Business notes:
Net leverage at the end of the first quarter was 3.9x, per the calculations in company credit agreements, which includes the retroactive benefit of proforma adjustments of management's ongoing transformation efforts. In February, Scripps announced it had launched a transformation plan that targets annualized enterprise EBITDA growth of $125-$150 million by 2028 through cost savings and revenue growth initiatives.
For the first quarter, core advertising revenue in the Local Media division increased 7% on an adjusted combined basis, largely driven by revenue from agreements with four National Hockey League teams, including the addition of the Tampa Bay Lightning this season. The Winter Olympics and the Super Bowl also contributed. The NHL regular season ended in mid-April, reducing the impact of live local sports on second-quarter results.
A fifth NHL team, the Nashville Predators, and Scripps Sports announced a landmark multi-year media rights agreement in early April that begins with the 2026–27 NHL season. Scripps Sports will produce and distribute all local preseason, regular season and first-round playoff Predators games that are not allocated exclusively to national broadcasts and will broadcast live 30-minute pre-game and post-game shows.
On March 24, Scripps debuted Scripps Sports Network (SSN), a free, premium ad-supported streaming television channel designed as a 24/7 destination for live games, original series, documentaries, sports talk and other premium sports programming. The network launched with broad distribution on major CTV platforms, including The Roku Channel, LG Channels and Samsung TV Plus, with more distribution announcements expected soon.
In the first quarter, political advertising revenue in the Local Media division was $9 million as the nation launched into a midterm election cycle projected to have record-setting spending. Scripps' competitive election outlook includes its markets in Arizona, Colorado, Michigan, Nevada, Ohio and Wisconsin, with certain races in Florida and Montana also being closely watched.
Scripps has now closed on the sales of its Fox affiliate WFTX in Fort Myers, Florida, and its ABC affiliate WRTV in Indianapolis. Gross proceeds from both sales are $123 million. The company has announced plans to swap stations across five markets in four states with Gray Media, which will close following the necessary regulatory approvals. And it has entered into an agreement to purchase WTVQ, the ABC affiliate in Lexington, for $15.8 million, and create a duopoly with its existing NBC affiliate, WLEX. While approval is pending, we receive revenue from and pay expenses related to WTVQ's operations through a local programming and marketing agreement. These transactions support two company strategies: to pay down debt and to improve the operating performance of its local stations.
On April 30, the company entered into an agreement to extend the July 7, 2027, maturity date for $200 million of commitments on our revolving credit facility to July 7, 2029.
From Scripps President and CEO Adam Symson:
"We're moving through the second quarter with real momentum, fueled by progress toward our transformation goals, the ongoing successes with our Scripps Sports strategy and meaningful reductions in our leverage ratio. We are on track in the execution of our ambitious plans to improve company EBITDA by at least 30% over the next two years. Hundreds of colleagues from every area of the company have come together to identify more than 1,000 cost savings and revenue growth initiatives. Our execution plans leverage AI, automation and other technology to fundamentally improve how we operate.
"The magnitude of our transformation is evident in the early changes to our leverage ratio and the improvement we'll continue to see on our balance sheet. We plan to use proceeds from midterm political advertising revenue to make meaningful further progress.
"We're also capitalizing on live sports across both divisions' portfolios. Tomorrow night, the WNBA regular season tips off with a double-header on our ION network and tremendous excitement about the return of Caitlin Clark and this year's class of draft picks. We'll once again broadcast the most WNBA games of any network, bringing a double-header every Friday night to fans nationwide. We're also seeing continued strong advertiser demand for our broadcasts of women's professional soccer, hockey, volleyball, track, pro cheer, rodeo and college basketball. We recognized early that Americans were embracing the quality and professionalism of women's sports, and we're pleased to have become the go-to source for brands that want to connect with fans.
"We continue to expand on our opportunity, having recently announced a new partnership with the NHL's Nashville Predators for local broadcast, and with the PBR for Premier Women's Rodeo, which we'll bring to Grit, ION and our new streaming channel, Scripps Sports Network. In March, we launched the network to build on our leadership in sports and leverage our existing sports rights. Through this network, we're delivering more than 100 live games a year, original sports programming, documentaries and sports talk shows.
