SSP - Earnings call 4 2023 | The E.W. Scripps Company

Due to licensing restrictions, you must log in to view earnings call transcripts.

Operator

Thank you for standing by. Welcome to the Scripps Fourth Quarter 2023 Earnings Call. [Operator Instructions] As a reminder, this conference is being recorded.

I would now like to turn the conference over to our host, Executive Vice President of Investor Relations, Carolyn Micheli. Please go ahead.

Carolyn Micheli

Rich. Thanks, and E.W. joining everyone, discussion for you the of thank morning, us for a Good financial and Company's Scripps results business strategies.

measures are and provided our of this You today. not other reported supplements information valuation update measures can or not actual meant any reminder results financial the reconciliations replace of may Factors statements, and and accordance more discussion and forward-looking and are management them that analysis call. A a company. that uses are in in non-GAAP link may earnings the outlined to include visit to in the are metrics from to and These measures scripps.com to forward-looking in public conference call assist measures of be not to financial cause certain their differ may and this the as for release companies' GAAP our SEC that webcast in differ. will we our intend financial make Included GAAP formulated to differ our filings. of on the call are We do Included financial statements formulations. GAAP replay statements. non-GAAP a with

We'll then hear Officer, CEO, finally, and morning Operating Chief Officer, Knutson; Simpson. Jason Scripps' from Financial first this from Combs, Lisa Chief and Scripps' from Adam President

Jason. Here's

Jason Combs

and for us. joining you everyone, thank morning, Good Carolyn. Thanks,

by free earnings flow were picture. very expectations. allocation On I'll XXXX, highest results want XXXX. first capital political highlights. year November, pleased and start year review as million significantly set about at over Then call off-cycle an Let's was we than advertising to renewed at to range we the XX% $XXX full in in debt our election guidance more full strong over with few last a in ad I conclude give of $XX and for dollars several to XXXX distribution quarter up year to cash look up fourth end our flow today with and I'll a revenue Networks. Also a and households. achieved as million finish net our and quarter our items, performance exceeding XX% year-end our distribution in $XX $XX We revenue driven XXXX, million drove Scripps XX%. free we The those million. by of for in pay-TV was results cash That well we ended our stronger-than-expected revenue and as

were successfully throughout with any we pleased satellite are to providers negotiations. all of avoid those able blackouts We cable and the

nearly management than better Networks reported performance. quarter the XXXX, we our the We executed only expected all November. profit driving fourth down at For results network and exceeded tight segment finance X%, expectations revenue came of Scripps expense set that met we or in in

our for quarter were areas: revenue Connected Networks key direct prior the Scripps exceeding quarter. expenses million, was from million, TV segment because the $XXX market, general of from year guidance response. better-than-expected revenue fourth Networks QX X.X% X Scripps down $XXX and all

down was by million. $XX ad exceed did in political QX Local of quarter expectations to absence and Media in prior revenue due was $XX ad our advertising In Political political was million, at the profit in Total XXXX for revenue year total from XX% Segment our $XX revenue. Networks the million. Ohio. Montana driven revenue division, year election spending XXXX

an I election. off-cycle highest for the As before, mentioned

teams. year the and our fees higher quarter, agreements reflects National and Media X% Hockey X% core was up X rights revenue increase quarter revenue renewals from cost expenses advertising were distribution satellite this less XX%, League fueled sports the with of period, prior cable by was from and programming up Local agreements. Fourth year than local up the of local prior

labeled a and on Other, expenses viewing drove promoting segment Media Local Shared fourth $XX The In better-than-expected includes loss services a of quarter segment over-the-air guidance was November as from higher. we variable device. results profit our Tablo corporate quarterly million. compensation spend million. $XX reported our were the nearly our segment bit up $XX million,

to million attributable included cost loss shareholders The Scripps noncash of of quarter Networks impairment Scripps or per million. $X.XX for a $XXX the for was Pretax share. goodwill charge $XXX

charges are to costs restructuring than addition, $XX In annualized million attributable million in are savings realize The company-wide restructuring of of per the related year. recorded to we shareholders loss $X.X to we this share. on These charges. track increased $X.XX by our more by middle the reorganization,

