Core Viewpoint - The seventh annual National News Literacy Week aims to help teens discern credible news and information amidst the prevalence of AI-generated content and misinformation [1][3]. Group 1: National News Literacy Week - National News Literacy Week is scheduled from February 2 to 6, 2026, and is presented by the News Literacy Project, The E.W. Scripps Company, and USA TODAY [2]. - The initiative provides educators with free tools and resources to teach teens how to evaluate the reliability, accuracy, and fairness of information [2][3]. Group 2: Importance of News Literacy - A study by the News Literacy Project found that 84% of U.S. teens have negative views of the press, often perceiving journalism as deceptive or inaccurate [3]. - Teaching news and media literacy skills can lead to higher trust in the press among students and encourages them to consume news more actively [4]. Group 3: Role of Local Journalism - Local journalism is crucial for helping communities understand current events, especially in an era filled with AI-generated misinformation [5]. - Educating young people on critical evaluation of information is essential for fostering trust in credible, fact-based reporting [5]. Group 4: Organizations Involved - The News Literacy Project is a nonpartisan nonprofit that collaborates with various educational institutions to ensure students receive news literacy instruction across all 50 states [5]. - The E.W. Scripps Company operates over 60 local TV stations and is committed to providing quality journalism and helping communities navigate complex information environments [6]. - USA TODAY Co. is dedicated to empowering communities through trusted journalism and digital marketing solutions, reaching approximately 140 million monthly unique visitors [8].

Core Viewpoint - Gannett Co., Inc. will change its name to USA TODAY Co., Inc. effective November 18, emphasizing its most recognized brand, USA TODAY [1] Company Summary - The name change aims to leverage the strength of the USA TODAY newspaper, which has played a significant role in promoting understanding and unity across America [1]

Core Insights - Gannett Co., Inc. has launched DeeperDive, an industry-first Generative AI answer engine developed by Taboola, now fully implemented on USA TODAY, reaching over 195 million monthly unique visitors [1][2] - DeeperDive aims to enhance user engagement by providing AI-generated responses enriched with relevant stories and context, addressing the challenges posed by traditional AI search engines [2][3] - The partnership with Taboola is expected to drive stronger advertising CPMs and create new revenue channels through curated ads and increased reader engagement [2][3] Company Overview - Gannett Co., Inc. is a diversified media company focused on empowering communities through trusted journalism and digital marketing solutions, reaching approximately 140 million monthly unique visitors [5][7] - USA TODAY, a cornerstone of the national media landscape since 1982, serves as the foundation for Gannett's newsroom network, delivering high-quality content to an audience of about 73 million unique visitors each month [6][7] - Taboola specializes in performance advertising technology, reaching approximately 600 million daily active users and partnering with major publishers to enhance audience engagement and revenue [8]

Financial Data and Key Metrics Changes - In Q2 2025, total revenues were $584.9 million, a decrease of 8.6% year over year, or 6.4% on a same-store basis, with a 130 basis point improvement from Q1 [33] - Total adjusted EBITDA was $64.2 million, reflecting a sequential increase of 27% [9][35] - Free cash flow totaled $17.6 million, representing sequential growth of 73% [9][42] - Net income was $78.4 million, significantly improved by a tax benefit of $87.5 million [36] Business Line Data and Key Metrics Changes - Digital revenues in Q2 were $265.4 million, down 4.6% year over year, but digital advertising returned to growth due to improved page views and programmatic revenue [36][37] - Digital-only subscription revenues totaled $42.7 million, with ARPU increasing to $7.79, showing sequential and year-over-year growth [37][38] - The Digital Marketing Solutions (DMS) segment saw total core platform revenue of $116.9 million, up 8.1%, and segment adjusted EBITDA of $11.5 million, reflecting growth of 35.8% [41] Market Data and Key Metrics Changes - The company maintained an audience of 181 million average monthly unique visitors, indicating strong reach and engagement [12] - Digital advertising revenues grew 4% year over year, with significant potential for further growth as the advertising marketplace stabilizes [10][13] Company Strategy and Development Direction - The company is focusing on a diversified digital revenue strategy, enhancing audience engagement, and leveraging AI for content licensing [7][24] - A $100 million cost reduction program is underway, targeting operational efficiencies and improved EBITDA margins [11][34] - The company aims to grow digital-only subscriptions intentionally, focusing on high-value subscribers and sustainable growth [14][16] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the second half of 2025, expecting stronger performance driven by digital revenue growth and cost reduction initiatives [6][11] - The digital advertising marketplace is showing strength, with expectations for robust growth in Q3 and Q4 [50] - Management anticipates that revenue trends will stabilize and improve, aiming for flat revenues in early 2026 [51][44] Other Important Information - The company has implemented measures to protect its content from unauthorized AI scraping and is exploring partnerships for fair licensing [27][72] - Strategic hires in the entertainment sector are expected to enhance audience engagement and drive higher digital revenue [19] Q&A Session Summary Question: When do you think your revenues will turn flat? - Management expects revenues to stabilize in early 2026, driven by improvements in print trends and digital advertising [50] Question: Can you provide more details around the cost reduction program? - The program focuses on automation, outsourcing, and eliminating duplication, including the closure of two large print facilities [52][53] Question: What has been your experience with AI search and traffic? - The company continues to grow its digital audience and page views, leveraging automation and diversifying traffic sources [58][60] Question: Any updates on the ad tech antitrust case with Google? - Positive developments are noted in ongoing antitrust cases, with expectations for a ruling later this year [62][64] Question: When do you expect to return to year-over-year growth for digital subscriber revenue? - Management anticipates sequential growth in the third and fourth quarters, with overall growth expected next year [68] Question: Are you seeing trends in AI content partnership deals? - There is a momentum shift towards publishers, with more technology companies recognizing the need for fair licensing of content [71][73] Question: Can you dig into the digital advertising revenue drivers? - Growth was driven by page view increases, programmatic revenue, and the strength of the national brand [78][80] Question: What is happening with the DMS business strategy? - The strategy includes improving search capabilities and integrating CRM systems to enhance customer engagement and retention [83][87]