; and Birmingham, Alabama [1] Group 2 - Gray Media is the largest owner of top-rated local television stations and digital assets in the United States, serving 113 television markets [2] - The company reaches approximately 37 percent of US television households and includes 78 markets with the top-rated television station [2] - Gray Media also has the largest Telemundo Affiliate group with 44 markets and owns Gray Digital Media, a full-service digital agency [2]

Group 1 - Gray Media has promoted Bob Kroeger to Chief Technology Officer, effective immediately, succeeding David Burke who retired on July 31 [1][3] - Bob Kroeger has over 32 years of experience in television broadcast engineering and information technology, having held executive roles at major broadcast groups [3][4] - His technical expertise includes IT strategy, enterprise security, broadcast system management, datacenter operations, and emerging technologies [4] Group 2 - Gray Media, Inc. is the largest owner of top-rated local television stations and digital assets in the U.S., reaching approximately 37 percent of U.S. television households [5] - The company operates in 113 television markets, with 78 markets having the top-rated television station and 99 markets with the first and/or second highest rated television station during 2024 [5] - Gray Media also owns Gray Digital Media, which provides advanced digital marketing strategies, and has additional media properties including video production companies and studio production facilities [5]

Group 1 - Gray Media, Inc. reported a quarterly loss of $0.42 per share, which was worse than the analyst consensus estimate of a loss of $0.36 per share [1] - The company achieved quarterly sales of $772 million, exceeding the analyst consensus estimate of $765.15 million [1] - For the third quarter, Gray Media projects sales between $735 million and $750 million, lower than market estimates of $786.212 million [1] Group 2 - Following the earnings announcement, Benchmark analyst Daniel Kurnos maintained a Buy rating on Gray Media and raised the price target from $7 to $9 [4] - Wells Fargo analyst Steven Cahall maintained an Equal-Weight rating and increased the price target from $4.5 to $5 [4] - Gray Media shares increased by 16% to trade at $4.79 on Monday [1]