$XX equivalents million. As totaled end, and quarter cash of cash

Our with end X.Xx for our the billion, credit the in calculations of was net $X.X at we year ended debt quarter net leverage agreements.

items like And for guidance year first a the XXXX. discuss I'd full and to key few quarter now

first quarter, the division, the revenue to be expect digits. in to we Scripps down single flat For Networks low

down quarter first expect segment We digits. single low network to expenses be

Local total expect We up the Media low be range. revenue in teens percent to

more be give will in moment to with single our low quarter to including categories, start flat the local digits. expect auto. ad about We up revenue color to strong key a poor Lisa

to QX Local about Media expenses XX%. be We up expect

out and deals, the onetime with to fee up local work, If costs network associated you facility step-ups low media be expenses in back the our sports mid-single digits. would new

to expected First quarter shared million. about services costs be $XX are

promote about a QX educate and consumers Other of We as to $X viewing Tablo expect loss in about over-the-air labeled we free the to our continue device. segment to million generate

full on I'd Now several like year to items. touch

come million between year. million We in expect advertising presidential this in political and revenue election $XXX to $XXX our local

sunsetting. networks TV that Connected more of increase XX%, impact for expect programmatic product We revenue to low-margin the excluding by the than we're our

to be our expect X% growth only households. distribution pay-TV modest of renewing we're our because We this year revenue

$XX our expenditures facility to expenses. new cost and where $XX out million reconfigure capital we're includes of build onetime million. a station spaces expect footprint to operating That lower We office to to consolidating

We pension year. to We not year million taxes to this $XXX cash million. do depreciation million, interest any of between $XXX $XX $XXX expect and required million $XX $XXX this amortization of cash to of have million and million contributions

pay by end debt discussing and down. I'd allocation like capital to

As of segment, Networks you The its in to reach. Scripps formed which off the base significant took over-the-air has purchase strong debt helped to Scripps diversify strategic the ION acquire audience our revenue early of Scripps ION build and to XXXX know, Media. nationwide foundation

The on new company the and local the media Scripps television durability stations enterprise. profitability increased through up The in the and has have of growth and our for eye opened spectrum segment significant opportunity national Sports.

capital down already today. $X That We nearly in about Remarkably, Scripps to our reduction. debt group. $X that years represents paid since peer by the discretionary from XX% of significantly our X outpacing debt, debt billion to acquiring total down brought about billion has billion $X XX%, applied our

refinancing we offers. agreement top debt in our this to to us upcoming the other more from maturities. and revenue, the elected levers delaborate rate to political ] change X%. with it provide flexibility by allow quarter. Berkshire, defer on deferral will of expense payment [ was the preferred traditional incremental from come of our of revenue, our us year, from dividend our it cash our This bank equity that the financing is debt on flow preferred line to intention have deferral and operating paydown, may dividend will to maximize This X% cash advertising terms a with under Focusing This our permitted our Berkshire Hathaway paydown

up priority So paying is capital with are when every quarter that actions. say down you that backing debt, our hear us our allocation we top

for and Local both Networks to here's share the Now Lisa Media operations. highlights Scripps

Lisa Ann Knutson

That's QX you upon trends we upfront, in then advertising Thanks, begin quarter. as pleased advertising discuss QX ahead through fourth this national with of Jason, start are local first very our and on Networks. saw our true the our look segments with move I'd advertising to national we'll I will categories from good several by like seeing in give quarter Media revenue the to outlook. which to the be the quickly, This our continued wrap political morning, core sharing build will network for season's morning, advertising streams. momentum and operating both everyone. color us we Scripps I'm that Local in up we core to has to Then and across and the

we our communications X%. up followed with category, up largest is X%. home which notable our year-over-year for top up finished quarters. categories top was in In has higher up X up and fourth quarter, by the Also year-over-year. and up That Media Local X%, X services, services The X%, saw performer automotive, category was the media quarter and improvement, first

and Moving are solid momentum The optimistic home see into quarter quarter. a automotive, as move services the first category up our is about We improvement retail. this through we finish. as quarter-to-date and continued

reliant on our inflation as Turning is saw had of and some easing consumers' back us up, income. to the DR discretionary that advertising has Networks. therefore, quarter begin inflation back The so response to quarters dollars ad of in are recent spiked and who of brought advertisers build declined direct rates. Demand Scripps tapping fourth

entire you last know, weak upfront, As national the was year's by marketplace challenged advertising which down was XX%.