"This is shaping up to be a pivotal year for our company. We're using the word transformation to describe how all of us at Scripps are questioning what we do, how we do it and why, with a goal of forming the optimal organizational structure to position us to grow, inside our current businesses and beyond. Through that growth, we will continue to serve our audiences, advertisers, sports fans and communities with objective journalism, meaningful personal connection, live sports and quality entertainment, and at the same time, create new shareholder value." Operating resultsFirst-quarter company revenue was $517 million, a decrease of 1.4% or $7.5 million from the prior-year quarter. Costs and expenses for segments, shared services and corporate were $457 million, up from $454 million in the year-ago quarter.
Loss attributable to the shareholders of Scripps was $18 million or 20 cents per share. The current-year quarter included a $30 million gain from the sales of Court TV and two television stations: WFTX in Fort Myers, Florida, and WRTV in Indianapolis. These sale transactions decreased the loss attributable to shareholders by 25 cents per share. In the prior-year quarter, loss attributable to shareholders of Scripps was $18.8 million or 22 cents per share. The prior-year quarter included a $4.1 million restructuring charge that increased the loss attributable to shareholders by 4 cents per share.
First-quarter 2026 as-reported results by segment compared to prior-period amounts:
Local MediaRevenue was $342 million, up 5% from the prior-year quarter.
Core advertising revenue increased 5.8% to $140 million.
Political revenue was $9 million, compared to $3.3 million in the prior-year quarter, a non-election year.
Distribution revenue increased 1.5% to $190 million.
Segment expenses increased 1.5% to $295 million.
Segment profit was $46.7 million, compared to $34.9 million in the year-ago quarter.
Scripps NetworksRevenue was $176 million, down 11% from the prior-year quarter. Segment expenses were $130 million, down 3.1% from the prior-year quarter.
Segment profit was $46.3 million, compared to $64.1 million in the year-ago quarter.
First-quarter 2026 adjusted combined results by segment compared to prior-period amounts:In order to provide more meaningful year-over-year comparisons, we are providing non-GAAP supplemental information for certain revenues and expenses for the prior-year periods on an adjusted combined basis.
The adjusted combined revenue and expense information illustrates what the historical results of Scripps would have been, given the assumptions outlined in the supplemental materials and had WFTX, WRTV and WTVQ (Local Media) and Court TV (Scripps Networks) transactions been effective at the beginning of 2025. Refer to the "Supplemental Information" section that begins on page E-8 of the attached tables.
Local Media, Adjusted combined basisRevenue was $331 million, up 5.8% from the prior-year quarter.
Core advertising revenue increased 7% to $137 million.
Political revenue was $8.9 million, compared to $3.3 million in the prior-year quarter, a non-election year.
Distribution revenue increased 1.9% to $182 million.
Segment expenses increased 2.4% to $287 million.
Segment profit was $43.7 million, compared to $32.3 million in the year-ago quarter.
Scripps Networks, Adjusted combined resultsRevenue was $174 million, down 9.5% from the prior-year quarter. Segment expenses were $126 million, up 1% from the prior-year quarter.
Segment profit was $47.5 million, compared to $66.8 million in the year-ago quarter.
Financial conditionOn March 31, cash and cash equivalents totaled $84 million. That amount reflects the proceeds received from the sale of WRTV in Indianapolis, which closed on March 31.
Total debt was $2.6 billion. At March 31, long-term debt included $1.7 billion of senior notes outstanding, $588 million of term loans outstanding and $322 million under the accounts receivable securitization facility. Additionally, we had $20 million outstanding under our revolving credit facility. On March 31, we made principal pre-payments totaling $30.6 million on our June 2028 and November 2029 term loans.
Scripps did not declare or provide payment for the first-quarter 2026 quarterly preferred stock dividend. The 9% dividend rate on the preferred shares compounds quarterly. At March 31, aggregated undeclared and unpaid cumulative dividends totaled $133 million. Under the terms of Berkshire Hathaway's preferred equity investment in Scripps, the company is prohibited from paying dividends on or repurchasing common shares until all preferred shares are redeemed.
Looking aheadComparisons for our segments are to the same adjusted combined period in 2025.
