Financial Data and Key Metrics Changes - For the quarter ended September 30, 2024, net revenue decreased 3.5% to $28.1 million compared to $29.1 million last year [19] - Station operating income for the quarter was $6 million, and net income was $1.3 million, or $0.20 per fully diluted share [19] - For the nine-month period ended September 30, 2024, net revenue decreased 2.5% to $81.5 million [21] Business Line Data and Key Metrics Changes - Digital advertising growth showed a slower rate in the third quarter compared to previous quarters, attributed to the termination of a relationship with a non-profitable digital services partner [23][24] - E-commerce revenue increased by 33% for the quarter and 89% for the nine-month period [26] - NTR events revenue was up 11% for the quarter and 1.5% for the nine-month period [27] Market Data and Key Metrics Changes - Political revenue for the quarter was $677,000, compared to $234,000 for the same period last year, indicating a significant increase [19] - Political revenue for the year as of November 5, 2024, totaled $3.3 million, with expectations of $2 million for the fourth quarter [31] Company Strategy and Development Direction - The company is focusing on expanding its digital footprint and implementing a blended advertising philosophy to enhance local advertisers' results [11][13] - Strategic investments are being made in staff training and product offerings, including e-commerce and online news [25][32] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the turbulent economic environment, citing layoffs in various sectors and challenges faced by advertising partners [4][49] - The company expects station operating expenses to increase by approximately 3% to 5% for the year compared to 2023, driven by inflation and investments in staff and training [32] Other Important Information - Capital expenditures for the quarter were $625,000, with expectations to spend between $4 million and $4.6 million for the year [29][30] - The company has paid over $133 million in dividends to shareholders since 2012, with a quarterly dividend of $0.25 per share paid during the quarter [30] Q&A Session Summary Question: What are the headwinds faced in growing the digital business? - Management identified time, talent, training, and speed as key challenges in catching up in the digital space [45][46][47] Question: What is the outlook for the advertising market in Q4? - Management noted both positive and negative aspects, including layoffs in the automotive sector and the impact on advertising budgets [48][49]

Financial Performance - Net revenue decreased 3.5% to $28.1 million for Q3 2024 compared to $29.1 million in Q3 2023[1] - Operating income for Q3 2024 was $1.6 million, down 54.3% from $3.5 million in Q3 2023[1] - Net income for Q3 2024 was $1.3 million, a decrease of 52.0% from $2.7 million in Q3 2023[1] - For the nine-month period ended September 30, 2024, net revenue decreased 2.5% to $81.5 million compared to $83.6 million in the same period last year[3] - Operating income for the nine months ended September 30, 2024, was $1,371,000, a significant drop from $8,693,000 in the prior year[19] - Net income for the nine months ended September 30, 2024, was $2,191,000, down from $6,999,000 in the same period of 2023[19] Earnings Per Share - Diluted earnings per share were $0.20 in Q3 2024, down from $0.45 in Q3 2023[15] - Basic and diluted earnings per share for the three months ended September 30, 2024, were both $0.20, down from $0.45 in the same period last year[18] - Basic and diluted earnings per share for the nine months ended September 30, 2024, were both $0.35, compared to $1.15 in the same period last year[19] Operating Expenses - Station operating expense increased 3.1% to $23.5 million for Q3 2024 compared to the same period last year[1] - Station operating expense for the nine-month period increased 4.7% to $70.0 million compared to the same period last year[3] - Corporate general and administrative expenses for the nine months ended September 30, 2024, were $9,144,000, up from $7,940,000 in the same period last year[19] - Corporate general and administrative expenses for the three months ended September 30, 2024, were $2,966,000, slightly higher than $2,852,000 in the same period of 2023, an increase of 4%[20] Capital Expenditures - Capital expenditures for Q3 2024 were $625 thousand, down from $760 thousand in Q3 2023[1] - The company incurred capital expenditures of $625,000 for the three months ended September 30, 2024, down from $760,000 in the same period of 2023, a decrease of 17.7%[20] Cash and Investments - As of September 30, 2024, the company had $28.7 million in cash and short-term investments[6] Debt and Leverage - Total long-term debt as of September 30, 2024, was $5,000,000, resulting in a leverage ratio of 0.39 based on trailing twelve-month consolidated EBITDA of $12,714,000[21] Depreciation and Amortization - Depreciation and amortization for radio stations for the nine months ended September 30, 2024, was $3,690,000, an increase from $3,599,000 in the same period of 2023[19] - Depreciation and amortization expense for the nine months ended September 30, 2024, totaled $3,690,000, compared to $3,599,000 in the same period of 2023, an increase of 2.5%[20] Other Operating Expenses - Other operating expense, net, for the three months ended September 30, 2024, was $49,000, compared to $45,000 in the same period of 2023, a slight increase of 8.9%[20] Compensation Expenses - Compensation expense related to restricted stock awards for the three months ended September 30, 2024, was $474,000, up from $250,000 in the same period of 2023, an increase of 89.6%[20]