the Scripps, making see typically DR guide. in momentum upfront of scatter, XX% our that dollars. nice in ground lays in our first accounts for foundation, We're or drive up rate a quarter tactics so the aggressive and first to For with quarter and you

upfront In fact, than up XX% over scatter pricing. more is pricing

for products has be the XX% impact nearly Connected we to of the discontinuing. saw low-margin Networks. backing strong are revenue year-over-year after programmatic Scripps increase continued of XXXX out TV a

to our for first Connected the year, expecting again, we're for growth are organic ahead, guiding show of increase removing extent Looking full And to more than programmatic the product XX% XX% in the we more CTV, in after than TV quarter. revenue growth.

distribution tier. marketplace. most grew and TV, XXXX. on we In Pluto, audience live out channels TV continued network and free ION seek ION one entertainment #X the for was from ad-supported fourth as Americans be of Google as benefiting our quickly named the to new within Likewise, of the growth quarter, on by we continue We're to launched it watched expand options its

analysts ION cable, networks broadcast fast network fast CTV in programming the growth. ION which top-rated and are available only and includes Scripps more procedurals is sports. the live lineup the exceptionally new are premium in describing the a as that is then positioned revenue If the correct marketplace, for

the aggressive talk our the for expect coming new about came a stance. a of conglomerates outcome. taking to month our significantly ahead under who more approach NBCU, We've we direction from Chief the our this of we I improve selling us -- are now Revenue to large events. This upfront X, season, much Officer, want scheduled in-person why our April significant upfront to year, aggressive

to position result TV. hundred the valuable genre stronger We are content attend. expecting into expansion is or linear The with commensurate approach a sports, buyers new we live most as our hold the several of

advertisers. to WNBA for destination which younger into entertainment Sports the and our for foundation more Soccer an attractive diverse than is Scripps the ever ION of League, with are Women's more partnership scale, National in and the audiences recasting

Our efforts sales national advertisers other across all Network Scripps ION new premium periods. are and brands sports time drawing to

Sports scatter end, as focus advertising expanding a advertisers To regular is serving our for we the brands into base programming our focused market multicultural. advertising specific entertainment growing of are that spear of the and popular into by on sports our with on CTV drawn general. tip in

we also In the lift successes ad addition as us benefit to to the sports, are position that seeing market recovers. well rating from

portfolio only fact, in year-over-year entertainment In national day. quarter, the both first in and the growth prime the Scripps Networks total are showing

addition delivering experiencing time we audience X% and momentum total more at see and are growth This in and separate the more growth on X% year. the is CTV. are last viewers We households we than same to

opportunity on color for to like you I'd giving our XXXX. revenue political by ad conclude

As by impacts you where dollars where is and system to the than different. the larger place What each election of for Spending know, each spending and we their local know will we will lion's are are determined the parties taking know the share toss-ups that that ever. be spending. put sure ad to race, take year broadcasters each national of ecosystem is work. continue And that market

last local puts XX% the billion compared at will And spend XX% the $X XXXX. election go in firm total to to time. of broadcasters impact the to Ad compared $XX.X spend says billion advertising

not going to of couple $XXX a mentioned, in to its For million as Trump Presumably, XXXX; new was but Jason about of his legal we're much it is defense, here. our are two, candidates One, to in money clearest X of million. factors Biden going running of the to see now range the same is line there Scripps, think sight XXXX, support $XXX raised and a is has to campaign. not what

a Arizona, states spending be necessarily are presidential will fundraising Michigan. So while and of be won't say this experts benefit on for there it greater Wisconsin Nevada, spent where does presidential the election expect race. level Scripps to cycle, from The

in a stations the Montana, Jon local defending significant orders one has their with and Scripps races. commands seeing strong candidates. Ohio is with with also Arizona, national Tester. where across We're which coming have and competitive also Senate X big U.S. share in are states, pouring races big the in which We're to Turning already money Senator parties have Maryland, market to seats. Wisconsin, of well Democrats projected current X positioned state. all Scripps Michigan tight Montana into ABC stations, into support Senate

our and from being contested Las will date. benefit race Vegas stations Nevada, presidential In in both a Senate swings