Second-quarter 2026
Local Media revenue
Up low single-digit percent
Local Media expense
Flat
Scripps Networks revenue
Down about 10 percent
Scripps Networks expense
Up low single-digit percent range
Shared services and corporate
About $27 million
Conference call The company's senior management team will hold a call to discuss first-quarter 2026 results at 9:30 a.m. Eastern time on Friday, May 8.
The company's protocol for joining its earnings calls is as follows:
To access a live webcast of the call, participants will need to register by visiting http://ir.scripps.com/. The registration link can be found on that page under "upcoming events."
To dial in by phone, participants will first need to visit a website to receive the phone number. To receive a listen-only dial-in and PIN code, visit https://edge.media-server.com/mmc/p/es5u3dih.
Analysts who will be asking questions should visit this webpage to receive a different dial-in and PIN, which will identify them by name on the call: https://register-conf.media-server.com/register/BIb50a33781b834e55b93ae7051bca2ed1.
A replay of the conference call will be archived and available online for an extended period of time. To access the audio replay, visit http://ir.scripps.com/ approximately four hours after the call, and the link can be found on that page under "audio/video links."
Forward-looking statementsThis document contains "forward-looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by words such as: "believe," "anticipate," "intend," "expect," "estimate," "could," "should," "outlook," "guidance," "target" and similar references to future periods. Examples of forward-looking statements include, among others, statements the company makes regarding expected operating results and future financial condition. Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on management's current beliefs, expectations, and assumptions regarding the future of the industry and the economy, the company's plans and strategies, anticipated events and trends, and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent risks, uncertainties, and changes in circumstance that are difficult to predict and many of which are outside of the company's control. The company's actual results and financial condition may differ materially from those indicated in the forward-looking statements. Therefore, you should not rely on any of these forward-looking statements. Important factors that could cause the company's actual results and financial condition to differ materially from those indicated in the forward-looking statements include, among others, the following: change in advertising demand, fragmentation of audiences, loss of affiliation agreements, loss of distribution revenue, increase in programming costs, changes in law and regulation, the company's ability to identify and consummate strategic transactions, the controlled ownership structure of the company, and the company's ability to manage its outstanding debt obligations. A detailed discussion of such risks and uncertainties is included in the company's Form 10-K, on file with the SEC, in the section titled "Risk Factors." Any forward-looking statement made in this document is based only on currently available information and speaks only as of the date on which it is made. The company undertakes no obligation to publicly update any forward-looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments, or otherwise.
Investor contact: Carolyn Micheli, The E.W. Scripps Company, (513) 977-3732, [email protected] Media contact: Becca McCarter, The E.W. Scripps Company, (513) 410-2425, [email protected]
About ScrippsThe E.W. Scripps Company (NASDAQ:SSP) is a diversified media company focused on creating connection. As one of the nation's largest local TV broadcasters, Scripps serves communities with quality, objective local journalism and operates a portfolio of about 60 stations in 40 markets. Scripps reaches households across the U.S. with national news outlet Scripps News and popular entertainment brands ION, Bounce, Grit, ION Mystery, ION Plus and Laff. Scripps is the nation's largest holder of broadcast spectrum. Scripps Sports serves professional and college sports leagues, conferences and teams with local market depth and national broadcast reach of up to 100% of TV households. Founded in 1878, Scripps is the steward of the Scripps National Spelling Bee, and its longtime motto is: "Give light and the people will find their own way."
Scripps in the news Scripps press releases
THE E.W. SCRIPPS COMPANY RESULTS OF OPERATIONS
Three Months EndedMarch 31,
(in thousands, except per share data)
2026
2025
Operating revenues
$
516,868
$
524,393
Segment, shared services and corporate expenses
(456,621
)
(454,392
)
Restructuring costs
(644
)
(4,144
)
Depreciation and amortization of intangible assets
(35,347
)
(38,460
)
Gains (losses), net on disposal of property and equipment
509
78
Operating expenses
(492,103
)
(496,918
)
Operating income
24,765
27,475
Interest expense
(56,958
)
(43,750
)
Defined benefit pension plan expense
(733
)
(338
)
Gains (losses) from sale of business
30,009
—
Miscellaneous, net
(1,531
)
156
Loss from operations before income taxes
(4,448
)
(16,457
)
Benefit for income taxes
2,658
13,002
Net loss
(1,790
)
(3,455
)
Preferred stock dividends
(16,191
)
(15,388
)
Net loss attributable to the shareholders of The E.W. Scripps Company
$
(17,981
)
$
(18,843
)
Net loss per diluted share of common stock attributable to the shareholders of The E.W. Scripps Company
$
(0.20
)
$
(0.22
)
Weighted average diluted shares outstanding
89,767
86,912
See notes to results of operations.
