Gray Media Inc. (NYSE:GTN) saw its shares rise 5.07% in after-hours trading on Friday following the release of its second-quarter financial results, which showed revenue above analyst forecasts despite a larger-than-expected loss.
The multimedia broadcaster reported Q2 revenue of $772 million, beating the consensus estimate of $766.31 million, though this marked a 7% decline from $826 million recorded in the same quarter last year. The company posted a loss of $0.71 per share, well below the anticipated loss of $0.37 per share.
Core advertising revenue dropped 3% year-over-year to $361 million, while political advertising revenue plunged 81% to $9 million, reflecting the typical fluctuations tied to political ad cycles. Retransmission consent revenue was nearly flat, slipping 1% to $369 million.
“We continue to improve our local content offerings and in particular our broadcast of professional and collegiate sports, optimize our cost structure, strengthen our balance sheet and increase our financial flexibility,” the company stated in its earnings report.
Gray Television recorded a non-cash impairment charge of $28 million related to the loss of its CBS Network affiliation at Atlanta’s WANF station.
Looking ahead, the company projects core advertising revenue to decline in the third quarter compared to 2024, partly due to the absence of Olympic advertising, which had contributed $20 million in Q3 2024.
During the quarter, Gray Television also reduced its debt by $22 million and maintained $692 million in borrowing capacity under its $700 million revolving credit facility.
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