We because efforts nationwide. contested of fewer have this and governors competitive races races no gerrymandering redistricting cycle and house

Ohio overperformance ball another our political states, could of our including that X last controversial It's opportunity issues. Florida. referendum with that to in is year. in states the have be could of such bigger valid for beneficial drive to However, helped the ballot area measure estimated One up some

So ballot key states whether it summer. we'll see those to to in watching issues make be this the on

turn hard reorganization. employees to during A demanding and over Adam, perseverance it year began thank their I time. company especially for Before like I'd to a ago, significant work the Scripps

addition cost that we way have savings, changes realizing do to the meaningful In business. made to many we

for We best and audiences rethinking value have our ways serve the and our advertisers create to with to urgency and enterprise. the acted new

While for employees and necessary, it been resilient making credit work. haven't I the changes our easy,

Adam. here's now And

Adam Symson

media were morning, announced Last It's would a cable September, you just and Then power why again, distribution thought end understand Charter literally media TV, it the a Discovery have And Brothers months agreement during the reinforced you few Disney, the would through Disney and Thanks, everyone. of in impact was which landmark the completely a landscape. of the weeks Warner bundle. XX-day chaos. sort ago, to I reaction, thought Lisa, streaming seasoned the struggling even have end good the sports the the tumultuous after Pay and Fox partnership. most announced that several market's been from of the U.S. witnessing we investors television.

feels been a of this it And to the feels business the is worst part while broadcast. market like it about and I've a for while. always ready believe --

steer and journalist mission, and As deal in company leading prefer facts a clear a to innuendo I rumor a with journalist speculation. of myself, and

partnership. all existing proposition same very it's dunk. competitors. $XX a virtual than also If say And fanatic, a it sports and up its most that be an less yet impact of be So be start less streaming I'd already To it's somewhat $XX I changes joint morning companies much the start, Scripps. cannibalizing will the another a know MVPD hard to in be attracting actually with of venture expensive products the the will MVPD a this streaming thought month, make It how named between about other and we slam consumer than pay-TV the to At established bundles. crowded virtual what is from this these with will competing and the they complete and marketplace to somewhere sports-focused yet will marketplace. also be it likely about

we as If not will new likely the The much Large Scripps reach. confuse only makes benefit Olympics This and and at introduction TV. landscape madness will and service the is cord increased won't offering subscribers half fees a frustrated the target XXX get get outright of top and fragmented into very the already another an that say confound be sport incomplete. will missing the It's it say, subscribers. strength yet from will on NFL, up programs be to that that of the very distribution consumer. will partners will cutters,

happy of killer FOX adds get with to success if investors as we affiliates. that its and and compensated because its over Scripps sort to can't be are and affiliates I be out. MVPDs. confirmed like for will it this linear advantage ABC analysts along virtual value take But for other new see and carried why paid hey, see over of our root would television, I'll reach we'll as just nor the have Executives some

growth before chaos, Scripps this clear, has if To been recognize And disruption has yet to in Wall driving and even here fragmentation be already announcement. the it. were well JV Street

retransmission should we to value sports expansion come. driven distribution Last through There from more growth new reap traditional come created net benefits revenue to expect platforms. subs incremental agreements pay-TV margin strategy. we be our to virtual so have here by of renewed to with productive relationships both the and continue drove We for do year, of XX% and and the our years

Pay business our television of company are much less solid less phase. revenue, support X/X accounts for we it Scripps' reliant is transition others. of Because our platform we distribution that next than a than so Scripps strategy, will still diversification revenue growth on total as to

been are Our has future be to the by growing that Connected off revenues our growth. our are buoyed are year. in past the and And story. paying opportunities foresight powering over-the-air reach $XXX in in audience should TV real they thanks the for million strategies well moves revenue financial the TV, disruptive, enterprise consistent aggressive when and Scripps tackling connected even a thread this Aggressively

