Scripps 3Q Station Revenue Up 14%

E.W. Scripps Co. announced third quarter results this morning, including Local Media (its TV stations and local brands on all platforms) revenue of $378 million, up 14% from the prior-year quarter.

Core advertising decreased 12% to $147 million.

Political advertising revenue was $63.2 million, compared to $7.1 million in the prior-year quarter.

Retransmission revenue increased 7.3% to $165 million.

Segment expenses increased 4.9%, driven by network affiliation fees and the impact of Scripps employees returning to working in its stations, resuming more normal operating procedures.

Segment profit was $99.6 million, compared to $65.4 million in the year-ago quarter.

The Scripps Networks division, which includes its nine national networks, reported revenue of $235 million, up 3.9% from the prior-year quarter, reflecting the expanded distribution of our networks on CTV platforms. Weakness in the national advertising market is continuing to impact Scripps Networks revenues.

Segment expenses increased 14% to $163 million, consistent with the company’s strategic commitment to grow its national networks and continually improvement programming.

Segment profit was $72 million, compared to $83.3 million a year earlier.

For the company as a whole, total 3Q revenue was $612 million, an increase of 10%, or $56.9 million, from the prior-year quarter due to higher political and retransmission revenue in the Local Media division.

Costs and expenses for segments, shared services and corporate were $467 million, up from $427 million in the year-ago quarter.

Income attributable to the shareholders of Scripps was $33.7 million or 38 cents per share

Commenting on the quarter’s results, Scripps President-CEO Adam Symson said: “Scripps’ impressive 10% revenue growth in the third quarter was fueled in part by the company’s multiplatform distribution strategy — to ensure viewers can find our high-quality programming content anywhere they watch TV. We have now launched our free, ad-supported TV (FAST) networks across major connected TV services, and in the third quarter, that paid off with a solid beat of Scripps Networks’ revenue expectations. We’re just getting started and expect that strategy to fuel continued revenue growth against an impressive run rate.

“In the midst of an economic climate that is challenging consumer spending and confidence, Scripps is leaning into its leadership in free TV to benefit the company and shareholders. Pay TV prices are rising, subscription on-demand services have nearly doubled in price, and the TV marketplace is more confusing to the consumer than ever. It is clear from the results of our earliest initiatives that Americans are seeking to add an option that is free and easy — broadcast television. We are very pleased to see our marketing efforts beginning to increase antenna sales. Because we already capture nearly a third of all over-the-air viewing, more antenna use means more consumers spending time with our nine Scripps Networks and our local broadcast stations.

“In Local Media, we achieved a record level of political advertising revenue for a midterm election, despite less spending than we expected for key races in our Florida and Montana markets. We know that political campaigns continue to rely greatly on local broadcasters to share their messaging with voters, and we have full confidence campaigns and PACs will return to us during the 2024 presidential election cycle and beyond.”

Read the company’s report here.