Scripps reports Q1 2025 financial results

Core Insights - The E.W. Scripps Company reported $524 million in revenue for Q1 2025, a decrease of 6.6% from the previous year, with a loss attributable to shareholders of $18.8 million or 22 cents per share [1][6][7] Financial Performance - Revenue for the Local Media segment was $325 million, down 7.8% year-over-year, while Scripps Networks revenue was $198 million, down 5.4% [10][12] - Total costs and expenses for the company were $454 million, reduced from $474 million in the prior-year quarter [6] - The company achieved a segment profit of $34.9 million for Local Media, a decline of 46.7%, while Scripps Networks saw a profit increase of 29.1% to $64.1 million [11][12] Operational Highlights - The Scripps Networks division achieved a margin of 32%, attributed to growth in connected TV revenue and effective cost management [9] - The company completed negotiations covering 25% of its pay TV households and closed refinancing transactions for its term loans and revolving credit facility [1][9] - New distribution agreements for live women's sports events are expected to enhance advertising revenue and audience engagement [4][6] Debt Management - The company prioritized debt paydown, with total debt standing at $2.6 billion and net leverage at 4.9x at the end of Q1 [13][14] - The refinancing included a new term loan due in 2028 with $545 million outstanding and a new revolving credit facility maturing in 2027 [14][15] Future Outlook - The company anticipates flat distribution revenue for the year despite subscriber declines, with a positive outlook for the Scripps Networks division due to the return of women's sports [9][17] - The local broadcast station sector may benefit from potential deregulation by the Federal Communications Commission [5]