As out, live market, Networks our too. is pointed on limited reach pay but stands Once the aren't TV our ratings. with side sports, Lisa again, focus our And portfolio advertising from by benefit growing we it. momentum on in alone

We are opportunity growing around it.

the opportunity or the popular of most Scripps channels. is the air so programs media alongside fast making XX premium right consumers with and heavily delivers which free over for even leaning it TV, we're another linear into Tablo, easier via

new the platform only free. college makes offer You and proposition compelling in a the than it's itself of could even think of and JV NFL it the service Tablo and sports. to That as sports fast more

January, sales. for XX% retail in The in to results be exceptional with can sales launched in network Walmart.com selling is Amazon expect HSN Tablo first retailers, few XXXX. unit partner and most home about the found portion drive major airing significant of its minutes, in only shopping top now a launched out in Tablo we October accounting of

As scale. we expand users. Since we to both to we move national launched with latest continue year, regional had into explore engagement version partnerships, and and this our incredible have footprint August, our we'll in

watching average, programming a shows. XX% us that and time most day spent on sports, for accounts that viewing. of talk The X are that live of show is data and OTA customers first-party news that watching hours

platform the Speaking of Tablo over-the-air only directly data, viewing. is measures that the in market

end data the user boxes the the data the metrics and do you of valuable drive back same that are more. average per downstream revenue measures platform of streams with Our recurring further That the FAST set-top make that value all in share up and will and we'll monetization revenue the future.

makes it's and sports local that linear market why reach national Tablo the easy, live While that appropriate with to most that's our and of scale we our the platform news TV continue pursue today. depth relevant television sports make aggressively And rights to ION. are live

we many revenue in term Hockey opportunities local for over-the-air in Los It's underway that's have creating near see we X% League cord teams is partnership core in and the for to continue For a broadcasters, advertising immediate and term. Phoenix, a among and we both that bundle. growth for another rights project long strategy lift catalyst and of X particular, in with cutters already the ahead growth XXXX, just partnerships the of for Angeles TV pay the yet winning durability sports the National new value

successful a the completed we year, last with first side, WNBA. national season the very On

launched part XX%, period. Pay the Here's OTA of on the Franchise for with the was ION's WNBA above ION plus year The we doubleheader new rights ION, strategy. typical back landmark and night on drawing power be our advertisers. on and season Scripps WNBA's a the WNBA is rates last Night league's proud Scripps a spotlight on ad launching for revenue that premium XX% time agreement. by CTV grew while audience of we'll Friday to the reach hefty This Friday of Saturday plus the TV nights, soccer the nights. be franchise it to NWSL will from as be women's

XX. having whole portfolio. our result Saturday, networks tough on the sales season intended long-term of start this best an advertising on year celebrate unsteady underway a and We the and uncertain effect are and Sponsorships a was the a performance value position improving XXXX is work March as economy, to company to in but and near-term continuously itself for creation. doing well lot there's

we're your operator, ready now for questions. And

Operator

line [Operator with Kurnos the of Company. the begin Instructions] with Dan Benchmark We'll

Daniel Kurnos

being another for with Adam, after for mean maybe your I impact rights? to us just months, allowed ability what on incremental there diamonds thoughts your Could given go start sports. survive, just you that the and to the give over of might inflow cash XX sports to maybe local guess,

on the people streaming be But time. that you've I it out of kind off more And streaming. minimis marketplace, of able to more the the been ground. your think know I most obviously shift there lot just if And going and a moving then, been JV, sports to thoughts lot of that there's commentary all within look, and over the to power leverage it's is sustain broadcast and a just even about in obviously, gets but to believe negotiating sports packages, industry to these included on sports is being de

Adam Symson

the Dan, thanks for questions.

to to RSN the the reject, seek move means in the opportunity RSN discount sort to near either the the investment teams event will for direction. guess, which decide up then that in contracts committed teams into the of the Amazon teams breaches are term, a the On deals some it different or until I open RSN, Diamond those

we're term, reality the investment team erosion that broadcasters. in need the why the TV. that to that's And reach pay they owners changes nothing deliver seeing continue turn Longer about this can't the to given RSNs

is RSN the say, condition. still critical So model of all in to this

in those I the you still to moves. any of in move benefit Scripps what I expect for continue model, continue that investment will sort that as will way thriving. rights broadcast. it I And RSN wasn't local from This cure think to expect and described ails direction the a of

what streaming more support said my can venture, in team's to while say I for to part supports local guess there's important already good that continue idea to I or don't streaming the reach, way. move that there need to and say would the I than and know move joint every will We've the I they're prepared the modeled remarks, no on if DXC to reach, a all a product other to think end is I math to Relative team these incremental in. teams and local an it direction need win. moving a And field be broadcast that's rights