Notes to Results of Operations
1. SEGMENT INFORMATION
We determine our operating segments based upon our management and internal reporting structure, as well as the basis that our chief operating decision maker makes resource-allocation decisions.
Our Local Media segment includes more than 60 local television stations and their related digital operations. It is comprised of 18 ABC affiliates, 11 NBC affiliates, nine CBS affiliates and three FOX affiliates. We also have 12 independent stations and 10 additional low power stations. Our Local Media segment earns revenue primarily from the sale of advertising to local, national and political advertisers and retransmission fees received from cable operators, telecommunications companies, satellite carriers and over-the-top virtual MVPDs.
Our Scripps Networks segment includes national news outlet Scripps News as well as popular entertainment brands ION, Bounce, Grit, ION Mystery, ION Plus and Laff. The Scripps Networks reach nearly every U.S. television home through free over-the-air broadcast, cable/satellite, connected TV and/or digital distribution. These operations earn revenue primarily through the sale of advertising.
Our segment results reflect the impact of intercompany carriage agreements between our local broadcast television stations and our national networks. The intercompany carriage fee revenue earned by our local broadcast television stations is equal to the carriage fee expense incurred by our national networks. We also allocate a portion of certain corporate costs and expenses, including accounting, human resources, employee benefit and information technology to our segments. These intercompany agreements and allocations are generally amounts agreed upon by management, which may differ from an arms-length amount.
The other segment caption aggregates our operating segments that are too small to report separately. Costs for centrally provided services and certain corporate costs that are not allocated to the segments are included in shared services and corporate costs. These unallocated corporate costs would also include the costs associated with being a public company. Corporate assets are primarily cash and cash equivalents, property and equipment primarily used for corporate purposes and deferred income taxes.
Our chief operating decision maker evaluates operating performance and makes decisions about the allocation of resources to our segments using a measure called segment profit. Segment profit excludes interest, defined benefit pension plan amounts, income taxes, depreciation and amortization, impairment charges, divested operating units, restructuring activities, investment results and certain other items that are included in net income (loss) determined in accordance with accounting principles generally accepted in the United States of America.
Information regarding our operating performance is as follows:
Three Months EndedMarch 31,
(in thousands)
2026
2025
Change
Segment operating revenues:
Local Media
$
341,638
$
325,389
5.0
%
Scripps Networks
176,027
198,007
(11.1
)%
Other
3,663
5,680
(35.5
)%
Intersegment eliminations
(4,460
)
(4,683
)
(4.8
)%
Total operating revenues
$
516,868
$
524,393
(1.4
)%
Segment profit (loss):
Local Media
$
46,691
$
34,919
33.7
%
Scripps Networks
46,266
64,093
(27.8
)%
Other
(6,076
)
(6,405
)
(5.1
)%
Shared services and corporate
(26,634
)
(22,606
)
17.8
%
Restructuring costs
(644
)
(4,144
)
Depreciation and amortization of intangible assets
(35,347
)
(38,460
)
Gains (losses), net on disposal of property and equipment
509
78
Interest expense
(56,958
)
(43,750
)
Defined benefit pension plan expense
(733
)
(338
)
Gains (losses) from sale of business
30,009
—
Miscellaneous, net
(1,531
)
156
Loss from operations before income taxes
$
(4,448
)
$
(16,457
)
Operating results for our Local Media segment were as follows:
Three Months EndedMarch 31,
(in thousands)
2026
2025
Change
Segment operating revenues:
Core advertising
$
139,794
$
132,146
5.8
%
Political
8,964
3,263
Distribution
189,922
187,191
1.5
%
Other
2,958
2,789
6.1
%
Total operating revenues
341,638