Revenue and Income - For the six months ended June 30, 2024, approximately 90% of the radio stations' gross revenue was from local advertising, compared to 89% for the same period in 2023[82]. - Net operating revenue for the three months ended June 30, 2024, was $28,742,000, a decrease of 1.5% from $29,175,000 in the same period of 2023[94]. - Operating income for the three months ended June 30, 2024, was $2,143,000, reflecting a significant decrease of 50.1% compared to $4,296,000 in the same period of 2023[94]. - Net income for the three months ended June 30, 2024, was $2,501,000, down 25.3% from $3,350,000 in the same period of 2023[94]. - Consolidated net operating revenue for Q2 2024 was $28,742,000, a decrease of $433,000 or 1.5% compared to Q2 2023[96]. - Net income for Q2 2024 was $2,501,000 ($0.40 per share), a decrease of $849,000 from $3,350,000 ($0.55 per share) in Q2 2023[99]. - For the six months ended June 30, 2024, net operating revenue was $53,406,000, down $1,073,000 or 2.0% from $54,479,000 in the same period of 2023[102]. - The company reported an operating loss of $274,000 for the first half of 2024, a decrease of $5,475,000 from operating income of $5,201,000 in the same period of 2023[104]. - Net income for the first half of 2024 was $924,000 ($0.15 per share), down $3,346,000 from $4,270,000 ($0.70 per share) in the first half of 2023[105]. Expenses and Costs - Station operating expenses increased by 5.1% to $23,544,000 for the three months ended June 30, 2024, compared to $22,407,000 in the same period of 2023[94]. - Station operating expenses for the first half of 2024 were $46,525,000, an increase of $2,415,000 or 5.5% compared to the first half of 2023[103]. - Interest expense increased by 65.1% to $71,000 for the three months ended June 30, 2024, compared to $43,000 in the same period of 2023[94]. Market and Advertising - The company expects political revenue in 2024 to increase from 2023 levels due to more elections at national, state, and local levels[83]. - The five largest markets represented approximately 36% of consolidated net operating revenue for the six months ended June 30, 2024[91]. - The company continues to expand its digital initiatives to enhance advertising opportunities and audience engagement[89]. Cash Flow and Capital Expenditures - Cash flows from operating activities for the first half of 2024 were $5,047,000, compared to $6,038,000 in the same period of 2023[110]. - Capital expenditures for the six months ended June 30, 2024, were $2.574 million, with an anticipated range of $5.0 million to $5.5 million for the full year 2024[113]. Acquisitions and Debt - The company had $5,000,000 of debt outstanding at June 30, 2024, related to the Lafayette acquisition[109]. - The company completed the acquisition of radio assets for $5.3 million on May 31, 2024, financed through operations and borrowings totaling $5.85 million[113]. - Future acquisitions and dividend payments are expected to be financed through operations, borrowings, or a combination thereof, with no assurance of availability on acceptable terms[114]. - The company has future cash obligations under various contracts, which will be financed through operations or additional borrowings[115]. Dividends - Dividends declared in 2024 totaled $1.10 per share, amounting to approximately $6.9 million, compared to $3.00 per share and approximately $18.6 million in 2023[114]. Inflation and Market Risk - Inflation has not significantly impacted operations to date, but rising costs of goods and services are being observed[116]. - There have been no material changes to the market risk information included in the 2023 annual report[117].