So my enthusiasm for the opportunity for all. Scripps Sports has not dampened at

you, On reach think the the to I will I owners, national that the it's side, tell the to team of leads, safe primary all speaking be for say continues these to deals. component

least see Roger especially don't leagues demonstrating assets television, Super the Goodell think again, you consolidated. important of as he for impair streaming to continue most be I paywall the XX% these on a Bowl we the Americans, of week, at over broadcast to During expects landscape any NFL not say and power that fragmented, term broadcast games to of inaccessible their get all reach. want being the by going behind to more long that completely heard

believe opportunity with be partnered think X the opportunity new like ION, for continued affiliates will that of broadcast our a So for we opportunity we the networks, continued course, networks and there for networks. big are

Daniel Kurnos

it. Got

of quickly us given the and give the the survive, RSN, just of Can lagging thought different thrive still -- on record, a for least Adam it's a story. sort just year of that's but a think kind mix not for or I bit? said toast, National For I DR you at between market general a shape the just

Lisa Ann Knutson

marketplace, lower my prepared comments, Yes. talked a that, had across fact Part I the of we about upfront. the obviously,

scatter be X% making I in this quarter DR. CPMs in to were seeing am where in were QX. CPMs up it and being And it therefore, up versus January quarter, XX%. over in up saw we're XXXX, alone, pricing, year, also the our upfront really fourth we fourth -- in continue again but in they first that aggressive we're in seeing certainly, so we're up And ground marketplace, seeing quarter,

So the general I'm seeing space good momentum, in the scatter in market marketplace. certainly

interesting upfront -- really I some Adam's And market, an continuing we of perspective think capture as I new in but to really, to remarks, to also in drive but from organic revenue CTV other really mentioned Scripps. I the the for positioned story my well we're both also launches growth, that remarks. think go

Daniel Kurnos

Super helpful. Appreciate Got it. it.

Operator

line Wells Fargo. Cahall We'll to now with go the of Steven

Steven Cahall

X me. for So

about So rather maybe your on than comment JV I sports Adam, streaming Fox ], [ the appreciate speculation. first,

So the wondering I a could confirmed vMVPD you've of counterparties. with especially was you Fox as us will what have whether if and tell ABC that And classified be discussions just well. this had, as minds those those discussions in

I think really that market. would be constructive the to

then just the on Lisa, picking last up on ads, maybe And national question.

finally, especially difference guide. QX? improvement much is that of about we a So versus is. guide. Does just by like in political the do just a How a due races. sounds then in big that XXXX think potential where scatter positive sequential how political QX so, turn And It with on the there's lot of do to your for to it

made fewer legal the about how have ads? towards congressional from more attributable and putting much you I think there you And just comment of towards to is SPAC that less races? then

Adam Symson

mechanism stations, to broadcast will conversations the will for of only think same direct affiliates other as or other is, virtual Steve, the will given Disney and this and carried over, that offering, I've broadcast really Well, arrangement and we are be that networks I they virtual broadcast core their much top with be NFL it I've that with be networks the -- at and along compensated the and executives and how MVPDs. our said broadcast have come of the because with exactly had clearly, with describe the or NFL the through consistent the they in MVPDs we're our virtual over MVPDs, compensated the Fox, offering describe arrangement will

make we to are So they order benefit can Is and true if the know -- to If, and fees. executives, clearer. the me that them aggressively day and This to in it word I I mean, fact, these the of cord literally in bring linear their in is these -- if that television. is distribution incremental announcement, incremental any don't this on as was say, said cutters will back Scripps stands to what helpful? pursue

Steven Cahall

It is, yes.

Adam Symson

I affiliates of comes of is another compensated be virtual virtual consistent is will MVPD. from affiliates all carriage through for Fox. just the saying. with been this And MVPD, and this This we mean have this and what the directly our ABC

Lisa Ann Knutson

performance are we into Steven, positive year-over-year the compared are continue our I as rates fourth started, in and and year-to-date and we strength to So optimistic first certainly moving in that in Both quarter seeing are quarter and XXXX. in scatter up quarter guide, to think, rates. DR first we our momentum in see with

So in mentioned in the year. that coming we flat just expect we're throughout best that is probably I in guide and we aggressively to continue I performance, think peer last pursuing certainly potentially year, really which momentum our think to

for prepared there we there are less in house my political, remarks. mentioned saw After than were and races XXXX. differences, in As of competitive differences some those I redistricting, certainly

always has migration have toss-up and state presidential years, over with Florida into the changed. states several of changed. Florida the squarely swing a of that was Some sort last

actually into year. affect will changes [ given we're this less of ] of so tort where a the give some be money those visibility spent little And bit appraisals and seeing the

this already and the great I year. year already think year races which spending I strong the and foundation very mentioned of early Montana we're in in really good laying is for in this year. And competitive also are really the back a Senate, half the very, we seeing for the expect where

Operator

go Craig now line We'll Partners. Huber Research the Huber with to of

Craig Huber

this right ad your -- where middle you year. up of expecting trends you the of your step to the as guys kind front about are cost you comfortable be, please. $XX that et to on you think plan My are, on about are mean further cetera? feeling the plus that year? you've Maybe Jason cost, question, guess, base I this could, could, if your numbers about in fully talked pretty where How costs you're have revenue if first focus obviously million or I the cost Are going at let's somebody. savings or we are I should guys now you are by cost-cutting

Jason Combs

restructure. I with from aggressive think have that we cost the a perspective, been

sort savings year. I as We a the as middle focal continuing will rate manage this million of just possible. area be than to more think efficiently in will have of the annualized by run things $XX And

to when you in things rest about to the really of terms think this line manage green bottom continue addition of that tight political, us the some should when the about ad national benefits expense talking management. We shoots Lisa you talk marketplace that have the things you'll is tightly of talk I year about great to our see in the throughout But year. be

Craig Huber

Jason, housekeeping a question, please. And

the decline quarter, goes retrans year-over-year number that you Your retrans was subs, in please? had the fourth what into your revenue that

Jason Combs

for consistent improvement which a prior quarter, It we've with range. in digits, been digits where We the versus slight mid-single down but were still is a mid-single net was actually while. that

Craig Huber

full and there, year? Okay. you help Good. And what Jason, then budgeting are EBITDA line your in Have other revenue there, the about the how we line for think you revenue EBITDA please? -- maybe you that can us should

Jason Combs

Yes.

so we And as to things, where Adam includes bunch continuing that. of roll-up talked we're launched Tablo, other invest including which about, different a that

be forward. So in we year, about guided moves $X would of likely that million . to will I growing million this general, first year loss as quarter million to $X each $XX revenue say, in quarter. somewhere a between the the

Operator

now Jeff with of line to the We'll Instructions] go Phoenix. Pekin [Operator

Unknown Analyst

Yes.

out? quick the bank question. those past there going the a defer plan sounds one for also Just pushing like And What's you're out debt going It Berkshire reducing preferred to the plans is payout. XXXX? and for

Jason Combs

Yes.

Berkshire make a sort allow defer that to paydown us focus of quarterly upcoming paydown payment to dividend, and decision of gives maturities. basis. our flexibility it quarter debt of expected, debt. terms traditional elect we the a in us So on We refinancing the on to more more maximizing that decision really did that's or the bank this And defer really

close we point action maturity. focused least We and of go eye have we're and right which which a very to debt the on 'XX at over have also what are coming be that in want up markets at in that to XX that advance very determine refinance ahead the months goal refinance we to look months time would fact debt, take couple in improved now, the to on that do have the last of keeping a maturity