Financial Data and Key Metrics Changes - For Q2 2024, net revenue decreased by 1.5% to $28.7 million compared to $29.2 million in the same period last year [9] - Station operating expense increased by 5.1% to $23.5 million for the quarter [9] - Net income for Q2 was $2.5 million or $0.40 per fully diluted share [9] - For the six-month period ended June 30, 2024, net revenue decreased by 2% to $53.4 million compared to $54.5 million last year [11] - Station operating income for the six months was $9.2 million, with net income of $900,000 or $0.15 per fully diluted share [11][12] Business Line Data and Key Metrics Changes - Digital or interactive revenue increased by $822,000 or 33.4% year-over-year [6] - E-commerce revenue surged by $348,000 or 98.5% year-over-year [6] - Streaming revenue rose by $382,000 or 34% [6] - New service revenue increased by $344,000 or 159% for the quarter [7] Market Data and Key Metrics Changes - The categories that experienced the largest decline included restaurants, recruitment, automotive, and grocery [3] - Political revenue for Q2 was $288,000, up from $108,000 in the same period last year [9] - Political revenue for the six-month period was $598,000 compared to $301,000 last year [11] Company Strategy and Development Direction - The company is focusing on transformational change and growth, particularly in the online news and community sites [20][24] - Emphasis on hyper-local news to connect with communities and create advertising opportunities [21][22] - Plans to strategically invest in operations to grow specific revenue types, including local and national, interactive, and e-commerce [15] Management's Comments on Operating Environment and Future Outlook - Management noted that the current economic environment is impacting local advertisers, particularly those spending $2,000 to $4,000 per month [4][29] - There is an expectation that these advertisers will return, but the timing is uncertain [29] - The company anticipates a soft pacing for Q3, down mid-single digits, but expects improvement [17] Other Important Information - Capital expenditures for Q2 were $1.5 million, with expectations to spend between $5 million and $5.5 million for the year [15] - The company has $24.1 million in cash and short-term investments as of June 30, 2024 [16] - A quarterly dividend of $0.26 per share was paid, totaling approximately $1.6 million [16] Q&A Session Summary Question: What are you hearing from your local advertisers regarding advertising trends? - Management indicated that local advertisers are holding back due to economic conditions but expect them to return [29] Question: What struggles have you experienced with your digital offerings? - Management highlighted the need for speed in execution and expressed confidence in the runway for current service offerings [30] Question: Can you discuss capital allocation and stock repurchases? - Management stated that capital allocation is continuously evaluated, and while buybacks are not currently part of the plan, they may be considered in the future [31]

Financial Performance - Net revenue decreased 1.5% to $28.7 million for Q2 2024 compared to $29.2 million in Q2 2023[1] - Operating income for Q2 2024 was $2.1 million, down from $4.3 million in Q2 2023[1] - Net income for Q2 2024 was $2.5 million, compared to $3.4 million in Q2 2023[1] - For the six-month period ended June 30, 2024, net revenue decreased 2.0% to $53.4 million compared to $54.5 million in the same period last year[3] - Net operating revenue for the six months ended June 30, 2024, was $53,406,000, a decrease of 1.98% from $54,479,000 in the same period of 2023[15] - Net income for the three months ended June 30, 2024, was $2,501,000, down 25.4% from $3,350,000 in the same period of 2023[14] - Operating income for the three months ended June 30, 2024, was $2,143,000, a decline of 50% compared to $4,296,000 in the same period of 2023[14] - Basic earnings per share for the three months ended June 30, 2024, were $0.40, down from $0.55 in the same period of 2023[14] - Basic and diluted earnings per share for Q2 2024 were $0.15, compared to $0.70 in Q2 2023, reflecting a decrease of approximately 78.6%[18] - The adjusted net income for the six months ended June 30, 2024, was $4.793 million, down from $8.110 million in the same period of 2023[20] Operating Expenses - Station operating expense increased 5.1% to $23.5 million for Q2 2024 compared to the same period last year[1] - Station operating expense for the six-month period increased 5.5% to $46.5 million compared to the same period last year[3] - Station operating income for Q2 2024 was $6.411 million, compared to $7.966 million in Q2 2023, representing a decrease of approximately 19.5%[19] - Corporate general and administrative expenses for Q2 2024 were $3.049 million, an increase from $2.472 million in Q2 2023, marking a rise of approximately 23.3%[21] - Station depreciation and amortization for the six months ended June 30, 2024, was $2.365 million, slightly down from $2.395 million in the same period of 2023[19] Cash Flow and Investments - Cash flows from operating activities for the six months ended June 30, 2024, were $5,047,000, down from $6,038,000 in the same period of 2023[13] - Total adjustments in cash flows from operating activities for the six months ended June 30, 2024, were $4,123,000, compared to $1,768,000 in the same period of 2023[13] - Cash and cash equivalents at the end of the period on June 30, 2024, were $15,392,000, a decrease from $24,116,000 at the end of June 30, 2023[13] - The company reported a net decrease in cash and cash equivalents of $14,190,000 for the six months ended June 30, 2024[13] Capital Expenditures and Acquisitions - The company expects to spend approximately $5.0 – $5.5 million for capital expenditures during 2024[6] - Capital expenditures for the six months ended June 30, 2024, totaled $2.574 million, compared to $2.637 million in the same period of 2023[20] - The company closed on the acquisition of five radio stations and one translator in Lafayette, IN on May 31, 2024[4] Debt and Financial Ratios - Total long-term debt, including current maturities, stood at $5 million as of June 30, 2024[20] - Trailing twelve-month consolidated EBITDA for the period ended June 30, 2024, was $14.497 million, reflecting a leverage ratio of 0.34[20]

GROSSE POINTE FARMS, Mich., May 22, 2024 (GLOBE NEWSWIRE) -- Saga Communications, Inc. (Nasdaq - SGA) (the "Company", "Saga" or "our") today announced that its Board of Directors ("Board") declared a quarterly cash dividend of $0.25 per share. The dividend will be paid on June 28, 2024, to shareholders of record on June 3, 2024. The aggregate amount of the payment to be made in connection with the quarterly dividend will be approximately $1.6 million. The quarterly dividend will be funded by cash on the Com ...

Saga Communications, Inc. (NASDAQ:SGA) Q1 2024 Earnings Conference Call May 9, 2024 11:00 AM ET Company Participants Chris Forgy – President and Chief Executive Officer Sam Bush – Chief Financial Officer Conference Call Participants Operator Good morning, everyone, and welcome to the Saga Communications First Quarter 2024 Earnings Release and Conference Call. At this time all participants have been placed on a listen-only mode. It is now my pleasure to turn the floor over to your host, Chris Forgy. Sir, the ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Quarterly Period ended March 31, 2024 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number 1-11588 Saga Communications, Inc. (Exact name of registrant as specified in its charter) Florida 38-3042953 (State ...

FQ1 2024 Earnings Call Transcripts Thursday, May 9, 2024 3:00 PM GMT S&P Global Market Intelligence Estimates 1 Table of Contents SAGA COMMUNICATIONS, INC. FQ1 2024 EARNINGS CALL MAY 09, 2024 SAGA COMMUNICATIONS, INC. FQ1 2024 EARNINGS CALL MAY 09, 2024 Christopher S. Forgy CEO, President & Director Forget the 7%, yet customers we deal with every single day, the ones that have "great relationships" with us. Spend over 60% of their money or they're ad budget with digital products and providers. And I'm not t ...

Financial Performance - Net revenue decreased by 2.5% to $24.7 million for Q1 2024 compared to $25.3 million in Q1 2023[1] - Operating loss for the quarter was $2.4 million, a decline from operating income of $905 thousand in the same period last year[1] - Net loss for the quarter was $1.6 million compared to net income of $920 thousand in Q1 2023[1] - Diluted loss per share was $0.25 in Q1 2024, down from earnings of $0.15 per share in Q1 2023[1] Expenses and Capital Expenditures - Station operating expenses increased by 5.9% to $23.0 million for the quarter[1] - Capital expenditures were $1.1 million for the quarter, down from $1.4 million in the same period last year[1] - The company expects to spend approximately $5.0 – $5.5 million on capital expenditures during 2024[3] Dividends and Shareholder Returns - The company paid a quarterly dividend of $0.25 per share, totaling approximately $1.6 million[2] - Total dividends paid to shareholders since 2012 exceeded $130 million, with plans for future regular and special dividends[2] Cash and Investments - As of March 31, 2024, the company had $28.8 million in cash and short-term investments[3]