Operator

We'll line with to the Capital Markets. go of Noble Michael Kupinski

Michael Kupinski

not just the getting OTA can there, peers you network seeing market? just hearing hurdles your trends the a improving in advertisers of of to business, And the quick you kind that. the one. a across taste some have shifting in terms seems in of some of there general was crossing a OTA business they're couple you're the us competition that terms is what dollars just like if and It competition could country. of distribution Just give more state are certain wondering or us seeing that a whether but like you're business some give I of maybe for indicated anything I of if out that's know the And kind of

Lisa Ann Knutson

really seeing Lisa. expanding from, networks. I Mike, it's any Yes. the the think, We're OTA not competition multicast

of our strength Typically, DR advertising. we're very we both ad DR rates. our when demand networks And barrel primarily it's and networks seeing we're ad launching competing DR really rates. advertising the seeing sort of the other premium and for premium really DR in OTA, in advertising. those bottom -- programming, fact, in In and the hybrid strength are We're they're are also DR

any So seeing competition. or -- worried about of we're that any not

Michael Kupinski

local course? level seeing of in Got core are variance you. much level, and you And I advertising the [ local on in interest core of outside national mean, terms ] and between of the political, general

Lisa Ann Knutson

Yes.

the in the sort up my year-over-year. think of of I level, some which we're that trends categories remarks, I prepared seeing are included the that on both local

say certainly the in categories, would segments. different I the equal -- the ad local have in marketplace. marketplace the is across national momentum We certainly, both But

Operator

Research to of We Partners. Huber Huber will line Craig return with the

Craig Huber

For auto for local advertising advertising, national full... I'd to auto the be curious both and to on for fleet outlook a hear thoughts your updated level there,

Lisa Ann Knutson

quarter us a then I full will remarks some that year I will and give take you then of you and give yes. fourth little bit -- into QX.

saw So great growth. up is of X% we QX versus year quarter last strong. was fourth XXXX the This sixth -- quarter full really was XX%, year auto we really was up, saw auto which and really consecutive The as each marks said, 'XX. growth, quarter we

to so to pacing X%. about a little QX it's XXXX, January, up say And too to far we X% of March. in up early in up just potentially February. finished And be

year. So year-over-year we're seeing that momentum were continue. last Domestic groups auto up dealer

barely domestic are Foreign year perspective, as dealer manufacturers year-over-year up foreign groups last we're manufacturers but XX%. things were from and It X%. where X% And we're by was really up, see were was continuing a down lagging to up. about it

So momentum story XXXX. again, automotive, last into and year, great that a continuing really

Craig Huber

just what X-quarter Then this on also, debt-to-EBITDA calculate ratio of the you the please? how be was the end your at at Jason, a And you to it year, your we project it that basis, net trailing what end banks, finished? on do of year,

Jason Combs

Yes.

rebound, wide X.X number was on uncertainty We're as that we remarks, of again delevering at end for paying and timing talk now example, as when target it the really can really of guide of really the as political focused gave, not which sort leverage So year-end move year. focused, prepared debt because the right range the number advertising said you as that in giving I of some in my well. the down well of last about, we're a can outcomes swing which

as and the our benefits flow cash to growth, expense giving of we're through going the not delevering Connected amount down on we're debt specific to we're continued guide. the political So pay the growth maximum in I restructuring said, a using through But TV focused of cycle year possible. this and get

Craig Huber

onetime My X. ask on final could or side, CapEx question, if the you a mentioned project I

to what take would level CapEx underlying your the maintenance-type more you trying get places out, for If the be that year, to.

Jason Combs

It would be around $XX million.

Operator

at Please in time. questions further no have we continue. that, this queue with And

Carolyn Micheli

a for to today. very Rich. you us much, Have great everyone Thank day. joining Thanks

Operator

will for XX This Eastern after midnight. a.m. XX:XX available at today May be conference replay through

You replay the access access does may XXX-XXXX X(XXX) Thank time XXX-XXXX. conference code AT&T entering access and conclude the code for again system X at Teleconference. your XXX-XXXX, are may you or for dial participation by dialing numbers That participants our AT&T using XXXX today. for Those XXXX XXXXXXX. and (XXX) teleconference XXXXXXX. any XXX-XXXX International

now disconnect. You may

The E.W. Scripps Company (SSP) 23 Feb 242023 Q4 Earnings call transcript